Small Business Opportunity (SBO) Installers Agreement
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1 Small Business Opportunity (SBO) Installers Agreement Entered into between Self Sealing Tyre Technology (SSTT) (Supplier) 1177 Leader Rd, Unit 8 Main Reef Industrial Estate Stormill, Roodepoort (011) Vat REG # 2011/003941/23 & SBO 1
2 Table of Contents 1. Parties Period & Remuneration Terms, Conditions and requirements Products Pricing Ordering procedure/payment Delivery Storage Pricing structure Non-tampering of products Non-liability Marketing material Undertakings Confidentiality Governing law
3 1. Parties By selecting the accept button, you undertake to be an SBO of SSTT. 2. Period & Remuneration It is agreed by both parties that this is an agreement whereby the supplier gives the above SBO small Business opportunity/person/company the right to sell and market its products. This includes the installation and service related to installing SSTT product. Installations can commence after training has been done by Head Office and once Head Office deems the installer/sales person qualified in writing or certification is issued by the standards set by the training officer. 3. Terms, Conditions and requirements It is agreed that should any staff be employed by the qualified person on this agreement whether for sales or installations, they will be sent to Head Office for training at the expense of the employer. Any improvements/upgrades to the products or tools required will be for the SBO account and they agree to buy any products or tools solely from the supplier. Should they approach any corporate companies and signs of interest arise, the person agrees to notify SSTT where a professional demo and quote can be issued. A sales person whom is not a SBO is entitled up to 10 (ten) percentage commission of the Vat exclusive amount of the first transaction. All SBO s, employees or sales person understand that they are not employed by SSTT in any manner. All parties agree to certain rules and regulations as per SSTT s request. Those will automatic apply to their employee and are to be adhered to at all times. Dress code is always with SSTT s standard issues at the expense of the SBO unless otherwise arranged by written consent from SSTT. The supplier reserves the right to sell his product or modified product to a third person under their own brand or company logo. SSTT reserves the right to not held accountable as this is normally done without our knowledge. SBO need written permission for the way they wish to conduct their business and where they wish to set up an installation centre. SBO is limited to purchasing directly from SSTT HQ until such time as the head office notifies the SBO that they now fall under a franchised area where they will now be obligated to purchase from without any price adjustment to the SBO. Warranty booklet have to be purchased and filled out on every installation. The SBO understands that each tyre needs to be balanced before installation. The tyre is TUBELESS. Every tyre size is to be confirmed with the tyre volume booklet before commencing installation. Every installation requires to be driven almost immediately for at least 10 km. If the client requires the installer to drive the car, this is solely at the installer s decision and responsibility. The owner or authorizing person to sign that they are aware of all of these requirements and that they comply with them. The client is also required to sign acknowledgement that No Side wall damage is covered by our product and installation and 3
4 tread area punctures up to 6(six) mm diameter punctures in light vehicle tyres and 12 (twelve) mm diameter punctures in commercial tyres are repairable by SSTT products. A further acknowledgement is required that there isn't ANY OTHER SEALANT currently in any of the tyres that are about to be treated with SSTT. The installer also agrees to install SSTT only while the valve is between the 3-5 o clock positions or between the 7-9 o clock positions. It is compulsory that the installer have protective wear, back up valve core pins, a portable compressor and sufficient product to complete the installation. Should the installer fail to tell the client about the possibility of the steering wheel shuttering for the first 10km min, the client seeking a full refund and the product removed from the tyre to be done at the expense of the installer and not the supplier. Should the client need multiple installations and they cannot be done with one visit, the SBO agrees not to charge a further call out unless otherwise agreed and provided for in the original quote given to the client. Every Demonstration done by any one member of the SBO (whether at a client s premises, shopping centre or Expo) is to be executed with extreme caution and the most professional manner possible. The demo requires sharp objects, high pressured tyres, heavy objects and protective gear/ cautionary warning signs. Appropriate allocated/ marked off space is required. The SBO is required to have PUBLIC LIABILITY INSURANCE in his own personal and private capacity before any products or demonstrations can commence for no less than R5 million rand (Five Million Rand). No person is allowed within 1 (one) meter of his demonstration and it is the SBO s responsibility to control all these requirements. Absolutely, NO PUBLIC MEMBER is allowed to do an actual or physical demonstration (whether puncturing or removing instruments from the demonstrating objects or area) for themselves to see if the product works. Should someone try to remove the penetrating object from the tyre, the SBO or its demonstrator needs to immediately cover the tyre surface with his palm of the hand while the penetrating object is between his second and third finger. 4. Products 4.1 Pricing The prices for the products charged by the Supplier to the SBO are not quantity related. 1 Litre SSTT DIY bottle R200 (Two hundred Rand). If you are VAT registered it will then be inclusive of VAT. The SBO will purchase at R125 (One Hundred and twenty five Rand) inclusive of VAT irrespective of its packaging size. 25 litre drums are R160/litre (one hundred and sixty rands) The price structure shall always be determined in South African rands In the event that the price structure changes, then the Supplier undertakes to give to the SBO 15 (Fifteen days) written notice of such change but reserves the right to increase/decrease as feels necessary. 4.2 Ordering procedure/payment The Installer undertakes and acknowledges that: They must order the products from the Supplier, or indicate the quantity required in writing; The Supplier shall not be liable for any costs in transporting the products to its marketing venue, which include, but are not limited to transport costs, insurance, freight and duty from the Supplier s warehouse; 4
