The Sales Manager Employment Contract is essential for organizations hiring sales leadership positions in the United States. This agreement serves as a legally binding document that protects both employer and employee interests while clearly defining the role's responsibilities, compensation structure, and performance expectations. It addresses crucial aspects such as territory management, team leadership, commission structures, and sales targets, while ensuring compliance with federal and state employment laws. The contract is particularly important for establishing clear metrics for success and protecting company interests regarding customer relationships and proprietary information.
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1. Parties: Identification of employer and employee with full legal names and addresses
2. Background: Context of the employment relationship and purpose of agreement
3. Definitions: Key terms used throughout the agreement including commission, territory, and targets
4. Position and Duties: Detailed description of role, responsibilities, and reporting structure
5. Compensation: Base salary, commission structure, and payment terms
6. Benefits: Health insurance, retirement plans, and other employee benefits
7. Working Hours and Location: Expected working hours, location, and travel requirements
8. Term and Termination: Duration of employment and conditions for termination
9. Confidentiality: Protection of company information and trade secrets
10. Intellectual Property: Ownership of work product and innovations
11. Governing Law: Jurisdiction and applicable law governing the agreement
1. Non-Compete: Restrictions on post-employment competition (include only where permitted by state law)
2. Non-Solicitation: Restrictions on soliciting employees or customers after employment ends
3. Relocation: Terms for geographic relocation if required for the position
4. Stock Options: Terms of equity compensation if offered as part of the package
5. Remote Work: Provisions for remote work arrangements if applicable
1. Schedule A - Commission Structure: Detailed breakdown of commission calculations, targets, and payment terms
2. Schedule B - Sales Territory: Definition of geographic or customer segment responsibilities
3. Schedule C - Performance Metrics: Specific KPIs and performance expectations
4. Schedule D - Benefits Package: Detailed description of all benefits and eligibility requirements
5. Schedule E - Expense Policy: Guidelines for business expense reimbursement
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