Geographic Reseller Agreement
Exclusive territory agreement for partners expanding into specific geographic markets.
Best Used For: Best for international expansion or regional market penetration with exclusive territorial rights
Legal Disclaimer: This template is for informational purposes and as a starting point only. Always have agreements reviewed by qualified legal counsel before use. Laws vary by jurisdiction.
Key Terms Included
- Exclusive territory definition
- Minimum revenue commitments
- Pricing (local currency)
- Localization requirements
- Performance milestones
- Territory expansion options
Full Template
EXCLUSIVE GEOGRAPHIC RESELLER AGREEMENT
This Exclusive Geographic Reseller Agreement ("Agreement") is made as of [DATE] between:
[YOUR COMPANY NAME], a [STATE] corporation ("MSP")
and
[RESELLER COMPANY NAME], a [COUNTRY] corporation ("Geographic Reseller")
RECITALS
WHEREAS, MSP develops and markets [PRODUCT];
WHEREAS, Geographic Reseller has expertise and presence in [TERRITORY];
WHEREAS, MSP desires to expand into [TERRITORY] through Geographic Reseller;
WHEREAS, Geographic Reseller desires exclusive rights to resell in [TERRITORY];
NOW, THEREFORE:
1. DEFINITIONS
1.1 "Territory" means [SPECIFIC COUNTRIES/REGIONS] as detailed in Exhibit A.
1.2 "Products" means MSP's software and services per Exhibit B.
1.3 "Exclusive Rights" means Geographic Reseller is the sole authorized reseller in Territory, subject to Section 2.2.
2. GRANT OF EXCLUSIVE RIGHTS
2.1 Exclusivity. MSP grants Geographic Reseller the exclusive right to:
- Market and sell Products in the Territory
- Appoint sub-resellers with MSP approval
- Use MSP's trademarks in the Territory
- Provide first-line client support
2.2 MSP Reserved Rights. MSP retains the right to:
- Sell directly to enterprise accounts (>[$500K] deal size) with commission to Geographic Reseller
- Fulfill existing client contracts that expand into Territory
- Sell through online channels with [10%] commission to Geographic Reseller
2.3 Performance Requirement. Exclusivity is conditional upon Geographic Reseller meeting minimum revenue targets per Section 6.
3. TERRITORY EXPANSION
3.1 Initial Territory. Exclusivity begins with [COUNTRY/REGION].
3.2 Expansion Option. Geographic Reseller may expand to additional territories by:
- Achieving [120%] of revenue targets in current Territory
- Demonstrating market development capability
- Providing expansion business plan
- Mutual written agreement
3.3 Available Territories. Future expansion possibilities include [LIST].
4. PRICING AND PAYMENTS
4.1 Wholesale Pricing. Geographic Reseller purchases at [50%] of MSP's list price (in USD).
4.2 Currency. Invoices in [USD/EUR/LOCAL CURRENCY]. Exchange rate locked at time of purchase order.
4.3 Retail Pricing. Geographic Reseller sets local retail pricing, considering:
- Local market conditions
- Competitive landscape
- MSP's recommended pricing guidance
- Compliance with minimum advertised price (if applicable)
4.4 Payment Terms. [Net 30] from invoice; [2% 10 Net 30] early payment discount available.
4.5 Price Adjustments. MSP may adjust wholesale pricing annually with [90 days] notice.
5. ORDERS AND INVENTORY
5.1 Minimum Orders. Geographic Reseller shall purchase minimum of [$50,000] per quarter.
5.2 Forecasting. Geographic Reseller provides rolling [6-month] forecast by [15th] of each month.
5.3 Order Fulfillment. MSP ships within [10 business days] of order acceptance.
5.4 Cloud/Recurring Products. For subscription products, licenses provisioned within [2 business days].
6. PERFORMANCE MILESTONES
6.1 Revenue Targets:
- Year 1: [$250,000] minimum
- Year 2: [$500,000] minimum
- Year 3: [$1,000,000] minimum
6.2 Market Development:
- Build sales team of at least [3] certified reps by Month [6]
- Establish local support capability by Month [12]
- Execute minimum [4] marketing campaigns per year
- Achieve [10] client references by Year 1 end
6.3 Failure to Perform. If targets are missed:
- Year 1: Warning and performance improvement plan
- Year 2: Territory may convert to non-exclusive
- Year 3: MSP may terminate Agreement
7. LOCALIZATION AND COMPLIANCE
7.1 Product Localization. Geographic Reseller shall:
- Translate marketing materials into [LANGUAGE]
- Provide localized documentation (MSP provides base content)
- Adapt sales collateral for local market
- Costs shared [50/50] for translations over [$10,000]
7.2 Regulatory Compliance. Geographic Reseller responsible for:
- Local business licenses and registrations
- Tax compliance and reporting
- Data privacy laws (GDPR, etc.)
