Business Agreement

Party No. 1 is engaged in manufacturing, technology development, production, and sales across various sectors. In food products, Party No. 1 manufactures Ayurvedic mouth fresheners, dry fruit honey, and similar products. In green energy production, Party No. 1 develops and sells innovative and nationally beneficial products such as water-operated stoves, power generation systems, and two-wheelers operating without petrol and without batteries.

Out of these, for the water-operated stove, this Business Agreement is executed under the following terms and conditions.

Terms and Conditions

1. Party No. 2 is appointed as District Stockist for __________________ District. For this appointment, a non-refundable amount of INR 25,00,000/- has been deposited today into the bank account of Party No. 1. Transaction No.: __________________.
2. Party No. 2 shall assist in appointing Taluka Distributors within the district. Each Taluka Distributor shall pay a non-refundable amount of INR 5,00,000/- to Party No. 1.
3. Upon receipt of the non-refundable amount of INR 5,00,000/- from a Taluka Distributor, 20% of the said amount shall be paid to Party No. 2. Similarly, upon receipt of a non-refundable amount of INR 1,00,000/- from a Retail Agency, 10% of the said amount shall be paid to Party No. 2. This mechanism will help Party No. 2 recover the non-refundable amount of INR 25,00,000/- paid to Party No. 1.
4. For the appointment of Taluka Distributors, 100% contribution shall be paid by Party No. 2 to Party No. 1. An authorized representative of Party No. 1 shall remain present during such appointments.
5. The distribution structure shall be as follows: District Stockist → Taluka Distributor → Gram Panchayat Retail Agency. Per stove, the profit margin shall be INR 500/- for the District Stockist, INR 750/- for the Taluka Distributor, and INR 1,250/- for the Retail Agency. The billing amount including GST shall be INR 22,500/- for Party No. 2.
6. Special Magic Water required monthly for each stove, depending on daily usage, shall be supplied onward by Party No. 2. The rate shall be INR 45/- per liter. Party No. 2 shall receive it at INR 29/- per liter, supply it to Taluka Distributors at INR 31/- per liter, and to Retail Agencies at INR 35/- per liter. Accordingly, the profit margins shall be INR 2/-, INR 4/-, and INR 10/- respectively.
7. This shall be a monopoly business; therefore, a non-refundable deposit condition is applicable. This business assures guaranteed income. For placing further orders, Party No. 2 must submit a Purchase Order (PO) along with advance payment to Party No. 1.
8. Party No. 2 shall submit a Plan of Action for potential business in their allotted region to Party No. 1. As manufacturing of stoves takes approximately 21 days, Purchase Orders must be placed accordingly. Failure to do so may result in delay in delivery.
9. Upon receipt of payment along with the Purchase Order, the material shall be delivered to the warehouse of Party No. 2 within 21 working days.
10. Party No. 2 shall supply the material only to Taluka Distributors. Taluka Distributors shall further supply the material to Gram Panchayat Retail Agencies.
11. If Party No. 2, despite being a District Stockist, wishes to retain a Taluka under their own control, payment of the Taluka non-refundable deposit shall be mandatory.
12. The non-refundable deposits of Taluka Distributors and Gram Panchayat Retail Agencies shall be deposited directly into the bank account of Party No. 1. Separate agreements shall also be executed directly with Party No. 1.
13. Training for the said technology shall be provided by Party No. 1 to all agencies.
14. This agreement shall not be terminated for the first three (3) years under any circumstances. This condition shall be binding on both parties.
15. The non-refundable amount shall not be returned; however, the agency may be transferred to another person.
16. Party No. 1 reserves the right to make changes or modifications to rules and procedures during the course of business operations.
17. Any disputes shall be subject to the jurisdiction of Pune Courts only.
18. Both parties confirm that they have carefully read and understood all the terms and conditions of this agreement and agree to abide by them. This agreement is executed voluntarily without any coercion.