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Sales & Proposals

Sales Representative / Commission Agreement

An agreement engaging an independent sales representative to sell on a company’s behalf in exchange for commission.

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Free general-purpose template, not legal advice. Fill in the placeholders and consider having a lawyer review it before you rely on it.

1. Parties & Effective Date

This Sales Representative Agreement ("Agreement") is entered into as of [Effective Date] between [Company Name] ("Company") and [Representative Name] ("Representative").

2. Territory & Products

Representative is authorized to sell [Products/Services] within [Territory — e.g. geographic area or accounts], on a [exclusive / non-exclusive] basis.

3. Commission

Representative earns a commission of [Rate]% of [Net Sales Price / Gross Revenue] on each completed sale, paid [Frequency], within [Number] days after Company receives payment from the customer.

4. Representative’s Authority

Representative may present and negotiate sales on Company’s behalf but may not sign contracts, set pricing outside [Approved Range], or bind Company to any obligation without Company’s prior written approval.

5. Expenses

Representative is responsible for their own business expenses (travel, materials, etc.) unless otherwise agreed in writing.

6. Independent Contractor Relationship

Representative is an independent contractor, not an employee of Company, and is responsible for their own taxes, insurance, and benefits.

7. Termination & Commission on Pending Deals

Either party may terminate this Agreement with [Number] days’ written notice. Representative remains entitled to commission on sales substantially completed before the termination date, as described in [Terms].

8. Governing Law & Signatures

This Agreement is governed by the laws of the State of [State / Jurisdiction].

Representative Signature: _______________________ Date: _______________

Company Representative Signature: _______________________ Date: _______________

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