please help me make a marketing agreement for selling plots / Bungalows for an real estate firm with N/A plots
here are the agreed terms by the Marketing firm and real estate firm for revenue sharing
1. Sales Commission -Marketing firm will get 2% of the Gross Revenue for all Sales done by Marketing firm during the tenure. The sale could be of Plots or Bungalows. The same will be paid to Marketing firm 15 days after the sale booking. For ease of administration Marketing firm will be paid every 15 days. The Gross Revenue includes Base Rate+PLC+Special Charges+Club House Charges. This will not include the Stamp Duty + Registration + Deposits + upfront Maintenance + Maintenance Charges + Infrastructure Development charges.
2. Marketing Fee -Marketing firm is eligible for 2% of the Gross Revenue for all sale done by the Marketing firm during the tenure . The Sale could be of Plots or Bungalows. The Gross Revenue definition is same as in point 1. Marketing firm will be paid Rs. sum amount per month out of this Fee. The same will be paid every 3rd of the Month. The reconciliation of this Fee will be done at the end of every year.
3. Advertising Fee - Marketing firm will be paid 1% of Revenue for all Sale done by Marketing firm during the tenure as Advertising Fee. This Advertising Plan will be signed off before the Project Kickoff. The payment will be done directly to the agencies undertaking the job. At the end of the Project, the savings on this fees will be paid to Marketing firm . If the Advertising Fees gets spent before the Project is fully sold then Marketing firm will spend its own money to sell the balance Project.
4. Construction Commission - Marketing firm will be paid Rs. 30 per Sq ft of the BUA of the Bungalow for all Plot Sale converted to Bungalow during the tenure of Sale. Marketing firm will not be eligible for any conversion happening after the tenure or post termination. The same will be paid within 15 days of the execution of the Construction Contract.
5. Bonus Incentive
A. In the event the Marketing firm outperforms the Sales target agreed by the parties (including the escalation agreed upon), the firm will be eleigible for 15% of the Incremental Revenue above the agreed sales targets. The same will be reconciled and paid to Marketing firm at the ened of the Project.
B. In addition to the above, the firm shall be entitled to additional Sales Commission as per the following:
a, 1% in the event the Sale is completed within 12 months.
b. 2% in the event the Sale is completed within 9 months.
c. 3% in the event the Sale is completed within 6 months.
d. 4% in the event the Sale is completed within 3 months.
The same will be reconciled and paid to Marketing firm at the end of the Project Sales.
