A legally binding document states the terms and conditions regarding the sales of items or goods. Through this agreement, both the buyer and seller are legally connected in any buying or selling of the specified good.
Key Component of a Purchase Agreement:
- Buyer and seller names address and further contact information
- Contacts of the witness or any other person involve
- The description of the good to be sold
- Price of the good with the quantity
- Type of sale procedure
- Specific date when the agreement is signed with other duration and time specifications
- Shipping mode and charges
- Maintenance service or other associated dates
- Revision of the agreement terms and dates
Types of Purchase Agreement
There are two types of purchase agreement the absolute purchase agreement is a simple type of agreement just as your invoice receipt and the purpose of such agreement is to keep the record of the dealing and it can be used if the return of the purchase is inevitable. The second type is the conditional purchase agreement which encompasses the security of loans and deposits regarding the purchases. This agreement is used when a seller is authorized to take back its asset if the buyer is not able to fulfill the loan submission on time like in real estate mortgage foreclosure.
Purchase agreements are more complex than a simple purchase receipt as this agreement usually strictly defined the terms and conditions that have to be fulfilled by both buyer and purchaser for a complete deal. Download your win purchase agreements from free templates available online to design a comprehensive and well-presented purchase agreement.
Purchase Agreement Template
Microsoft Word document file | File size 43 KB | Download