Vendor Contract
VENDOR CONSIGNMENT AGREEMENT
This Consignment Agreement ("Agreement") is made and entered into as of this ______ day of _________________________, 20_____, by and between:
Butterfly Boutique LLC
dba AMC Collective
2119 S Minnesota Ave
Sioux Falls, SD 57105
amccollectivesd.com
Hereinafter referred to as the “Collective”, and
Business Name: ________________________________________________________________________
Contact Name: _________________________________________________________________________
Phone: _________________________________________________________________________________
Address: _______________________________________________________________________________
City: __________________________________________ State: _________ Zip: ___________________
Email: __________________________________________________________________________________
Tax Id #: ______ - _________________________ Vendor #: ______________________________________
Hereinafter referred to as the “Vendor”
- Purpose
Vendor agrees to consign goods to the Collective for the purpose of sale to customers on consignment basis, and the Collective agrees to accept and sell the consigned goods on the terms and conditions set forth in this Agreement.
- Consignment Items
The Vendor agrees to provide the following items for consignment sale at the Collective:
- Tax Information
The Vendor shall provide their tax identification number if available. The Collective shall collect and maintain this information in accordance with state regulations. The Collective will collect and pay any sales tax for items sold in the store. Vendors are responsible for reporting tax information and income to the required authorities when appropriate.
- Consignment Terms
The consignment period shall commence on ________________________ and shall continue for a period of 3 months unless terminated earlier as provided herein.
The consignment items shall be displayed and marketed by the Collective in a manner deemed appropriate to maximize sales. The Collective will provide all displays and fixtures for consignment items. If The Vendor has a display that works well for their items, they may bring it in and The Collective will decide if the display can be used in the space. If The Vendor brings a display in, it must be labeled as a display and have their name on it.
The Collective shall retain a commission of 10 percent of the gross sales price of each consignment item sold.
The Collective shall provide the Vendor with a monthly sales report detailing the sales of consignment items and the applicable commission. There will be a vendor portal available for The Vendor to check their sales at their convenience.
The Collective will remit payment from item sales to The Vendor no later than the 5th of the month preceding the end of the previous month. Any rental fees and the 10 percent commission will be deducted from the sales payment. The Collective will remit payment through a check or PayPal payment. The Vendor will choose how they would like to receive their payment.
Via Check – Pick up at store_____________
Via Check – Mailed, must provide a self-addressed stamped envelope _______________
Via PayPal
If opting for check, who should the check be made to?______________________________________
If opting for PayPal, what is the email associated with your PayPal account?
_________________________________________________________________________________________
- Leased Space Pricing and Payment
The pricing to display consignment items shall be $100 per month pre-paid as between the Vendor and the Collective. An initial three-month contract is required, and rent will be due monthly on the 1st day of each month. The rental contract runs from the first of the month to the end of the month. There are no prorated rates. $100 is due to The Collective upon signing the Agreement. Rental payments may be remitted by The Vendor to The Collective by Cash, Check made out to “AMC Collective”, Credit Card, or PayPal
Any terminations or vacating must be notified thirty days prior to vacating or termination by the Vendor to the Collective in writing, otherwise a month-to-month tenancy will be presumed after the initial 3-month contract and rent due on the first (1) of the month. Rent will be taken from The Vendor’s previous month’s sales. If sales are not sufficient to cover the rental fee, The Vendor will receive notification and be responsible for paying the difference in rental fee.
Rent not paid by the 5th of the month will incur a $25 late charge. If The Collective does not receive payment by the 10th of the month and the Vendor has not opted to renew, The Vendor will be subject to termination and notice of vacation. Payment difficulties may also result in termination. Any financial difficulties the Vendor may foresee should be reported to the Owner of the Collective (Carrie)
Website Add-On? YES____ No ____
If Vendor checked yes for Website add-on, there will be an additional $25 charge per month.
I will work shifts to mitigate rent costs: YES ____ No ____
If Vendor checked yes to work shifts to mitigate costs, Collective will deduct $25 per shift worked. The Vendor is allowed to chose up to three 3-hour shifts in a month. The Vendor can choose 1 Saturday shift a month. The other 2 shifts will need to be a weekday shift.
