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Business Percentage Agreement
"I need a Business Percentage Agreement to establish a 30% profit-sharing arrangement with a software development partner, including quarterly payment terms and audit rights, starting from March 2025."
1. Parties: Identification and details of all parties to the agreement
2. Background: Context and purpose of the agreement
3. Definitions: Key terms used throughout the agreement
4. Percentage Structure: Details of the agreed percentage split and calculation method
5. Payment Terms: Timing and method of percentage payments
6. Calculation Period: Defines the periods for which percentages are calculated
7. Reporting Requirements: Requirements for financial reporting and transparency
8. Term and Termination: Duration of agreement and termination provisions
9. Governing Law: Specification of applicable law and jurisdiction
1. Audit Rights: Right to audit financial records - use when dealing with significant amounts or complex calculations
2. Minimum Guaranteed Payments: Minimum payment guarantees regardless of performance - use when one party requires income security
3. Confidentiality: Provisions for protecting sensitive information - use when sharing sensitive business information
4. Non-Compete: Restrictions on competitive activities - use when protecting business interests is crucial
1. Calculation Method Schedule: Detailed explanation of how percentages are calculated
2. Reporting Template: Standard format for regular financial reporting
3. Excluded Items Schedule: List of items excluded from percentage calculations
4. Key Performance Indicators Schedule: Metrics used to measure performance if relevant to calculations
Authors
Business Day
Calculation Period
Commencement Date
Confidential Information
Gross Revenue
Net Revenue
Operating Expenses
Percentage Share
Payment Date
Profit
Quarter
Relevant Business
Revenue
Term
Territory
Working Hours
Year
Accounting Period
Base Amount
Calculation Method
Excluded Revenue
Financial Records
Payment Method
Reporting Period
Review Date
Target Performance
Threshold Amount
Calculation of Percentages
Payment Terms
Reporting Obligations
Record Keeping
Audit Rights
Confidentiality
Term and Duration
Termination
Force Majeure
Assignment and Transfer
Variation
Dispute Resolution
Notices
Entire Agreement
Severability
Third Party Rights
Good Faith
Non-Competition
Non-Solicitation
Warranties and Representations
Indemnification
Costs and Expenses
Data Protection
Governing Law and Jurisdiction
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