Avoid Costly Risks With Well-drafted Distribution Agreements

When expanding into new markets, companies often rely on business partners through various distribution arrangements. In this blog, we present important practical aspects concerning reseller and agency agreements we have encountered over the years.

Agency agreement or reseller agreement?

In recent years, and depending somewhat on the industry, there has been a shift away from direct sales towards either adopting an agency model or expanding reseller networks. These models have fundamental differences that affect sales and business operations in different ways, and which are worth bearing in mind when weighing up the options. Both of these distribution agreement alternatives come with their own pros and cons.