Dealer Policy

Pangolin sells our products through dealers worldwide. We set our pricing structure to enable dealers to make a fair profit. This profit can be made both on Pangolin’s products, and on other hardware sold to end-users — for example by selling lasers and projectors along with Pangolin software. As a Pangolin dealer, you must be familiar with our products, and must also provide post-sales support to your customers.

DEALER REQUIREMENTS (Summary)

Many people contact Pangolin, wanting to become dealers. Because not everyone can — or should — be a dealer, we have set up the following requirements:

Dealers must own and be familiar with Pangolin’s line of software and hardware products.
Dealers must provide training on anything that they sell, including Pangolin products.
End-users generally come to dealers first for service. If the dealer cannot answer the question or solve the problem, then call Pangolin.
Dealers must have an active email account and web site.
Dealers must be reachable by customers within a reasonable time.
Dealers must pay outstanding invoices within the NET terms specified on those invoices.
Dealers must sell a minimum dollar amount of Pangolin product each year.
Dealers must respect our copyrights, trademarks and packaging.
Dealers must abide by our minimum advertised pricing policy (where applicable)

These requirements are described in greater detail below.

Own the software

To become a dealer, you must own the software and understand it well enough to provide initial service and support. This frees Pangolin to do other tasks such as further product development and improvement.

Be familiar with the software

It is not enough just to have bought Pangolin software or hardware. You must also use it on a routine basis so that you are familiar with it. This helps you sell our products, since you know what you’re talking about. It also helps you service your customers, which will keep them loyal to you and to Pangolin.
Although Pangolin has no specific standards for how well you know the software, we will discontinue dealers who we feel are not familiar enough to help their customers.

Provide training

You must train your customer if they desire it, or if you feel they need training. We recommend that if possible you load the software onto their computer, and show them how to use it on their projector. If this is not possible, you should at least expect to provide startup support. We believe adequate startup training should take from four to eight hours, depending on the client’s knowledge.

A few customers already know how to use Pangolin’s software and hardware, and thus, may not need training. But for most clients, you will need to do some training and to include this in your price structure.
You may wish to charge the customer a higher price, such as list price, and include extensive training. Or you may charge a lower price, closer to your dealer price, and break the training fee out as a separate option.

Service your customers

You must provide service for your customers. This means that they will contact you with questions and problems before they contact Pangolin. If you cannot help them, then you or your customer may contact Pangolin.

This is an obvious benefit for Pangolin, as we are insulated from simple problems. It is also a benefit for dealers, since they learn more about the product through their customers’ experiences.

Active email account and web site

You must have an active email account so that we can send you price lists, as well as information about product updates, bug fixes, etc. You must also have an active web site on which you promote Pangolin software and hardware along with (or integrated with) your products.

Be reachable by customers

We will never turn away customers who have not checked with their dealers first. However, we always ask end-users whether or not they have already checked with their dealer before contacting Pangolin. If your clients cannot get in touch with you, they are going to be dissatisfied. Unhappy customers may not buy again from you or from Pangolin. This is why we require dealers to be reachable. Also, we at Pangolin may need to get hold of you. We cannot have dealers who often disappear for days or weeks at a time.

On-time payment of invoices

Pangolin generally sells products on a 100% pre-payment basis. There are certain dealers who may qualify for payment terms, such as NET 30 or in some cases, NET 45. When payment terms are extended to dealers, outstanding invoices must be paid within the NET terms specified on the invoice (i.e. within 30 days for a NET 30 invoice, or within 45 days for a NET 45 invoice). Pangolin reserves the right to cancel a dealership if invoices are not paid on time.

Continuing sales

You will notice that we placed sales among the last of requirements on our list. This was done purposely, and it is because the corporate culture of Pangolin is one in which we place customer satisfaction and service as a higher priority than sales. Nevertheless, there is a minimum sales volume required in order to maintain a dealership. This sales volume requirement depends on the geographic territory you serve. For example, in territories that have more challenging economies such as South America, the sales volume requirement is lower than that of more vibrant economies. Moreover, minimum sales volume requirements may be set in other contractual agreements that augment this Dealer Policy.

OTHER ISSUES

Exclusivity

Some dealers contact Pangolin and request exclusive territories — such as a country. These exclusivities are generally not granted, except under rare circumstances. Rather than granting sales in exclusive territories, we would prefer that dealers become “exclusive” in other ways, such as by providing a complete laser system built around Pangolin’s software, or by providing comprehensive installation and training services. We believe that this is a far more effective way to differentiate yourself, than by being the only company who sells a certain product in a given territory.

