CrssaFox (crssafox) wrote in artists_beware,
CrssaFox
crssafox
artists_beware

Wholesaling Contracts- Advice?

For the past couple of years, I've been traveling around selling accessories at conventions and local events. I've gotten to know a couple of the other vendors that regularly attend some of the same shows I do. This past weekend, I was approached by one of the vendors asking if I would be willing to sell some of my stuff to him wholesale.

I have no problem doing discounted rates on wholesale orders, and in fact I have some of my items available in a shop in the next city over. However, that's a different story, as the store owner is someone I know, and I can trust her not to screw me over by selling my own items at shows we're both going to. (We usually only have one show a year in common anyway.)

I know, since I'm the manufacturer of my own items, that in theory my prices would still be better than the retail prices of the fellow I'm wholesaling to. Yet, some of the shows I work involve younger folks (teens-college age) that don't always understand the "shop around until you find the best deal" concept. This vendor, if he attends the same shows I do and sells the items I've sold him wholesale, could still get sales on said items leaving me to not get any from those customers in particular.

I basically would like to put together some kind of a wholesale contract that gives me some kind of exclusivity to sell my products at shows and not be in direct competition with "myself," as it were. (I know I'm not the only one to manufacture these types of items, and I know that there's no way to prevent other vendors from selling similar, but I don't want MY wholesale items being re-sold at shows where I'm planning on vending.)
I'm trying to figure out the best way to word a contract that covers my rear. I don't want to list the shows and conventions I vend at in the contract, since they are subject to change. This vendor told me he does 50+ shows per year, sometimes multiple shows over one weekend, as his business is fairly big. I am thinking about having a clause that states he cannot vend my products within the states that I sell in (which are currently limited to Florida, Georgia, and North Carolina) unless express permission has been given in writing for individual shows that I know ahead of time I will not be attending.

Has anyone here ever dealt in wholesaling their products, and using a contract in this manner? How do you deal with the exclusivity? What other bases do you think I need to cover, in order to protect myself not only as a manufacturer, but also as a vendor?
Tags: advice for artists
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