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If you're selling goods to a third party, you may need to create a sale of goods agreement. This simple agreement between a seller and a buyer outlines the terms and conditions of a sale.
Keep reading to find out how a sale of goods agreement works, what information it includes and how you can create one.
A sale of goods agreement is a basic agreement between a vendor who is selling goods (the seller) and a buyer who purchases those goods. It contains essential information about the terms of the sale, including details of the goods, the purchase price and delivery information.
A sale of goods agreement is a legally binding contract. It protects the rights of both parties and outlines the obligations of the buyer and the seller.
You can use a sale of goods agreement template as either a seller or a buyer. This document can be used if you're selling goods to a third party, or if you want to buy goods from a supplier.
For example, if you're selling your old computer to someone, you could draw up a sale of goods agreement to outline the terms of the sale.
A sale of goods agreement is slightly different to a bill of sale, despite these two documents having some similarities.
While a sale of goods agreement is drawn up and signed in advance of a transaction taking place, a bill of sale is usually exchanged when the buyer takes ownership of the goods. It outlines the transfer of ownership of goods between the seller and the buyer, and can be used as proof of purchase by the buyer.
A sale of goods agreement details all the essential terms and conditions of the sale. The exact information contained in the document will vary depending on the goods being purchased and the nature of the transaction, but will often include the following:
Once the sale of goods agreement has been drawn up, it can then be reviewed and signed by both parties. The buyer and seller can then retain a copy of the agreement for their records.
A sale of goods agreement is a simple way to get the terms and conditions of a sale in writing. Regardless of which side of the transaction you're on, it helps ensure that your interests and rights are protected. A well-prepared agreement can prevent any misunderstandings between the buyer and seller and protect both parties if there are any problems or disputes relating to the sale.
It's entirely up to you whether you choose to seek legal advice when creating a sale of goods agreement. If the sale is a simple and straightforward transaction, you may decide that you can create the document yourself using an online template.
However, you may wish to seek legal advice in the case of complicated transactions. You may also want to consult a lawyer to make sure your agreement is acceptable under the Sale of Goods Act in your state or territory, or whether it is affected by the Australian Consumer Law.
There are a couple of options when writing a sale of goods agreement.
The first is to use a free template available online. These documents are readily available and easy to create — all you need to do is fill out a form with the details and terms of the sale. However, you will need to make sure that the document is suitable for the type of goods being sold, and that it complies with the Sale of Goods Act in your state or territory.
The second option is to hire a lawyer to draw up the agreement for you. This will obviously come at a cost, but it will ensure that the agreement satisfies all legal requirements and provides proper protection for your rights as a seller or buyer.
There are several websites that offer access to customisable legal document templates, sometimes for no cost and sometimes for a fee. If you're searching for a free sale of goods agreement template, some of your options include:
Make sure any template you choose is suitable for your sale/purchase and satisfies the legal requirements in your state or territory.