A sales agreement formalizes any transaction between a buyer and seller. Whether you’re selling equipment, inventory, vehicles, or business assets, a properly drafted sales agreement protects both parties and prevents disputes.
What Is a Sales Agreement?
A sales agreement (also called a purchase agreement or sales contract) is a legal document that records the terms and conditions of a sale. It identifies what is being sold, the agreed price, payment schedule, delivery terms, and what happens if something goes wrong.
Key Clauses in Your Sales Agreement
1. Identification of Parties & Goods
Clearly describe:
- Full legal names and addresses of buyer and seller
- Detailed description of the goods or assets being sold
- Quantity, model numbers, serial numbers, or other identifying information
- Condition of goods (new, used, refurbished, as-is)
2. Purchase Price & Payment Terms
- Total purchase price
- Payment method (wire transfer, check, credit card)
- Payment schedule (lump sum, installments, deposits)
- Late payment penalties or interest charges
- Currency and tax obligations
3. Delivery & Transfer
- Delivery date or timeline
- Delivery location and method
- Shipping costs and insurance responsibilities
- Risk of loss (when responsibility transfers from seller to buyer)
- Title transfer conditions
4. Warranties & Representations
- Seller’s warranty on goods (condition, quality, functionality)
- Duration of warranty period
- Remedies for defective goods (repair, replacement, refund)
- Disclaimer of implied warranties (if applicable)
- As-is clauses for used goods
5. Inspection & Acceptance
- Buyer’s right to inspect goods upon delivery
- Inspection period and acceptance criteria
- Procedure for rejecting non-conforming goods
- Return and refund procedures
How to Customize This Template
-
Describe goods precisely — Use model numbers, specifications, and photos when possible to prevent disputes about what was sold.
-
Define payment milestones — For large purchases, consider requiring a deposit with the balance due upon delivery and inspection.
-
Include warranty terms — Be specific about what the warranty covers, how long it lasts, and what remedies are available.
-
Address dispute resolution — Include a mediation or arbitration clause to avoid costly litigation.
-
Review with legal counsel — Have an attorney review agreements for high-value transactions.
How to Send for E-Signature with WPsigner
- Upload — Drop this sales agreement into your WPsigner dashboard
- Add fields — Place signature, date, and initial fields for both buyer and seller
- Send — Both parties receive secure links to review and sign
- Track — Monitor signing status in real-time
- Store — Completed agreements are stored with SHA-256 audit trails
WPsigner makes it easy to create a reusable sales agreement template that you can customize and send for each transaction — no per-document fees.