Any growing business calls for wider markets. And it is not possible for every company to open branches at all the places where it had markets. Thus it has to rely on agents—a practice widely practiced all over the world. An agency can be set up on the initiative of the principal or the agent. In such an arrangement, both parties have to be extremely cautious because the reputation and goodwill of both affect each others’ business.
1. Application for an agency:
Dear Sirs,
With reference to your advertisement in the ‘Nav Bharat Times’ some times ago that you require an active agent for securing orders for your product, I offer my service for the same. My long experience in the field and my good connections with dealers make me confident, it will be to our mutual benefit. Please let us know your views on the proposals. I look forward to an early reply.
Thanking you
Yours truly
Anand Raj
2. Letter of appointment for local agent:
Dear Sir,
We thank you for your latter dated 5th March, offering your service as our agent in New Delhi. We have the pleasure of informing that we shall be appointing you as our agent, provided our terms are acceptable to you. Our Marketing Director, Shri Upendra Verma, is likely to visit New Delhi next week, and will be glad to call on you to settle the terms and conditions.
With regards
Yours sincerely
Damodar Rao
3. Letter of enquiry for sole agency:
Dear Sir,
Having had a discussion with your partner, Mr. Sinha, we are interested in representing you in Haryana. Although we handle several other agencies, but they are in non competing lines. We firmly believe that such an arrangement will be mutually beneficial.
With regards,
Yours sincerely
Surjeet Singh
4. Letter of reply to an enquiry for sole agency:
Dear Sir,
We thank you for your letter dated 3rd August 2004, offering your service as our agent in New Delhi. Although we have not taken any decision regarding the agency, our representative. Mrs. Praveen Bala, will be coming to your place next week to discus the terms and conditions. Meanwhile, could you please send us details of your sales performance for the past three years?
With regards,
Yours truly
Jangan Singh Shekhawat
5. Letter from an agent asking for more commission:
Dear Sir,
We write this letter to request you to increase our commission. As our sales efforts for your goods will now mean considerable additional expenditure on advertising, we must ask you to bear part of the increased costs. Under these circumstances, we do hope you will revise the commission.
Thanking you
Yours sincerely
Raghu Purhoit
6. Reply for above letter:
Dear Sir,
We thank you for your letter dated April 13, 2004, we agree that it would not be reasonable to expect you to bear the full cost. Thus, we propose to allow you an advertising credit of Rs. 5,000 in the current year towards your additional costs.
With regards
Yours truly
Pappu Jangir
7. Letter to agent drawing his attention to decrease in sales:
Dear Miss Madhuri,
We regret to say that your sales for the past few months have shown a declining trend. While we admit that there might have been special seasons for this, we cannot understand why you should have ignored to draw our attention to this trend in your letters and failed to submit detailed reports regularly. We, therefore trust that you will now recognise the importance of keeping us informed about each and every difficulty you experience and send us periodical reports regularly, so that we look forwards to increasing sales to the mutual advantage of both of us.
Thanking you
Yours faithfully
Harish Dutt Sharma
8. Reply for the above letter:
Dear Sirs,
We are in receipt of your letter dated 19th September 2004, and I feel surprised that the fact of declining sales came to you so late. We are afraid our earlier letter dated August 29, 2004 has either not reached you or has not been read carefully. In that letter we had stressed that the goods which you send us must fit the variation in demand here, which undergoes a change every season. We trust that the position now will be clear and that you will agree with us. We assure you that we are doing our utmost to widen our market because it involves both our interests.
Thanking you
Yours sincerely
Miss Madhuri Sharma
9. Letter for announcement of cancellation of agency:
Dear Sir,
This is to inform you and all concerned that with effect from 3rd January. M/s Vidya Shurashti and Sons, have ceased to be our Sole Selling Agent in Assam, following the opening of our new branch at 4, Lalkrishna Chambers, D.P. Road, Guwahati (Assam). Since we have abolished the agency and will not have to pay the middleman’s commission, we therefore, will be in a position to divert the same to our customer by way of a special discount of 10% on all goods you buy at our new branch.
Thanking you
Yours sincerely
Roshan Lal
10. Letter of negative reply towards application for agency:
Dear Sir,
We thank you for your application dated 5th July, offering your service for the opening of an agency for our goods. We are sorry to say that your application has come too late to be of any use to us as we have already appointed our agent. However, we are keeping your offer on fill and shall be pleased to contact you in future whenever the need be.
Thanking you
Yours faithfully
Badri Prasad
11. Letter expressing hardship of an agent:
Dear Sir,
We are in receipt of your letter along with the price lists of your products. After giving a good deal of through to the business products of your goods here, we have come to the conclusion that it will not be worth while to go in for your goods on your terms. We trust that our plain speaking will not hurt you. As such, if you are prepared to leave the price factor to our discretion, at least for the time being, we shall do our utmost to find a market for your goods to our mutual advantage.
Thanking you
Yours faithfully
Suresh Jorawar
12. Letter to an agent reminding him of the target sales:
Dear Sir,
According to the terms of your agreement with us, you were expected to place orders of a minimum value of Rs. 25,000 a month. From the sales reports submitted by you for the months of June, July however, we find that you have failed to reach the target by an average of Rs. 10000 a month for the period. We hope you will not mind this plain speaking, as this is too important to be ignored. We sincerely hope, therefore, that you will achieve satisfactory results and keep in mind the target set in our agreement in future.
Thanking you
Sincerely yours
Josepn Swamy
13. Letter to an agent suggesting business with deposit:
Dear Sir,
We have noticed that you have been supplied our goods worth Rs. 50,000 against you deposit of Rs. 30,000 as per the invoices sent. We have however sent the documents to you and would thank you if you remit the balance amount to us at an early date. We shall send the documents against payment through your bank on 45 days sight, we hope this arrangement will suit you.
Thanking you
Yours faithfully
Rahul Gupta
