Join Now
Browse Template

Correspondence between Principal and Agent

Principle's Reply to a Commission Rate Increase

This document can be used as a template for the principal to reply to the agent's proposal of the commission rate increase. It is a letter for principal and it could be used to accept or refuse the proposal, and it also offers the alternatives of a commission rate increase. 

How to Tailor the Document for Your Need?


Create Document

Click "Create Document" button and the document will be prepared with your account details automatically filled in.


Fill Information

Please fill in any additional information by following the step-by-step guide on the left hand side of the preview document and click the "Next" button.


Get Document

When you are done, click the "Get Document" button and you can download the document in Word or PDF format.


Review Document

Please review the document carefully and make any final modifications to ensure that the details are correct before sending to the addressee.

Document Preview

Document Description

The document titled 'Correspondence between Principal and Agent' is an important communication tool used between a principal and an agent. It serves as a means of exchanging information, discussing business matters, and reaching agreements.


The entire document consists of a letter format and is divided into several sections. The first section includes the account information of the sender, including their first name, last name, job title, and address. This information helps in identifying the sender and establishing their credibility.


The next section includes the date of the correspondence, which is important for record-keeping and reference purposes. It ensures that the communication is timely and up-to-date.


The salutation 'dear sir/madam' is used to address the recipient of the letter in a polite and respectful manner. This sets the tone for the rest of the communication.


The main body of the letter expresses gratitude for the recipient's previous communication and acknowledges the challenges posed by competitors. It emphasizes the quality and competitive pricing of the sender's goods, which are expected to result in increasing sales.


The sender recognizes the need for more active advertising in the short term to counter the competition and proposes a solution. Depending on the value of the variable 'increase', the sender either suggests increasing the commission rate or offers an alternative solution due to limited profit margins.


The letter concludes with a hope for the recipient's acceptance of the proposed arrangement and ends with a polite closing and the sender's name and job title.


Each section of the document serves a specific purpose and contributes to the overall effectiveness of the communication. The document's structure and content are designed to convey the sender's message clearly and professionally.

How to use this document?

1. Enter account information: Fill in the account first name, account last name, account job title, and address in the designated fields. This ensures accurate identification of the sender.

2. Specify the date: Enter the current date in the designated field. This helps in maintaining a record of the correspondence.

3. Address the recipient: Use the salutation 'dear sir/madam' to address the recipient respectfully.

4. Express gratitude and acknowledge competition: Thank the recipient for their previous communication and acknowledge the challenges posed by competitors. This shows appreciation and awareness of the market.

5. Highlight quality and competitive pricing: Emphasize the high quality of goods and their competitive prices. This helps in building confidence in the sender's products.

6. Discuss short-term competition: Recognize the need for more active advertising in the short term to counter the competition. This shows proactive thinking.

7. Propose a solution: Depending on the value of the variable 'increase', either suggest increasing the commission rate or offer an alternative solution. Consider the profitability of the business.

8. Conclude with a hope for acceptance: Express hope for the recipient's acceptance of the proposed arrangement. End the letter with a polite closing and the sender's name and job title.


Note: This guidance focuses on the practical aspects of using the document and emphasizes effective communication and professionalism.

Related Documents