If the seller has not resolved the issues after a reasonable period of time to remedy the situation, the business owner must notify the seller in writing to terminate the contract immediately or within the time necessary to switch to a new seller. As mentioned earlier, the exact documentation of why you want to part with your vendor will be the basis for a successful exit strategy. Even if you don`t break the terms of a contact, you need to know why it`s time to say goodbye. Is it the quality of the work or its absence? Are these financial reasons? Has there been a change in personnel on your side that has impacted your relationship? Is there a change in personnel on your side that will affect the relationship? Write down the reasons and find the least emotional way to present them. As personal as these relationships may seem, this is ultimately a business and should be treated as such (although it`s always a good idea to add kindness to the mix). No matter how your breakup goes – good, bad or ugly – make sure you`ve confirmed every step of the process in writing. After your conversation, summarize the terms in an email to your provider. It`s also good to get their confirmation in writing, but if you suspect the process will be difficult, you can always include a clause such as « Unless we hear anything else from you, we assume that our oral agreement is in effect on an end date of X. » Setting a timeline for results and completing the work will also help move things forward. Without these contractual provisions, a financial institution is at the mercy of the seller.

He can charge you what he wants to leave. If you end the relationship because the provider did not meet expectations, make sure you have the documentation to prove the breach. If you cannot prove the supplier`s performance errors, you are required to pay a cancellation fee. You`ll also likely pay these fees if you end the relationship for convenience. The reality is that business needs change regularly and business offerings also change. If the provider no longer has the offers you need for your business, there is no reason for them to continue to be your supplier. At the same time, this does not mean that your business relationship has to end with this contract. Over the years, I`ve seen terrible behavior from companies that « spit out the mannequin » when they were told they had lost a contract. You think the relationship is over, so what`s to lose? They begin to be rude, stop answering calls, start sending ridiculous bills, become uncooperative and generally behave badly.

What they don`t realize is that this word is circulating. We all talk to people about our network and a bad separation of a provider is a very common topic of discussion. No one wants to hire a new supplier if they`ve heard rumors that they`re bad during breakups. Ideally (in retrospect – but useful for future relationships), you should have agreed on a clear exit plan while the terms of the contract were in the development phase (during the first 90 days of due diligence with the seller at the beginning of the agreement) and when both parties to the relationship were cordial. This should then have been updated through a « redesign process » every six months to reflect current work practices and innovations in service delivery. By planning for the worst and bringing together actions to get the best, companies can be ready to manage and lead an effective termination and exit strategy. Recently, I had to call a provider to let them know that I no longer needed their services. We had been working together for a few years, but I had to work with a company that could offer a different service. The original supplier had done nothing wrong, it was just time to change.

So I made the call and I was very sorry and sincere and let them know it wasn`t them, it was me. It was (I thought). In some situations, the acts or omissions of a supplier significantly harm a business, and such acts or omissions cannot be corrected or cured by the supplier. .