Dealer exceptions

Not all of the requirements listed above will apply to all dealers. We reserve the right to relax one or more requirements where we see fit for a given market segment or some other relevant reason. If you feel you cannot meet one or more of the above requirements, contact us to discuss your situation further. Pangolin reserves the right to determine who is, and is not, fit to be a dealer on a case-by-case basis.

Minimum Advertised Pricing (MAP)

The Minimum Advertised Price is the minimum price that is to be displayed on the Internet or in print; prices are not to be publicly advertised below this price.

This is aimed at maintaining a high quality image for Pangolin products AS ADVERTISED, and is not intended to restrict a dealer’s actual selling price. You may sell items at any price you see fit for any sale you make as long as your ads, web pages, flyers, public email notifications, etc. go no lower than 5% off our standard end-user prices, noted in our price lists an on our website.

Some jurisdictions may not allow this restriction, so the above limitation may not apply to you. However, you must alert Pangolin if your jurisdiction does not allow this.

Respect for Pangolin’s copyrights (Never store update files on your own web site)

Although it’s not necessary to do so, if you would like to provide a convenient way to access Pangolin software updates, we strongly encourage you provide a simple redirect to the page at www.pangolin.com/support. However, if you would rather provide links to individual Pangolin software updates on your own web site, these links MUST be to files that are located on the Pangolin web site. You can NOT store Pangolin software update files on your own web server because this would be an infringement of Pangolin’s copyrights. Pangolin creates new software updates from time to time and we will update the software on the Pangolin web site when doing so. Therefore it is only by linking to the files on Pangolin’s web site that you’d be able to ensure that clients have access to the most recent and relevant versions. Please contact Pangolin to obtain the correct file locations and file linking method.

Respect for Pangolin’s trademarks

Pangolin is a registered trademark of Pangolin Laser Systems, Inc. within the United States and internationally. In addition to the registered trademarks noted above, Pangolin also maintains trademarks over our other brands, including software products such as Lasershow Designer, QuickShow, BEYOND, Phoenix, hardware products such as QM2000, FB3, FB4, and ancillary products such as PASS, Discoscan, SafetyScan, LASORB and ScannerMAX to name just a few. Although the attempt to register one or more of Pangolin’s trademarks by another company would constitute fraud punishable by statutory and civil penalties, we require dealers to represent and agree that they will not attempt to register or use Pangolin’s trademarks in a manor that is not authorized by Pangolin in writing.

Respect for Pangolin’s packaging and identifying marks

Pangolin distributes software and hardware products in beautiful packaging. Often times, on the outside of this packaging, we also include identifying marks such as model numbers and serial numbers. We may also include printed documents such as license agreements, QuickStart guides and other notices within the packaging. Collectively, the packaging, identifying marks and accompanying printed documents are important to Pangolin and consumers alike, because they help to distinguish genuine Pangolin products from imitation and counterfeit goods on the market, and because the model and serial numbers are needed as a part of the software and hardware registration process. As such, dealers agree to package and sell Pangolin’s products in the exact form provided by Pangolin, including any written notices found inside the packaging, unless otherwise granted in writing by Pangolin. Moreover, dealers agree not to modify, conceal or adulterate any marks including model numbers, serial numbers, or the Pangolin brand name printed on our products.

Direct sales

In general, when potential buyers approach Pangolin directly, we will advise them to purchase through dealers when we believe that they may be able to handle a sale better, because dealers often offer local service and support in the client’s native language. However, Pangolin reserves the right to sell directly to customers under certain circumstances. If a customer purchases directly from Pangolin, then we will service and support that customer.

Competition

You can represent competing products. However, we require you to fairly-represent all products.

For example, if you prepare a chart comparing LD2000 with other programs, you must cover all major areas - not just a few where one program is the strongest. You should not merely list whether features are included, but should also discuss the quality or depth of those features.

If you use your dealership as a means of bait-andswitch, or in other ways blatantly misrepresent Pangolin’s products, we will immediately terminate your dealership.

SUMMARY

We want strong, well-qualified dealers to represent our software. If you meet the criteria listed above, we would be pleased to consider you for our dealer program. Please fill out our on-line dealer application form for further consideration.