A reseller is an individual or business entity that purchases products or services with the intention of selling them to end users for a profit. This can be done under their own name or as an authorized dealer for the manufacturer. Resellers often need to obtain a reseller's license to legally sell certain products. They may also bundle products with other items or incorporate them into their own branded offerings.
The term "reseller" is commonly used in commercial law, particularly in areas related to sales and distribution. Legal contexts may include:
Users can manage their reseller activities with the help of legal forms and templates provided by US Legal Forms, which are drafted by experienced attorneys.
Here are a couple of examples of abatement:
Example 1: A small electronics store purchases smartphones from a manufacturer and sells them directly to consumers. The store operates under its own brand name and has obtained the necessary reseller's license.
Example 2: A clothing retailer buys apparel from various brands and sells them in a bundled offer, such as a shirt and pants set, under its own brand. (hypothetical example)
Examples of state differences (not exhaustive):
| State | Reseller License Requirements |
|---|---|
| California | Requires a seller's permit for sales tax purposes. |
| Texas | Requires a sales and use tax permit. |
| New York | Requires a resale certificate for tax-exempt purchases. |
This is not a complete list. State laws vary, and users should consult local rules for specific guidance.
| Term | Definition | Key Differences |
|---|---|---|
| Wholesaler | A business that sells products in bulk to retailers. | Wholesalers typically sell to resellers, not directly to end users. |
| Distributor | An entity that supplies products to retailers or resellers. | Distributors often have exclusive rights to sell certain products in specific areas. |
If you are considering becoming a reseller, follow these steps:
If your situation is complex, consulting a legal professional may be beneficial.
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A reseller can sell products under their own brand or name, while a retailer typically sells products directly to consumers without altering the brand.