Are you running a wholesale business? If not, do you plan on starting one anytime soon? Well, in order to efficiently run a B2B organization, you must be clear on the basic wholesale terms and conditions for buyers to agree with. If you aren’t clear with your policies, miscommunications can hurt your relationship with potential buyers.
This blog will go over the necessary terms and conditions you need to add to your wholesale terms sheet for your B2B buyers.
Five Wholesale Terms and Conditions to Highlight in 2022
1. Payment Terms
As a business owner, one of your major goals is to generate revenue and avoid losses. Therefore, one of the most important wholesale terms and conditions to mention is the payment terms. This will define how and when the payment will be made.
Once you clearly define the wholesale payment terms, your buyers will know how much time they have to clear their dues. You are free to decide whether buyers need to pay in advance before goods or services are delivered. Or, you can offer them credit for a specified time frame. Choosing the right wholesale payment terms can attract many new buyers to reach out to you.
Apart from that, you also need to state which mode of payment you accept. Buyers can be allowed to pay via check, bank transfer, PayPal, credit card, etc.
2. Minimum Order Quantity (MOQ)
Setting a MOQ is crucial to your wholesale terms sheet. It is basically the minimum quantity of a specific product a buyer needs to buy for their order to be accepted. By setting the MOQ, you’ll be able to offer the best prices to your customers.
Also, once potential clients know the MOQ, they’ll only reach out to you with orders you want. This will save you the time and effort of dealing with orders that aren’t beneficial. Apart from that, you’ll also be able to separate big buyers from small ones. After that, you’ll know who to contact in the future to clear your stock.
MOQs are set according to the product. Also, you can alter the MOQ according to your customer’s demand. If you want to be able to set a flexible MOQ, you’ll need a powerful wholesale solution.
3. Return and Exchange Policies
By now, as a business owner, you know that not everything goes as planned. You have to be prepared for the worst scenarios. Customers return items in many instances. The reasons can vary from wrong size, defective or damaged goods, faulty products, or unsatisfactory quality.
You need to clearly state your return and exchange policies in your wholesale terms sheet. Are you going to replace any product within seven days of the claim? Will you offer an exchange of goods? Are you ready to offer a 30-day money-back guarantee for your services? These are a few questions that you need to ask yourself and create a wholesale policy regarding them.
By adding your return and exchange policies to your wholesale terms and conditions sheet, wholesalers will be aware, and the risk of misunderstandings will be lower.
4. Shipping and Delivery
Your wholesale terms sheet should always have your shipping policies included. Shipping and delivery are crucial if you are a B2B supplier. You should also be clear regarding the shipping cost as well. Are you offering free shipping? If not, make sure you state that the buyer will pay shipping costs.
You should also mention the method of shipping available. In addition, they should know if you ship to all nations or only specific countries. Packaging is a crucial element in wholesale trading. Buyers need to be aware of the packaging you are offering.
In addition, while dealing with a client, make sure you inform them of the estimated time of arrival of the shipment to their desired port. Though you should mention it in the wholesale terms sheet as well, it’s better to inform them in person as shipping time can vary from product to product, and it also depends on the country where the goods need to be delivered.
5. Ordering Process
The wholesale terms and conditions sheet should specify the policies for ordering products in bulk. B2B buyers should be clear about placing orders for your products. A quick guide in your wholesale policy sheet specifying the ordering process will greatly assist the buyers.
Becoming a wholesaler isn’t as easy as it sounds. Though you may need to deal with fewer clients, bulk orders aren’t easy to manage. In addition, building relationships is considered a healthy strategy for achieving success if you are a wholesaler. To avoid future disputes and misunderstandings, create a wholesale terms and conditions sheet with all the wholesale policies you set out. Once your buyer agrees to your wholesale terms, you can comfortably deal with them.