What are the cooperation terms, discount structure, and payment methods for wholesale and distribution with ZUERST?

Our cooperation with wholesale or distribution partners is typically based on a clear framework agreement, covering the following three core areas:

1.Cooperation Terms

This forms the basis of the rights and obligations for both parties,primarily including:

①Authorization Scope: Designated sales territory (e.g., a specific country) and product lines, usually under a non-exclusive authorization.

②Sales Requirements: Includes a specific Minimum Order Quantity (MOQ) for the initial order and potential periodic sales targets.

③Rights and Obligations: We provide product certifications, quality assurance, and territorial sales protection. Partners are expected to adhere to the agreed territory, uphold the brand image, and are typically responsible for local marketing.

④Confidentiality Obligations: Both parties must maintain the confidentiality of business information involved in the cooperation.

2.Discount Structure

We incentivize cooperation through a flexible discount policy,which mainly includes two forms:

①Wholesale Discount: A fixed percentage discount off the retail price (e.g., 15% off), with the rate potentially adjusted based on partnership tier or product category.

②Quantity Discount: Additional discounts granted based on purchase volume, divided into one-time quantity discounts (encouraging large single orders) and cumulative quantity discounts (rebates based on total purchases over a period, fostering long-term cooperation).

3.Payment Methods

We offer different options based on order specifics and partnership history to balance efficiency and risk:

①Prepayment/Payment Before Shipment: Common for large orders, often using phased payments (e.g., 30% after contract signing, 70% before shipment, ).

②Credit Payment (Payment Terms): Available for trusted long-term partners, such as net 30 or net 60 days. To encourage early payment, this is often paired with cash discount terms, for example, "2/10, Net 30" (a 2% discount if paid within 10 days, otherwise the full amount is due in 30 days).

The specific details of the above terms (such as MOQ amounts, discount rates, payment term lengths, etc.) will be mutually agreed upon during actual negotiations based on your business scale and cooperation plan.