TEALET NETWORK AGREEMENT

TEALET NETWORK

OVERVIEW

The Tealet Network is a collaborative industry platform that practices a business framework called “Distributed Entrepreneurship”. The underlying culture of this network is transparency. Tealet’s role is to utilize technology to bring optimal efficiency and transparency to the trade of product in the Tealet Network.

The purpose of this agreement is to establish a standard of transparency of how business is conducted on Tealet’s supply chain platform. 

TEALET CATALOG

Tealet maintains a catalog and warehouse in Las Vegas, Nevada where orders of minimum 1 unit can be ordered through www.tealet.com or via email info@tealet.com.

The Tealet catalog price is set by the producer which is collected by Tealet and distributed to the producer depending on the business model chosen.

Stock for the Tealet catalog is imported in bulk from origin based on two business models: prepay and consignment. 

Consignment - If the producer ships the inventory in advance to the Tealet warehouse in Las Vegas, NV, Tealet will hold a 20% commission after the product has been sold. Tealet will not allow the producer to forward more than forecasted 1 year stock as to ensure the producer gets paid within the year. The producer is paid upfront for shipping costs.

Prepay - If prepayment is required before shipping the tea, Tealet will hold a 40% commission, or receive a 40% discount. Tealet will decide the quantities that will be sold.

Value Provided by Tealet in Tealet Catalog:

• Product Development and Quality Control with Producers
• FDA FSMA Foreign Supplier Compliance
• Payments to Producers
• Accepts buyer payments in any currency with competitive market foreign currency exchange rates
• FDA compliant USA warehousing
• 5 Business Day buyer order processing from USA warehouse
• Catalog curation for buyers
• Marketing consulting with buyers 
• Full media license to all Tealet media associated with tea sourced in the network

TEALET BROKERING

For larger bulk tea orders Tealet may find more efficiency in having the tea dropshipped from origin directly to the buyer. In this case the producer has the opportunity to customize their tea invoices to meet the buyers sourcing goals of price and quality. This communication is facilitated by Tealet and orders are confirmed via cleared invoice payment by the buyer through Tealet. Tealet will clear payment with the producer to confirm the order and arrange shipping and FDA compliant logistics, but the buyer is responsible for all logistics costs and other fees that come through in the delivery of the tea from origin.

For dropshipped orders less than 600kg Tealet holds a 20% commission when distributing payment to the producer.

For dropshipped orders more than 600kg Tealet holds a 8% commission when distributing payment to the producer.

Only ACH payments are accepted for Tealet Brokering invoices.

Value Provided by Tealet in Tealet Brokering:

• Product Development and Quality Control with Producers
• FDA FSMA Foreign Supplier Compliance
• Payments to Producers - Insuring buyers payments until tea is confirmed shipped by producer
• Opportunity for credit card buyer payments or payment terms with additional fees
• Accepts buyer payments in any currency with competitive market foreign currency exchange rates
• Facilitation with logistics and customs brokers to ensure speedy delivery
• One-on-one product development help for producers and buyers to meet sourcing goals (6 months development period for full value)
• Marketing consulting with buyers 
• Full media license to all Tealet media associated with tea sourced in the network

* Importing, customs clearing, and forwarding costs and delays are unique to each invoice and will only be given as an estimate at the time of confirmed order. The buyer is responsible for promptly paying additional fees to ensure efficient delivery. Tealet will work in each case to ensure the proper Producer/Tealet cut is maintained for each transaction by the time of delivery

TEALET NETWORK AGREEMENT

This Tealet Network Agreement is an intentional way of doing business, an agreed upon standard of transparency by and between Tealet and “Tealet Network Member”.