Electricity Required? YES ____ No ____ (availability limited; first come first served).
If Vendor checked yes for electricity, an additional $10 a month charge will be added on to rent.
Total Rent Due from Vendor on the 1st of the Month_______________________
Vendor agrees to have a valid credit card on file during the duration of the rental agreement to be used as a final method for The Collective to obtain payment for any insufficient funds.
Credit Card for File
Name on Card _____________________________________________
Number____________________________________________________ Exp Date_______________________
Security Code ______________________________________________ Billing Zip Code_________________
- Consigned Items Pricing Policy
Those requesting Consignment Items be added to the Website Portal will pay an additional $25 fee.
The Collective shall add 3% to the prices of all items listed online to cover credit card charges. Customers paying cash in-store will receive a 3% discount.
The Collective shall provide a clearance area where vendors can sell sale items. Vendors must inform the Collective of the items they would like to place in the clearance area. The Collective will also provide a room for year-round Christmas items and an adults only room for any item that may be deemed not appropriate for all people that may come in the store.
Items may be brought into the Collective for restocking during business hours. If it does not work to bring items in during business hours, please contact management to see if a different time can be arranged.
- Inventory and Barcodes
All items brought into The Collective must be handmade or homegrown. No resale items are allowed to be sold in the Collective.
All items brought in to the Collective for sale must be clean and presentable for sale. Items will be insect and pest free in order to protect the integrity of other items in the store and the health of our employees and customers. Any items not deemed to be up to standards of the Collective will be returned to the Vendor.
Vendor numbers will be printed on the barcoded tags provided by the Collective.
Website members will receive free barcodes. Non-Website Members will receive 50 generic barcodes for free. Additional barcodes for Non-Website Members are available at a rate of 50 labels for $2.
The management team will photograph all items, list them on the website, print barcodes, and place them on the Vendor provided tags. The tags must include the vendor number and price and be large enough to place a barcode label on. Business cards make great tags.
Only website members will have their inventory tracked. Non-Website Members will have to keep track of their own items.
- Trademarked Items
The Collective shall not allow any items deemed trademarked to be sold in the store unless the Vendor can produce a valid license permitting the sale of such items. Any items deemed to have a trademark without proper licensing will not be displayed and will be returned to the Vendor.
- Ownership and Risk of Loss
The Vendor shall retain ownership of the consignment items until they are sold to a customer.
The Collective shall not be responsible for or have any obligation to protect the property of Vendor from fire, theft, flood, shoplifting breakage or any other loss or damage to said property of Vendor offered for sale except for acts of gross negligence of The Collective’s employees. Vendor is instructed and encouraged to consult his or her insurance company and obtain insurance for all items place in The Collective.
Vendor acknowledges that they are not employees of The Collective.
- Termination
Either party may terminate this Agreement upon 30 days written notice to the other party.
Upon termination of this Agreement, the Collective shall pack up any unsold consignment items for the Vendor to pick up within 5 days. All items must be picked up by the Vendor within 10 days of the termination of this Agreement. Any items not picked up within 10 days will be forfeited by the Vendor and donated.
Vendors are to maintain professionalism in regard to The Collective. Any Vendors making negative statements, social media postings, or conversations with the intent of causing harm to The Collective, will be asked to leave immediately. Any remaining contract will be null and void and no refunds will be issued. Any issues should be brought to the management team. ___________Initial
- Governing Law
This Agreement shall be governed by and construed in accordance with the laws of the State of South Dakota, Minnehaha County, without regard to its conflicts of law principles.
The Collective reserves the right to revise this contract and establish new monthly rental rates and additions to Vendor contract at any time.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.
Butterfly Boutique LLC dba AMC Collective
By: ____________________________________
Carrie Thompson, Owner
Date: _________________________________
_______________________________________
Vendor Business Name
By: ____________________________________
Vendor Agent Name, Title
Date: _________________________________