5 4.2.3 The SBO understands that they are not entitled to free samples of product unless otherwise indicated by SSTT in writing The products shall be fully paid for by the SBO before such products are dispatched from the Supplier s warehouse. Payment is to be made upon presenting a PROFORMA invoice and paid by electronic transfer (EFT) to the Supplier s bank as nominated by the Supplier from time to time or unless otherwise arranged prior. 4.3 Delivery The Supplier undertakes to despatch the products to the SBO upon proof of full payment has been received. Collections can be done directly from Head Office/depots upon confirmation. Any delivery charges are for the purchaser s account. 4.4 Storage The SBO acknowledges that it is imperative that the products are stored correctly and in compliance with storage instructions as provided by the Supplier from time to time. Any damaged products will not be accepted for full credit/refund. The handling fee of 50% will be charged. 4.5 Pricing structure The SBO shall sell the products at prices indicated by the supplier at all times according. Any price adjustments or samples require written permission from the supplier. 4.6 Non-tampering of products The SBO undertakes to sell the products in the same condition as it receives them, and shall not alter, remove, or in any way tamper with the products without written consent. 4.7 Non-liability Defective product or any public liability claims during demos or installations to be for the SBO s account if they fail to use the precautionary methods as taught and as prescribed in this agreement Any installation where the product was wrongly installed or the incorrect quantity used, it is at the installer s expense and responsibility to make correct that installation. It is agreed by the parties that SSTT is not accountable whatsoever It is the responsibility of the installers to ensure they are wearing the proper protective clothing at all times. 4.8 Marketing material The Supplier undertakes to furnish marketing material from time to time, in its possession. 5
6 4.8.2 The costs of providing printed marketing material to the SBO shall be borne by the SBO. Any marketing material used or supplied other than that from SSTT will require SSTT s permission/approval and will be for the account of the SBO. A demo tyres/mags/rims and visual equipment is for the SBO s account. 4.9 Undertakings Immediately to bring to the attention of the Supplier, any improper or wrongful use in the exhibition of any matters pertaining to the products which come to its notice, and shall assist and at the Supplier s cost of and in consultation with the Supplier, at its sole discretion, take such steps as may be appropriate to defend the lawful rights and interests of the Supplier and the products; Not to make any promises, representation, warranties or guarantees with reference to distribution of the products, except such as are consistent with those made by the Supplier; Not sell similar products for any other entity, which may be similar to any of the Supplier s products, and which may create a conflict of interest between the Supplier and the other entity without the Suppliers written consent. 6. Confidentiality 6.1 The SBO acknowledges to receiving Limited information of the Supplier. 6.2 The SBO accepts that the Supplier has to protect its rights in respect of its information. 6.3 The SBO undertakes to keep confidential all such information which may come to its knowledge, either directly or indirectly, during the subsistence of this agreement and any time after the termination of such agreement. 6.4 The SBO undertakes not to use any of the information to its benefit, directly or indirectly for an unlimited time. 7. Governing law 7.1 The parties record that the construction, validity and performance of this agreement shall be governed by the laws of the Republic of South Africa. 7.2 The parties furthermore agree that the jurisdiction of the High Court of South Africa (Witwatersrand Local Division) Supreme Court shall be the competent court in the event that any legal action is instituted in this matter. 7.3 Should the Supplier institute legal action against the SBO for reasons the SBO fail to adhere to, then the SBO undertakes to pay the legal costs on the scale as between attorney and own client. 6
7 Annuxure A PLEASE NOT THAT THIS IS NOW REPLACED WITH SSTT WARRANTY BOOKLETS. Annuxure B LIST OF POINTERS TO BE POSED TO THE RESPECTIVE CLIENT AS WELL AS CHECKS TO BE DONE BY RESPONSIBLE INSTALLER 1. Can the vehicle be driven for approximately 10km at 120km/hr immediately once installation is completed? 2. Are the tyres all tubeless? (installer to confirm ON all tyres) 3. Have all four tyres been properly balanced? 4. Has any other sealant been used? 5. Inspect tyres and mags for, side wall damage, mag rim damage, foreign objects, legal tread life, etc and bring to clients attention anything including caps that are missing off the valves. 6. Confirm you have space to work and move ability of vehicle. 7. Try have client remain near the vehicle so you have confirmation that work was completed on all four tyres. 8. Establish tyre size on side walls of all four tyres, making sure they all the same and then determine quantity of SSTT product to be used on each tyre 9. Fill out Consent Form/Warranty booklet with client and bring to attention all important facts and pointers. 10. Protective safety wear to be fitted ie. glasses, overall jacket, reflective gear, gloves etc 11. Working consumables ie cloths, spare valve pins, valve key, 500x500 working mat, valve caps etc 12. Air supply to be close at hand. 13. Floor surface to be noted and proper provision taken. 14. Orientate valve to either 7 or 4 o,clock for proper material displacement. 15. Set up work space with hose and container pump at arms length. 16. Systematically go through own equipment making sure all is in working order. 17. Check valve clamp is not stuck. 18. Make sure there is product in hose line. 19. Make sure tap on hose line is closed before connecting. 20. Once product is installed, check that valve pin rubber are still fine. 21. Clean area and tyre if required and ensure valve cap is screwed back on. 22. Client to take vehicle and pump tyres to the correct pressure. 7
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