Commercial Services

Commission Trade in BH Postal Service

Commission trade is a form of trade comprising an agent on one side and its client on the other.

The agent (BH Postal Service) acts as intermediary acting in its own name but for the account of the client (Supplier) which is a producer or owner of the merchandise. A fee the agent receives is called commission for the goods sold, which have to be sold with “care and diligence of a prudent businessman“.

Contract is signed for each commission deal. On the basis of the contract, an agent receives sales order for sale of certain goods, i.e. instructions of imperative and indicative nature. Commission order can be commercial or fixed. Commercial order implies purchasing and sale of goods under optimal conditions obliging the client, and the fixed order implies receiving fixed requirements that have to be obeyed, as difference is borne by the client. Commission order may be of ad hoc nature (from case to case). Commission sale is usually conducted by specialised companies qualified for certain types of business, i.e. goods, with insufficient capital of its own.

BH Postal Service usually uses fixed commission contracts.