Document background
The Value Added Reseller Agreement is a critical commercial contract used when a manufacturer or supplier wishes to expand their market reach through specialized resellers who add value to the original products or services. This agreement, governed by Indian law, establishes the framework for a business relationship where the VAR typically enhances the original offering through integration, customization, bundling, or by providing additional services. The document is essential for businesses operating in India who want to create a formal reseller channel, ensuring compliance with local regulations while protecting both parties' interests. It covers crucial elements such as appointment terms, territorial rights, pricing structures, minimum purchase requirements, intellectual property rights, and service level commitments. The agreement is particularly important in technology and manufacturing sectors where products often require customization or integration with other solutions before reaching end customers.
