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Are exclusivity clauses legal?

Exclusivity clauses are legal under federal laws. However, your state may have specific provisions that limit their use.

What is a distribution agreement?

A distribution agreement governs the relationship between a manufacturer and distributor. The arrangement calls for the manufacturer to sell finished products to the distributor and establishes all pricing and delivery terms.

How do I start a distribution business?

How to start a distribution business Choose your product. Identify your niche. Decide how youll sell products. Select how youll manage inventory. Determine adequate storage space. Get a business license. Improve your business skills. Find manufacturers.

What is a exclusive distribution agreement?

An exclusive distribution contract means only one distributor is appointed in a specific marketplace by a supplier. As part of the agreement, the supplier promises not to allow the distribution of the products by any other party in the given market area.

How do I become a distributor?

How to become a distributor Identify your industry. The first step to becoming a distributor is identifying the industry youd like to serve. Register your business legally. Seek suppliers and manufacturers. Plan your logistics. Apply as a distributor. Build relationships.

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