In working organizations, quite a few official documentations are used on daily basis. Some of them are utilized for internal purposes while others are for external use. No organization can survive in isolation. It needs to interact and come in contact with other stakeholders of the environment. Sometimes they may need to hire the services of others while at other times they may need to buy some products from them.
Other interactive activities would involve selling products and services to others for making money. In all scenarios, the deals and connections of the various parties are of mutual interests and in order to safeguard those mutual interests, we need to bind these interactions with an official contract. There are different forms of contracts used in business operations. One very common one is the sales contract template.
What is a sales contract?
A sales contract is a basic official document that is used to enforce an agreement whereby one party agrees to sell a product or service to another party or parties. The contract contains the following information:
- The name and details of the seller
- The name and details of the buyer
- The detail information about the product or service being sold
- The terms and conditions applicable to the participants and process of sale
- Delivery and price of product
- Mode of payment
- Time and date of agreement
It prevents the two parties from defaulting from the clauses stated in the contract as it is enforceable by law.