I've got a few clients specifically in this situation (ie, Verisign, Sage software, Net Return - software as a service and use resellers) and whilst I've reviewed many many agreements, the one thing I can say that is consistent is how inconsistent they are! These agreements tend to not follow a standard terms, and it's one of the most painful parts of my job when reviewing my clients revenue streams because it needs to be looked at case by case.
Off the top of my head - you need to specify when you are entitled to recognise revenue. Is it when the product gets delivered to the end customer and an invoice is raised? Perhaps you only issue invoices once an activation key is provided to your partner? The way you are entitled to recognising revenue will affect your financial reporting (especially if you report on an accruals basis like most larger companies) and potentially tax. - another issue is liability. Does the resellers customers interact with you or them? - how do you deal with refunds? Is the risk with you or the reseller? - what fees does the reseller get? - what incentives are there for the reseller? ie, discounts of targets, bulk upfront purchases - is there exclusivity for the reseller? If so, that's a business risk - you don't want to rely on more than 10% of your revenue from one reseller. On Mon, Nov 10, 2008 at 2:55 PM, Nick Holmes a Court <[EMAIL PROTECTED]>wrote: > Hey guys > > Does anyone have any templates or any advice on setting up Software > Reseller Agreement Contracts/Legals? > > We are a Software as a Service company, what key issues should we be > addressing in a reseller contract? > > Thanks for your help > > Nick > > > > > -- Elias Bizannes http://liako.biz --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Silicon Beach Australia" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [EMAIL PROTECTED] For more options, visit this group at http://groups.google.com/group/silicon-beach-australia?hl=en -~----------~----~----~----~------~----~------~--~---
