Sales Agents

Who is a sales agent?

Sales agents

• are independent entrepreneurs;
• are entrusted with arranging the sale goods or concluding transactions in the name of and on behalf of the principal.

Definition of the term self-employed sales agent in the Federal Austrian Law on sales agents:

• "A sales Agent shall mean a person who has been continuously entrusted by another person (hereinafter called the "Principal") to negotiate or conclude business, unless concerning immovable property, on behalf of and in the name of the Principal and who performs this activity on a self-employed and commercial basis." 

The Federal Austrian Law regarding the legal status of self-employed sales agents you may find in the Law on Commercial Agents (HVertrG 1993).  

The benefits of Austrian sales agents

Austrian sales agents are specialists in sales and marketing.

• Sales agents have up to date market knowledge
  They provide their principal with first hand information thus enabling fast action.
• Sales agents work professionally
  Due to technological changes, sales agents and their modern tools consist of a perfect liaison with the market.
• Sales agents have long standing customer relationships
  Sales agents take good care of their business relationships with their customers. A deep rooted relationships remains important in difficult market conditions.
• Sales agents are sales specialists
  Sales agents represent several principals and can therefore put together a perfect range of products that complement each other for their clients.
• Sales agents work based on turnover
  Sales agents only receive payment once a sale has been completed and i the form of a commission, which is regulated in the contract.
• Sales agents do not charge fixed fees
  Sales agents are independent entrepreneurs. The principal therefore does not pay any social costs such as vacation and Christmas bonuses or health insurance. No emoluments, car, training or overhead expenses are incurred.
• Sales agents enable flat organisational structures for the principle
  Outsourcing sales and parts of marketing operations (such as market observation, product launch) to independent sales agents creates lean organisational structures. The principal saves on staff, avoids surplus capacity and can concentrate on core business.
• Sales agents / sales agencies are strategic partners in a globalised world
  Sales agents are indispensable contacts for exporting firms all over the world. With their knowledge, new markets can be opened up with limited risks. All Austrian commercial agents are members of the Austrian Federal Economic Chamber and the international association IUCAB and are governed by the Law on Commercial Agents (HVertrG 1993).