Offer - what it is, types and design example
The word "offer" is constantly heard, but most people still do not know what it means. This is a notification of the offer to conclude a transaction, which will differ in specific requirements from one of the parties. Mostly, this is an advantageous offer that will help to resolve the relations of the parties and will help to obtain benefits.
1. What is an offer in simple words
In other words, an offer is called an invitation to a standard transaction between a buyer and a seller.
As a result, one of the parties undertakes to provide a service or product without deviating from the quality declared earlier, and the other guarantees payment. The one who offers to conclude an agreement and pre-sends the offer is, and the party that receives it,. After the acceptor receives the offer and agrees with the conditions, he must prepare a written response in which he talks about his final decision or wants to make adjustments.
When the conditions are satisfied by both parties, they begin to prepare a contract, which spells out the obligations and requirements of the offeror and acceptor. Some believe that the offer, this is the contract, but it is not. This is only a proposal that may lead to its signing. It can be used wherever there is something to buy and sell.
2. Types of offer
There are 3 varieties:
The choice should be made depending on the situation, if you need to send an offer to several potential customers at the same time, you should send a free offer.
A solid offer is an offer that relates to the sale of a particular product and is sent to one specific addressee. If the recipient agrees, he agrees with the proposed conditions and signs the contract, after which the transaction is considered to be concluded.
After the provider sends the offer to the potential buyer, he should not send similar offers to market participants. This can only be done after the offer has expired.
If the acceptor does not agree with at least one clause of the offer, this is regarded as a refusal. But, the seller can send another proposal, which takes into account the requirements of the recipient. Such offers may be exchanged without time limits until the parties come to an agreement.
A free offer, for example, on the sale of any goods, can be sent simultaneously to several potential buyers. This transaction has no established deadlines for waiting for consent. If one of the recipients is interested in the offer, he has the opportunity to confirm his consent by sending a counter firm offer.
However, the seller may reject it if he is no longer interested in this transaction. Free use as an opportunity to explore the market. Thus, it is possible to determine the approximate number of potential customers and the ability to sell services or products at a bargain price.
This type of offer can be sent to everyone without restrictions, but its peculiarity is that it cannot be canceled after sending. In other varieties of offers, there is a special clause in which the terms for withdrawal are indicated, if necessary, but it is not in the irrevocable offer. In most cases, this type of offer is used when necessary to conduct a transaction with securities.
A public offer is the most common form of offer, which is used by most sellers to sell the product at the most favorable price on the market.
The most common example of the conditions of this offer is the price tags on goods in the store. The seller sets the price, and the consumer either purchases the goods by agreeing to it, or is sent to another seller to compare the price. The cashier's check here is considered an agreement concluded on an offer between the buyer and the store.
Anyone who is interested in the price or terms of cooperation may agree to a public offer. Such an offer can be found not only in the store, but also on the Internet, glossy magazines or seen on TV. To attract customers, the seller distributes catalogs, organizes tastings and hires people to distribute leaflets in crowded places. In this regard, some believe that a public offer is the same as advertising, but it is not.
Advertising does not apply to the offer, since the potential customer will not be able to find out on what conditions he is purchasing the product or is going to use the service. With its help, you can find out why one product is better than another. Advertising helps to attract the attention of buyers in order to conclude an agreement with them in the future. The same goes for online advertising. Here, users can receive information about the characteristics of the product, learn about its advantages and distinctive features. But, a concrete proposal, where the obligations of the parties will be spelled out, is not available here.
3. What are indicated in the conditions of the offer
In order for the submitted offer to be valid, the following rules must be taken into account:
- The recipient must have a clear idea of the conditions under which the provider wants to make a deal with him;
- If the agreement between the parties is regulated by any laws, they should be displayed in the text of the proposal;
- The offer should contain information that the seller will have specific obligations to the buyer;
- You must specify the recipient;
- The basic conditions of a possible transaction should be displayed. Basically, these are prices, the name of the service or product, and other information, depending on the specifics of the subject of the agreement;
- A sentence often has a call to action. For example, to purchase. In some cases, a specific price is not indicated, since it is not set at the same level with all sellers.
