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Return Goods Authorization (RGA) for Merchant Wholesalers - Durable Goods

Merchant Wholesalers, Durable Goods · NAICS 423 · Return Goods Authorization (RGA)

A Return Goods Authorization (RGA) is a critical document for merchant wholesalers of durable goods. It formally authorizes a customer to return merchandise and outlines the terms under which the return will be accepted, including restocking fees, condition requirements, and credit issuance. In the wholesale durable goods industry, returns often involve large quantities, high-value items, and complex logistics. An RGA helps you control the process, minimize losses, and maintain accurate inventory records. This tool generates a comprehensive RGA tailored to your wholesale business, ensuring you capture all necessary details and protect your interests.

When you need this document

A customer reports damaged goods received from a common carrier.
A customer discovers a product defect after delivery and wants to return it for credit.
Your company shipped the wrong SKU or quantity due to an internal error.
A customer has overstocked and requests to return unsold products within your return window.
A warranty claim requires the return of a defective part for inspection or repair.

What the generated draft includes

Wholesaler and customer contact information
Unique RGA number and original invoice reference
Reason for return with detailed explanation
Itemized list of returned products (SKU, description, quantity, unit price)
Restocking fee and freight responsibility terms
Condition and packaging requirements
Inspection and credit issuance process
Approval and acknowledgment signatures

Frequently asked questions

What is a restocking fee and why is it used?

A restocking fee is a percentage deducted from the credit amount to cover the cost of inspecting, repackaging, and restocking returned items. It is common in durable goods wholesale to discourage returns of non-defective products and offset handling costs.

Who pays for return freight?

Typically, the customer pays for return shipping unless the return is due to the wholesaler's error (wrong item, defective) or damage in transit. Your RGA should clearly state the freight responsibility to avoid disputes.

How long is an RGA valid?

An RGA is usually valid for 30 days from the date of issue. After that, the authorization expires, and the customer must request a new RGA. This ensures timely returns and helps manage inventory.

Self-help document generator: you get a structured draft based on the facts you provide. It is not legal, tax, or financial advice; verify jurisdiction-specific rules before sending.