An agent is someone who communicates with customers and negotiates sales deals, but he can't sign contracts in his name or on his behalf.
The agent needs to develop a sales team, identify and qualify new customers and maintain sales relationships.
However, the agent is not involved in negotiating the terms and conditions of the agreement, which takes place outside his sphere of expertise.
The principal not only provides their clients with the products they purchase and send them invoices for those purchases, but they also set their prices and other terms of sale.
The agent does not take ownership of the goods that are sold. He is willing to be compensated regularly for his services.
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