Legal Question in Business Law in New Jersey
Which contract should be used?
I have started an LLC. A food delivery
service. Is there a basic contract that I
can use as an agreement between my
delivery service and a restaurant. I
would like to charge restaurants a
small percentage on each food order
delivered by my company plus have
their menus printed and distributed
throughout my delivery area. food
orders could be called in, to my
dispatch person- we would arrange for
payment then fax order to restaurant
and our delivery person would pick up
order and deliver it within a certain
timeframe for an additional fee from
the customer. We would like to pay
the restaurants for the food orders
once or twice a week.
6 Answers from Attorneys
Re: Which contract should be used?
I know of no industry-standard contract for the work that you propose.
You are on the right track in wanting to get your agreement in writing. Doing business on a handshake is risky and usually costs more in the end.
As with most businesses, yours should have some kind of continuing relationship with a lawyer. A good way to get started is to get your lawyer to draft your contract. That way, he or she will understand your business and will be able to help you when you need it.
Re: Which contract should be used?
As John suggested, I would contact an attorney to draft a contract specific to your needs. My office drafts business contracts and would be able to assist you with this, please feel free to call us for a free consultation 7323703000.
Re: Which contract should be used?
First, it is smart that you have established a Limited Liability Company. You should have an appropriate Operating Agreement, with buy-sell provisions if you have a partner.
There is no "standard" contract for your food delivery service. My understanding is that some food delivery services actually pay each time the food is picked-up (usually by a deposit account, sometimes by credit card.) The restaurants usually do not want to give credit, especially at first. The way extra profit is made is the delivery service gets a discount off of the menu price.
I have more business information on my web site http://www.taxesq.com
I hope this helps!
Ron Cappuccio
8566652121
Re: Which contract should be used?
I agree with Amy and John, but call some interesting information to your attention. You do not say in what part of the State your business is located. Where I live (northern NJ) there is a delivery business called Road Runner that has these types of arrangements with many local restaurants. Rather than charge the restaurants a fee, they have the restaurants contribute to a full-scale menu directory, in which each participating restaurant gets to print their menu. The prices listed, for pickup and home delivery is slightly higher than the in-house eating restaurant, which covers the pickup and delivery charges. This has been very successful and there are probably a dozen or more area restaurants that participate. There may be an additional delivery charge, that depends how far the travel is between the delievry location, the participating restaurant and the customer. Being familar with the concept, I can assist you in both the contracts you need, plus assist in providing some of the area material that is used by the delivery service.
Re: Which contract should be used?
I am in general agreement with some of the other posts here. There is no specifically titled agreement that is appropriate here, except that the relationship between yourself and the restaurant would be one of an independent contractor, so the contract's terms would be reflective of that.
My office has prepared dozens of these types of agreements for various businesses, and would be happy to help you as well.
Re: Which contract should be used?
Hire an attorney who is reasonably near you to draw up the agreement that you want.
If you would like, give me a call; I am in northern New Jersey. The telephone consultation will be free. I will do what I can to help you out.
My contact information can be obtained from the links below, just click on the Attorney Profile link. Let my secretary know you found me through LawGuru.
Disclaimer: you can not rely on the advice of an attorney given over the internet. The exact facts of your situation, including facts which you have not mentioned in your question, may completely change the result for your situation.
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