contract template for small business
Extract of this Template for business contract :
INPUT INTO BUSINESS(Startup cost)
Total Costing:
Startup cost 650,000.00 XENT
Recurring cost 350,000.00 (2 Months 700,000/-)
Party A : Startup cost 325,000/- Recurring cost 350,000/-
Party B : Startup cost 325,000/- Recurring cost 350,000/-
*Recurring cost will be paid mutually as per the time to pay
BANKING
All banking shall be done via Bank, Both shareholders will have equal access. Maximum withdrawal allowed will be set to mutual understandings, all bank accounts and petty cash will handle by accountant,
ROLES & RESPONIBILITIES
Part A: Act as a Director Marketing, set direction, targets and guidelines. Help increase distribution opportunities & marketing. Make major business decisions.
Party B: Will operate as the Operation Director, deal in purchasing technical drafting, making budgeting, and client satisfaction business on a daily business, chase targets, increase efficiency, implement guidelines and maintain overall operations.
Both Directors will charge their salaries of 100,000/- per months.
DATES
Contract Start Date: 1st June 2021
Contract End Date: Indefinite.
ASSETS
Asset list will be attached in this contract.
WHAT WILL BREAK THE CONTRACT?
Business does not reach 5 lakhs sale a month 3th Month
Business does not reach 1 lakh in profit a month by 4rd Month
Business will not meet the target of 50 to 60 lacs in the end of this financial year.
Business runs out of money to operate.
Mutual agreement of both parties to part ways.
Discrepancy in account keeping.
AFTER BREAKUP
Who will own rights to brand/name of business?
Who needs to breakup he will sale his ownership to second one.
How will business assets be divided?
As per the ratio of 50/50 or of they need to sale each other
SALE OF BUSINESS/SHARE
Can one person make the decision to sell the business?
NO
Can one party sell their share?
Yes(but mutually decide)
Current share-holders have first right to any shares sold.
Yes
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