Sales Contract -- Installment Payments

If your business buys or sells goods for later delivery, you'll want to record the deal with a sales contract to minimize confusion and misunderstandings.

For instance, if you order five desks for your offices, use a sales contract that sets forth the terms: the purchase price, delivery date, method of payment and so on.

This particular contract assumes the buyer will pay over a period of months or years. Sellers can detail a precise schedule of payments, as well.

Important to Know:

• If you want to create a contract in which the buyer will pay in one lump sum, use "Sales Contract (Lump-Sum Payment)."
• Note that a sales contract doesn't complete a sale -- for that, you'll need a "Bill of Sale for Goods."
• Sellers often want to create a "Security Agreement for Sale of Goods" to provide collateral for this type of sales contract.