B2B sales glossary
A sales contract is a legally binding agreement between a seller and a buyer that sets out what is being sold, the price, delivery and payment terms, and each party’s obligations.
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A sales contract turns a deal into enforceable obligations. In India, contracts in general are governed by the Indian Contract Act, 1872, and contracts for the sale of goods also by the Sale of Goods Act, 1930.
In B2B sales the contract may be a purchase order accepted by the seller, a master services agreement with order forms, or a full sales agreement negotiated by legal teams.
| Clause | What it settles |
|---|---|
| Parties | Who is buying and who is selling |
| Scope | Exactly what goods or services are sold, with specifications |
| Price and payment | Amount, taxes, payment schedule, late-payment terms |
| Delivery | When, where and how; who bears transport risk |
| Warranties | Quality promises and remedies |
| Term and termination | How long it lasts and how either side can exit |
| Dispute resolution | Governing law, jurisdiction or arbitration |
| Term | In one line |
|---|---|
| Sales Cycle | The sales cycle is the average time from a lead's first touch to closed-won. |
| Point of Contact (POC) | A point of contact (POC) is the person designated to handle communication on a specific matter between two organisations or within a team. |
| Sales Coordinator | A sales coordinator supports the sales team by handling the administration around deals — quotations, orders, schedules, CRM records and communication with operations and customers. |
| Personal Selling | Personal selling is face-to-face or one-to-one selling, where a salesperson communicates directly with a prospect to understand their needs and persuade them to buy. |
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The Indian Contract Act, 1872 applies to contracts generally; contracts for the sale of goods are also covered by the Sale of Goods Act, 1930.
A purchase order is an offer; once the seller accepts it, the accepted order forms a contract.
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