Commissionaire
Okay kiddo, imagine you have a candy store and your friend wants to sell some of their candies in your store. But, he lives very far away and cannot come to your store all the time. So, you make him a special deal where he can bring his candies to your store and you will sell them for him. In return, you both agree that he will pay you a little bit of money for each candy that you sell for him.
This agreement that you both made is called a commissionaire agreement. Your friend is the commissionaire, which means he is the one who owns the candy and wants to sell it, and you are the principal, which means you are the person who owns the store where the candy is being sold.
So, the commissionaire brings his candies to your store and you display them on your shelves. Whenever someone comes to your store and buys one of the commissionaire's candies, you take a little bit of money from the sale and give the rest to the commissionaire.
This way, the commissionaire doesn't have to worry about coming to your store all the time to sell his candies, and you get to make a little bit of money for helping him out. It's a win-win situation for both of you!
This agreement that you both made is called a commissionaire agreement. Your friend is the commissionaire, which means he is the one who owns the candy and wants to sell it, and you are the principal, which means you are the person who owns the store where the candy is being sold.
So, the commissionaire brings his candies to your store and you display them on your shelves. Whenever someone comes to your store and buys one of the commissionaire's candies, you take a little bit of money from the sale and give the rest to the commissionaire.
This way, the commissionaire doesn't have to worry about coming to your store all the time to sell his candies, and you get to make a little bit of money for helping him out. It's a win-win situation for both of you!