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- Reseller or distribution agreement, would you like to know the difference? Actually, so would I. Now, well, stick around and well both work it out together. Hi, Simon from The Contract Company, contracts for Australian businesses. Thats what we do all day, everyday, and sometimes overnight, lucky us. Righto, the difference between a distribution and a reseller agreement, lets use an example. Its always the easiest way, I think. So Im the mad king mountain biker, not very good at it, but I keep trying. So I ride a Scott bike. Now, Scott bikes are manufactured in Switzerland, bang! They want to sail their bikes into Australia so they can appoint a distributor, boom! So what then happens there is the distributor, under a distribution agreement, purchases stock from Scott, Scott supplies the bikes to them, and then they then either sell the bikes themselves. Or more likely, they ship them off to retailers who then sell the bikes on their behalf and on Scotts behalf. So that the ma