- Import/export regulations
- Industry-specific certifications
7.3 MSP Assistance. MSP shall provide:
- Technical documentation for compliance
- Support for major certifications
- Legal review of local terms (at MSP's discretion)
8. MARKETING AND BRAND
8.1 Marketing Requirements. Geographic Reseller shall:
- Maintain website in local language featuring Products
- Execute minimum [4] campaigns annually (webinars, events, digital)
- Attend major industry tradeshows in Territory
- Generate minimum [100] qualified leads per quarter
8.2 Marketing Development Funds (MDF). MSP provides:
- [5%] of revenue as MDF for approved campaigns
- Additional [5%] for co-branded events
- Reimbursement upon proof of execution
8.3 Brand Guidelines. Geographic Reseller shall:
- Follow MSP's brand guidelines
- Submit materials for approval before publication
- Position Products per MSP's messaging
- Not disparage competitors in violation of local laws
9. SUPPORT AND SERVICES
9.1 Tier 1 Support (Geographic Reseller):
- Local language support during [BUSINESS HOURS]
- Response time: [24 hours] for standard, [4 hours] for urgent
- Knowledge base and self-service portal
- Escalation to MSP for Tier 2 issues
9.2 Tier 2/3 Support (MSP):
- English language support
- Product bugs and defects
- Architecture and scalability
- [24/7] coverage for Severity 1 issues
9.3 Professional Services. Geographic Reseller may:
- Provide implementation services (retain 100% of fees)
- Offer training (retain 100% of fees)
- Resell MSP's professional services at [40%] margin
10. INTELLECTUAL PROPERTY
10.1 MSP IP. All rights to Products and trademarks remain with MSP.
10.2 Geographic Reseller IP. Geographic Reseller retains rights to:
- Localized content and translations
- Local client relationships
- Sales methodologies and processes
10.3 Trademark License. Limited license to use MSP marks in Territory for promoting Products only.
11. CONFIDENTIALITY AND NON-COMPETE
11.1 Confidential Information. Each party protects:
- Pricing and discounts
- Client lists
- Product roadmaps
- Business strategies
11.2 Non-Compete (During Term). Geographic Reseller shall not:
- Resell competing products in the same category
- Develop competitive software
- Actively recruit MSP's clients for competing solutions
11.3 Post-Termination. Non-compete survives for [12 months] after termination.
12. TERM AND TERMINATION
12.1 Initial Term. [3 years] from Effective Date.
12.2 Renewal. Auto-renews for [1-year] periods unless terminated with [180 days] written notice.
12.3 Termination for Cause:
- Failure to meet Year 2 or Year 3 revenue targets
- Material breach uncured within [60 days]
- Bankruptcy or insolvency
- Violation of exclusivity (selling outside Territory)
12.4 Effect of Termination:
- Exclusive rights terminate immediately
- Geographic Reseller may service existing clients for [12 months]
- MSP may recruit clients or appoint new reseller
- Geographic Reseller returns all MSP confidential materials
12.5 Transition. MSP may require Geographic Reseller to:
- Introduce clients to new reseller or MSP
- Transfer support contracts
- Provide client data (with client consent)
13. LIABILITY AND INDEMNIFICATION
13.1 MSP Indemnity. MSP indemnifies Geographic Reseller against IP infringement claims related to Products.
13.2 Geographic Reseller Indemnity. Geographic Reseller indemnifies MSP against:
- Claims arising from Geographic Reseller's services
- Violations of local laws
- Unauthorized use of MSP's trademarks
13.3 Limitation of Liability:
- NO INDIRECT, CONSEQUENTIAL, OR PUNITIVE DAMAGES
- LIABILITY CAPPED AT AMOUNTS PAID IN PRIOR [12 MONTHS]
14. GENERAL PROVISIONS
14.1 Governing Law. [STATE/COUNTRY] law, excluding conflict of law rules.
14.2 Dispute Resolution. Disputes escalated to executives; if unresolved, binding arbitration in [LOCATION].
14.3 Force Majeure. Neither party liable for delays due to circumstances beyond reasonable control.
14.4 Entire Agreement. This supersedes all prior agreements.
14.5 Amendment. Amendments must be in writing signed by both parties.
IN WITNESS WHEREOF:
MSP: GEOGRAPHIC RESELLER:
[YOUR COMPANY NAME] [RESELLER COMPANY NAME]
Signature: _____________________ Signature: _____________________
Name: Name:
Title: Title:
Date: Date:
---
EXHIBIT A: TERRITORY DEFINITION
[Detailed geographic boundaries]
EXHIBIT B: PRODUCTS
[List of products included]
EXHIBIT C: PRICING SCHEDULE
[Wholesale pricing in applicable currency]
EXHIBIT D: PERFORMANCE MILESTONES
[Detailed targets and metrics]Customization Checklist
Before using this template, customize these sections:
- □Replace [YOUR COMPANY NAME], [STATE], [ADDRESS] with your details
- □Fill in [PARTNER COMPANY NAME] and their information
- □Define specific territory, products, and pricing in Exhibits
- □Set commission rates, payment terms, and performance targets
- □Choose optional clauses (marked with [OPTION A/B])
- □Review termination and liability clauses for your jurisdiction
- □Have legal counsel review before executing
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Need Help Customizing?
Our team can help you customize this template for your specific partnership model and jurisdiction.
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