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Merchandise Layaway form

Purpose: Retailing tool that allows customers to purchase a product in installments

Master List File Name: LAYAWAY

Format: Single Page, 2 or 3 Part

Many shops in our industry have retail shops as part of the operation. In these retail shops, it is sometimes necessary to accommodate customers who would like a specific item, but can't afford the total amount immediately. A layaway  (or layby) plan exists when the seller offers to hold merchandise while the purchaser makes regular payments. Once the purchaser has made adequate payments to satisfy the purchase price, the goods are released to the purchaser. If you elect to offer a layaway plan, you will need proper paperwork to track the progress of the purchase.

Use: This form should be printed on 2 or 3 - part carbonless paper, or on other multiple-copy stock. If possible, the forms should be individually numbered. (as a multiple-copy set) When a customer makes a purchase on layaway, both a sales receipt and a layaway form should be tendered. The clerk fills out the top portion of the layaway form, and indicates the total sale and the initial payment in the "payment amount" column of the form, and computes the balance remaining in the balance column. The customer should sign the form to complete the agreement, and one copy is given to the customer, one is filed by the store to track payments, and a third copy (if used) can be filed in a master file for security purposes, or better still, kept with the product.

Each time the customer returns to make a payment, he should bring his copy of the agreement with him. The clerk locates the store copy, and updates the payment and balance information. A separate retail sales receipt is also tendered to the customer for each payment. If the customer fails to bring his copy, the retail sales receipt serves as his proof of deposit. When the purchase price is satisfied, the goods are transferred to the customer.

Tips: If the purchaser has elected to purchase a garment on a layaway plan, and wants to have you print, embroider or otherwise customize the garment, it is wise to inform the customer that the decorating or customizing process will occur after full payment has been tendered. If you customize the garment during the payment process period, the possibility exists for the purchaser to cancel the agreement, leaving you with customized goods you cannot sell to another client.

Also, layaway merchandise should be stored someplace away from similar stock that is available for sale, and should carry some sort of marking as to the fact that the item is on layaway, and in agreement with whom.

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