Vendor Termination Letter Example: 4 Templates

Using this letter template, you will explain to why you are terminating the current vendor.  You need to show how he was actually delayed in sending the office materials. Therefore, the management has taken the decision not to renew the contract. 

You must let him know the final working day.  Till the last working day, he will be fulfilling the responsibility of a vendor. He will be sending the office supplies to the company till the final working day. 

Template: 1

Vendor Termination Letter

[ Insert the Receiver’s Name]

[ Insert the Receiver’s Address]

———- [ Address Line1] ———–

———- [ Address Line 2] ————

Dear Mr./ Mrs./ Ms. [ Insert the name of whomsoever it is concerned to]

SUB: [ Insert the subject concerned to the letter]

Greetings of the day!

You have been vendors to our company for the past [ insert the number of years since the association with the sender’s organization] and we have been having cordial relations. However, we have been getting customer complaints regarding the quality of your product. 

Since the contractual obligation is getting over, we are writing this letter to formally inform you that we will not be renewing the contract. As you are aware, we have been plagued with numerous problems. You are unable to provide us with our requirements at the proper time and hence, our company was getting lagged in many respects.

We would like to express gratitude for the prompt and satisfactory service you have been giving us in the past [ insert the number of years since being associated with the organization]. We would be happy to personally give a positive testimonial to your good service and product. We would like to extend our hand for any future collaborations that can be held in the time to come

If any final dues are remaining rightfully, we will be settling it in the next bill cycle. Thank you for your cooperation. We wish you all the best in your future concerns.

Thank you very much!

Cordial Regards,

[ Insert Full Name of the Sender]

[ Insert designation at the organization], [ Insert the name of the organization]

[ insert necessary contact details]

vendor termination letter

Letter Template: 2

Vendor Termination Letter

[Insert the Receiver’s Name]

[Insert the Receiver’s Address]

———- [Address Line1] ———–

———- [Address Line 2] ————

Dear Mr. / Mrs. / Ms. [Insert the name of whomsoever it is concerned to]

SUB: [Insert the subject concerned to the letter]

Greetings of the day!

It is very important to inform you about the fact that you have served [company name] for a period of [timespan] years. We have tried to maintain healthy professional relationship with each other. However, in the recent times, you have failed to maintain the standard of your service.

It is because we have been lately receiving complaints from the customers. The products that you are supplying are not up to the mark and have been the matter of disappointment for the customers. 

As you know that your contract with our company was going to get over by [ending date of contract], we would not be renewing the contract anymore. Number of problems had surfaced and these problems had actually affected our business strategies with many clients. You have failed to provide us with the requirements or meet the expectations of [company name]. It is clearly indicated that you are not careful about the business that you are doing. 

We are really sorry to inform you that we would not be able to do the business anymore. We have decided to terminate the contract with you from [termination date]. You are constantly failing to meet the expectations on time. As a result, our company is lagging behind in several aspects.  

However, we are thankful for instant and excellent services that you have rendered in the past. On a professional level, you have been attached with us for a [timespan] years. We were indeed very happy with your services. You have taken of everything in the past for [timespan] years. 

We are ready to collaborate in the coming time with you. As we are going to terminate the contract with you, your dues will be cleared in the next billing cycle. We must thank you for your support and cooperation. We wish you all the best for your future endeavors.

Thanking you very much,

Yours faithfully.

[Insert Full Name of the Sender]

[Insert designation at the organization], [Insert the name of the organization]

[Insert necessary contact details]

Vendor Termination Letter

Letter Template: 3

Vendor Termination Letter

[Insert the Receiver’s Name]

[Insert the Receiver’s Address]

———- [Address Line1] ———–

———- [Address Line 2] ————

Dear Mr. / Mrs. / Ms. [Insert the name of whomsoever it is concerned to]

SUB: [Insert the subject concerned to the letter]

Greetings to you!

I [ your name] writing you from the HR department of [ company name] and it is important to inform you that we are receiving complaints from the customers regarding the quality of the product that you are sending to us. We have been working with one another for last [timespan] years. 

You might be aware of the fact the contractual terms with you is coming to an end on [mention ending date of contract]. It is necessary to let you know that we are no longer renewing the contract. It is important to notify you that [company name] is undergoing several problems. We are sorry to inform you that you are unable to meet the expectations of our company.

You are unable to understand the requirements of the company and fulfill them. You are failing to serve us at the appropriate time and therefore, we are facing lot of challenges in the business. 

We are losing contracts with our important clients because of the delay of you are doing in sending [mention product name]. 

However, in the past, you have always responded on time by delivering the product and maintaining its quality and quantity. Sometimes, you had taken initiative to supply in surplus. You have always saved the reputation of our business with your quick and satisfying service. 

Professionally, you have been attached with our company for a period of [timespan] years. We are quite happy to respond to you with positive testimony. It is because; you have met the quality standards of our company. 

We are looking forward for future cooperation and partnership with in the coming time. We hope that we would be getting back to our good days in the coming time. 

Finally, we are ending the contract on [ending date of contract]. 

It is necessary to inform you about the fact that you will be receiving the payment in the next billing cycle.

Thanking You,

Yours Sincerely,

[Insert Full Name of the Sender]

[Insert designation at the organization], [Insert the name of the organization]

[Insert necessary contact details]

Vendor Termination Letter

Letter Template: 4

Vendor Termination Letter

[Insert the Receiver’s Name]

[Insert the Receiver’s Address]

———- [Address Line1] ———–

———- [Address Line 2] ————

Dear Mr. / Mrs. / Ms. [Insert the name of whomsoever it is concerned to]

SUB: [Insert the subject concerned to the letter]

Happy Greetings of the day!

This is very important to notify you that our company has been receiving complaints from the customers consistently for several days. We are thankful for the time you have spend with us a vendor for the past [timespan] years.  We had indeed developed healthy business terms with one another for last [timespan] years. That is indeed a positive sign. 

But we are sorry to inform you that we have been receiving bad reviews from the customers’ end regarding the products. The list of the customer complaints are growing at a rapid pace in last [number] days. We had sent reminder mail twice for changing the quality of the product. But you never really bothered to make an improvement in the quality of product.

You have also disappointed us by delaying to supply the product. You might be remembering the date of signing the contract with us and that was on [starting date of contract].  You are also aware of the ending date of the contract and that is on [ending date]. 

But circumstances are not letting us to continue anymore. You had been supplying [name of product] for last [timespan] years. We are sorry to inform you that you have failed to meet the expectations of the company. 

You are not able to meet the minimum expectations of our company… You are failing to deliver the necessary materials at the right time.  As a result, we are losing the clients. Henceforth, we are cancelling the contract with you by [effective date].

We are sorry to inform you that we have found another vendor and he will be at our service from [starting date of new vendor].

It had indeed good working with you. We will be looking forward for future collaborations with you. Right now, I will be clearing the dues and sending the paycheck for the days you have supplied. It will be done by next billing cycle.

Thanking You,

Yours Sincerely,

[Insert Full Name of the Sender]

[Insert designation at the organization], [Insert the name of the organization]

[Insert necessary contact details]

Vendor Termination Letter

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