3.1. The timing
Validity period is the amount of time for which the recipient of an offer must accept it or ignore it. Several options are acceptable here:
- Sometimes the validity period depends on the specific law. For example, this applies to real estate, as its turnover is regulated at the state level. For example, if a buyer intends to acquire a land plot, a fixed term is set here. It is 30 days. More detailed information can be obtained in legislative acts;
- Some of the contracts are irrevocable subject to a limited period of acceptance. In this case, the seller sends the offer, and the potential customer must notify him of his decision in a timely manner. It is also worth considering that during this period, the sender cannot recall it. If the recipient did not answer, and the time is up, the transaction is considered not concluded;
- Another possible option is a revocable agreement with a limited acceptance period. The same rules apply here. After the recipient receives the offer, he must promptly inform about the decision. The main difference from an irrevocable offer is the seller’s ability to withdraw the offer at any time.
3.2. Rules for registration
An offer can sometimes be compared with a commercial offer sent to a potential client. But, if the buyer of a service or product decides to sign it, it will have the same legal force as the contract. In the process of drawing up the proposal, the sender must indicate that it is an offer. He must also indicate his contact details and the following information:
- True information about the service, product or work offered to the buyer. First of all, this is the name of the product, its characteristics, price and quantity;
- Calculation methods;
- It is necessary to indicate the details, as well as the ability to pay in cash, if it is convenient for both parties;
- The way to conclude a deal. In this case, it is the signing of a contract;
- Responsibility of the parties for non-compliance with the terms of the contract. It indicates the amount of fines and other types of sanctions.
The sender can draw up an offer form in free form, since its unified form does not exist.
4. Termination of the contract and non-compliance with the conditions
The offer can be terminated ahead of schedule, like any of the agreements. Speaking of legal termination, which does not entail consequences from a legal point of view, this is possible in such cases:
- The buyer did not want to take advantage of the offer or did not have time to do it on time;
- The seller made a review. At the same time, the potential client has not yet had time to use it.
Other options for termination of contracts or changes in established conditions are considered a violation. In this regard, before signing any documents, lawyers advise to pay attention to the following:
- Terms of the offer;
- Clause on the variety of the proposal;
- Obligations of the parties that will enter into force upon acceptance of the proposal.
5. When the offer is considered a contract
The offer should not be confused with an official document, since it is only necessary to invite a client to conclude it. For example, a client comes to a store where household appliances are sold and sees a TV set that costs 42,000 rubles. Until that moment, while it is on the counter with a price, this is considered an offer. But, when the buyer receives information from the seller or studies the characteristics of the TV on his own and decides to purchase it, it becomes a contract.
In other words, agreeing to the conditions studied, the buyer signs a contract. As a confirmation of acceptance of the conditions and signing of the contract, any action by the buyer is sufficient. This can be a registration on the store’s website in order to make a purchase or pay for goods in cash on the spot. When a customer pays for a specific product, he automatically confirms that he agrees to the terms of the offer.
In addition, the purchase agreement is considered to be drawn up when the client receives a notification of payment for a service or product at the proposed offer. The seller can send such an alert by e-mail or send a notification letter. In simple terms, an offer can turn into a contract only if the buyer has already paid for the goods offered on it.
6. What is acceptance
If the recipient of the offer has no objection, he accepts it. But, the buyer should be aware that not any of his answers will be evaluated as acceptance. In simple terms, acceptance is the readiness to sign an agreement. Moreover, it must meet the requirements of both parties, be complete and unconditional and complete. In this case, the acceptor agrees with all points of the proposal.
If it is necessary to make adjustments to the conditions, even insignificant, such an answer will be perceived as disagreement, and the proposal sent with amendments as a new offer. Before giving an answer, the acceptor must remember the following rules:
- If the potential client did not give an answer on time, this is regarded as disagreement with the proposed conditions or the conclusion of the contract as a whole;
- If the contract has not expired yet, and the addressee has taken any action, for example, paid for the goods, shipped it or completed the work, the conditions should be agreed based on the terms of the main contract.
The offer can be called an offer to complete the transaction. If the recipient agrees, the contract will be concluded, and the seller will have a number of obligations to the client. It is also always worth remembering the varieties of the offer, which will be appropriate in some cases. This will directly affect the response of the potential client and the sale of goods and services.