Free Watch Consignment Agreement Template for Dealers
A watch consignment agreement is a short contract between the owner (consignor) and dealer (consignee) that authorizes the dealer to sell a specific watch, fixes the price split, and defines who bears risk. Copy the clause template below and have a lawyer review it.
At a glance
- A watch consignment agreement proves you don't own the piece and fixes the price split in writing before you sell it.
- Essential clauses: parties, watch details (reference + serial), the consignor's net, your commission, the term, insurance/risk, payment timing, authenticity, and return terms.
- Always get it signed by both parties, with each keeping a copy — verbal consignment deals are how dealers lose money and relationships.
- After signing, tag consigned watches separately from owned stock and record the consignor's net in a payables ledger so you never lose track of what you owe.
- This template is a general starting point, not legal advice — have a lawyer review it and check your local tax and title rules first.
What a watch consignment agreement covers
When you take a watch on consignment, you sell someone else's property and pay them after it sells. A written agreement protects both sides: it proves you don't own the piece, fixes the price split, and spells out who pays if the watch is lost, damaged, or turns out to be fake. Verbal deals are how dealers lose money and friendships. Get it in writing every time. What follows is a starting template, not legal advice — have a lawyer in your jurisdiction review it before you use it.
The clauses every watch consignment agreement needs
| Clause | What to specify |
|---|---|
| Parties | Legal names and contact details of the consignor (owner) and consignee (dealer). |
| The watch | Brand, reference number, serial number, condition, and whether box & papers are included. |
| Consignor's net | The exact amount the consignor receives on sale, or a fixed percentage split. |
| Commission | Your fee — a flat amount, a percentage, or everything above the consignor's net. |
| Term | How long you hold the watch (e.g. 60 days) and what happens when it expires. |
| Risk & insurance | Who insures the watch while it's in your possession and who bears loss or theft. |
| Payment timing | When the consignor is paid after the sale clears (e.g. within 5 business days). |
| Authenticity & title | Consignor represents the watch is genuine and theirs to sell. |
| Return & termination | Condition the watch is returned in, and how either side ends the deal early. |
| Signatures | Both parties sign and date; each keeps a copy. |
Copy-and-fill template
Consignment Agreement. This agreement is made on [date] between [consignor name] ("Consignor") and [dealer / business name] ("Dealer"). The Consignor delivers the following watch to the Dealer for sale: [brand], reference [reference], serial [serial], condition [condition], box and papers [included / not included].
Price and split. The Consignor is to receive a net amount of [$ amount] on sale. The Dealer retains any amount above that net as commission. The Dealer will not sell below [$ minimum] without the Consignor's written approval.
Term and risk. The Dealer holds the watch for [number] days. While in the Dealer's possession, the watch is [insured by / held at the risk of] [party]. The Consignor confirms the watch is authentic and free to sell.
Payment and return. The Dealer pays the Consignor within [number] business days of cleared funds. If unsold at term end, the watch is returned in the same condition, or the term is renewed in writing. Signed: __________ (Consignor) / __________ (Dealer), dated __________.
Track every consigned watch after you sign
A signed PDF is step one; the money mistakes happen later, when you forget which watches you still owe on. In WatchFlow, tag each item's ownership type as consigned so it never gets mixed up with stock you own outright, record the consignor's net in the payables ledger, and log the deal against the vendor's contact for a full history. If you're deciding how to take stock in the first place, read owned vs consigned vs memo and how watch consignment works.
When the piece sells, WatchFlow's manual money ledger shows exactly what you still owe the consignor versus what you've already paid, and you can raise a memo or sales invoice with proper numbering. For ongoing pieces, tracking consignment and memo stock keeps your cash-owed figure clean. WatchFlow's Starter plan is free forever for up to 7 watches — enough to run your first few consignments before you upgrade.
Reminder: this template is a general starting point, not legal advice. Consignment, sales tax, and title rules vary by country and state — have a qualified lawyer review your agreement before relying on it.
Frequently asked questions
Is a watch consignment agreement legally binding?
What's the difference between consignment and memo?
How much commission do dealers charge on watch consignment?
Who insures a watch that's on consignment?
Does WatchFlow store consignment agreements?
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