Profit Distribution Agreement Template for Germany

1. Profit Retention: Used when parties agree to retain certain portions of profits for reinvestment or reserves

2. Loss Allocation: Include when parties agree to share losses as well as profits

3. Interim Distributions: Required when parties want to allow for interim profit distributions before final yearly calculations

4. Management Participation: Include when profit sharing includes management bonus or participation schemes

5. Currency Conversion: Necessary when profit calculations or distributions involve multiple currencies

6. Dispute Resolution: Detailed dispute resolution procedures beyond standard jurisdiction clause, including mediation or arbitration

7. Change Control: Include when formula or distribution mechanisms may need future adjustment

8. Confidentiality: Detailed confidentiality provisions if sensitive financial information is involved

1. Calculation Methodology: Detailed explanation of profit calculation methods, including specific accounting principles and adjustments

2. Distribution Formula Details: Detailed breakdown of distribution percentages and any special allocations

3. Payment Procedures: Specific procedures for executing payments, including bank account details and payment protocols

4. Reporting Templates: Standard templates for periodic profit calculation reports and distributions

5. Tax Documentation: Required tax forms and documentation for profit distributions

6. Audit Procedures: Detailed procedures for conducting audits of profit calculations

7. Historical Profit Data: Reference data from previous periods if applicable to the calculation method