Reject or Terminate a Business Relationship • Letter Examples and Guide

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Example Letter #1

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It is very difficult to end a long-standing business relationship; however, the service and the quality of your crew's work have deteriorated drastically during this past year. Consequently, we have no other option than to contract with another janitorial service. We wish you the best and hope that we can part friends.

Example Letter #2

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Thank you for your proposal to assume the electrical subcontract on our Doe Project. While we have had some minor problems with our electrical subcontractor in the past, our relationship has been a long and rewarding one, and we choose to remain loyal to our friends. Yours is a very good name in the business. If the problems persist, or if we require more work than our current electricians can handle, we will be in contact with you.

Example Letter #3

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Thank you for your inquiry regarding Springfield Yacht Club's hull cleaning services. Unfortunately, we will not be able to take on the task of cleaning your yacht because our dry dock is not large enough. May I recommend Doe Marina's services? Good luck.

Example Letter #4

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The recent price increase on the materials we purchase from your company has caused us to look for another source for these materials. We have found another supplier who is able to fill our needs at a lower price; therefore, we are terminating our current contract with you, effective May 1. We have made this decision in light of the highly competitive nature of our business and the need to keep costs as low as possible. We have appreciated the cordial business relationship we have shared with you and wish your company continued success.

Letter-Writing Tips

A letter rejecting or terminating a business relationship should clearly inform the reader of your decision; however, it need not blame or antagonize the reader.

Step-by-Step Guide

1 Begin with a positive remark where appropriate. Briefly explain your reasons for rejecting or terminating the business relationship.

Example Sentences

Although we continue to be pleased with the quality of your product and understand that your costs have increased, your most recent price hike has required us to find another vendor for our printing and copying needs. Thank you for notifying us of your new line of office furniture. I am sure your furniture is of excellent quality. However, for the past ten years, we have purchased our office furniture through Doe Corporation. We have a long and happy relationship with them, and therefore have no plans at this time to transfer our business to another company. I do believe your cleaning supplies are of exceptional quality. However, your sales people have been so persistent that they have offended some of our employees. Due to this unpleasantness, we request that no more sales people from your company phone or visit our offices. Although we have had a long and mutually profitable relationship, ongoing labor disputes at your depots have delayed shipments for the last four months. Because of this problem, I regret to inform you that we have signed a contract with another supplier. We appreciate how promptly and courteously Doe Corporation fills our orders, but we have been disappointed in the quality of the gardening equipment you stock. Since we began selling your equipment this summer, we have had a sharp increase in the number of rakes and hoes returned because they have not stood up to what appears to be normal use. I regret to inform you that future orders will be made with another vendor. As I informed you on the telephone, we no longer see sales people in our satellite offices. Now our main office in Springfield does all the purchasing. Please inform your sales force of this policy, so that neither they nor our staff will be inconvenienced further by sales calls.

Example Phrases

a long history of cooperation alienated every employee they contacted appreciate you taking the time to write us about appreciate how promptly and courteously you fill our orders are concerned that we will have difficulties in company does not take on such work because had a long and mutually profitable relationship have evaluated your proposal and must respectfully decline have great respect for your company have had many profitable dealings labor disputes have caused delays in our shipments need more references than you can provide at this time neither they nor our staff will be inconvenienced further by no plans at his time to transfer our business to another company no longer see sales people in our satellite offices please inform your sales force of this policy pleased to learn of your interest in probably are as aware as we are of the dangers in project sounds like a good idea recent price hike has required us to find another vendor for request that no more sales people from your company sales people have been so overly persistent as to be short deadlines are a major factor in our decision in this case signed a contract with another supplier simply cannot continue because simply cannot guarantee our services under these circumstances thank you for notifying us of your new line thank you for bringing your interests to our attention thank you for your letter offering to thank you very much for your comments about thank you for taking the time to explain your thank you for the confidence you have shown in think it is best if we think that you will agree on the sticky issues of turn-around times are quite demanding unable to figure a way that we can offer you the service

2 End with a positive remark.

Example Sentences

Example Phrases