Distributor Agreement

This short Distributor Agreement summarises the key commercial and basic legal terms for appointing an authorised distributor for Radhey Foods products in a defined area.

This Agreement is between Radhey Foods, Bihar (the “Company”) and M/s __________________________ (the “Distributor”), for distribution of Radhey Foods products in the area / district: __________________________, State __________________________, India.

• 2.1 Investment: Distributor will maintain a minimum working stock and initial investment in the range of ₹1,00,000 to ₹1,50,000 (one to one and a half lakh rupees) as products and market working capital.
• 2.2 Margin: Distributor will generally receive a margin in the range of 20% to 30% on dealer billing, depending on product, pack and area performance.
• 2.3 Area Performance Based: Exact margin, schemes and support will be finalised as per area potential, sales commitment and performance, and may be revised by the Company with reasonable notice.

• 3.1 Orders: Distributor will place written orders (WhatsApp / email / portal) mentioning products and quantity.
• 3.2 Payment: Supplies will be mostly on advance payment or short approved credit as mutually agreed in writing.
• 3.3 Pricing: Company price list and MRP will be followed strictly; any change in price or scheme will be communicated by the Company.

• 4.1 Storage: Distributor will store products properly (cool, dry, clean, pest‑free) and follow FIFO / FEFO to avoid damage.
• 4.2 Expiry Policy: In case of genuine expiry or near‑expiry stock, informed to the Company in time with proper records, the Company will support by taking back or adjusting such products as per written policy / mutual discussion.
• 4.3 Damage: Damage due to poor storage, negligence or mishandling at Distributor side will be at the Distributor’s risk and cost.

• 5.1 Area Focus: Distributor will focus on building Radhey Foods brand in the allotted area (general trade, horeca, institutions etc.).
• 5.2 Performance: If targets and area coverage are repeatedly not achieved, the Company may review margins, area, or appoint additional distributors in that region.
• 5.3 Nature of Relationship: Relationship is principal‑to‑principal; the Distributor is not an agent of the Company and cannot bind the Company in any contract.

• 6.1 Licences: Distributor will maintain required licences (GST, FSSAI trader, local permits) and follow all applicable food and tax laws.
• 6.2 Brand & IP: Brand name “Radhey Foods”, logo and designs remain property of the Company; Distributor can use them only for selling Radhey Foods products during the term.
• 6.3 Term & Exit: Either Party may stop the arrangement by giving prior written notice (e.g. 30 days) and clearing all outstanding payments and claims.

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Both Parties confirm that they have understood these terms and agree to work together in a transparent and professional way.