Jump to content

Feedback on ADA / Broker Fee's


JoshGreenDoor

Recommended Posts

Hey All!

We're working on our First ADA distributor contract. An ADA in Michigan is an Authorized Distribution Agent. They are the only people we can sell to and use to distribute our product. This particular ADA also functions as a broker and helps sell / promote the product. That is while you'll see those numbers split out. 

As we navigate this, we'd love some feedback and are willing to share some numbers to benefit the whole.

As an ADA -Michigan’s term for an Authorized Distribution Agent ie.. Distributor 
Delivery Charge                            $10.00 per case ($7.50 paid to supplier by the MLCC with supplier paying an additional $2.50 to ADA
Monthly Storage Fee                        $0.20 per case per Month (For product older than 90 days)
Special Handling Charge                    $0.75 per case (i.e. handling, repackaging, labeling, coding, returns)
 
As a Broker
Commission - 10% per 9L(12 btl) case. 
Bonus of - 5% per 9L case above X volume. 

I see the ADA Fee's being in the right ballpark, but maybe a little high.

As for Broker Fee's, It seems high. Is anyone else seeing this high of a fee?

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
×
×
  • Create New...