Top 10 Wholesale Terms Every Product Brand Should Define

Clear wholesale terms protect both the maker and the buyer by turning assumptions into an orderable, reviewable agreement. They should match actual capacity and economics rather than copied industry language.

Top 10 terms

1. Opening-order minimum: the first order’s minimum dollars, units, or cases.
2. Reorder minimum: often lower once setup and onboarding are complete.
3. SKU, case-pack, and mixed-case rules: define order increments and permitted assortment.
4. Wholesale price and MSRP presentation: include currency, effective date, and price-change notice.
5. Payment terms: deposit, prepayment, card, Net terms, late handling, and credit approval.
6. Lead time and ship window: explain when the clock starts and how seasonal cutoffs work.
7. Freight and shipping terms: payer, carrier, risk transfer, insurance, accessorials, and routing instructions.
8. Shortage and damage procedure: reporting deadline, evidence, replacement, credit, or claim process.
9. Returns, unsold goods, and discontinuation: state what is accepted and under which authorization.
10. Promotions, channels, and cancellation: address discount approval, marketplaces, territories, custom work, and committed inventory.

Tie terms to profitability

Net 30 may be commercially normal for a buyer but can create working-capital strain for a maker that pays suppliers before production. Free freight can erase contribution on distant or small orders. A low reorder minimum can create more administrative and pick cost than the sale supports.

Use the wholesale order profit calculator to include COGS, freight, labor, fees, discounts, and fixed order cost. Use the MOQ calculator to set a defensible floor.

Batch Scale retains price tiers, quotes, revisions, margin approvals, credit holds, acceptance evidence, orders, invoices, and fulfillment history. Terms presented in a line sheet or quote should identify their version and effective date.

This is business guidance, not contract drafting. Have legal, tax, accounting, and insurance professionals review terms appropriate to your products, jurisdictions, and relationships.