Factors to consider when drafting a purchase contract in an organization:

1. Identify the parties involved: Clearly state the names and contact information of the buyer and seller in the contract.

2. Description of the goods or services: Provide a detailed description of the goods or services being purchased, including quantity, quality, specifications, and any other relevant details.

3. Price and payment terms: Clearly outline the price of the goods or services, as well as any applicable taxes, fees, and payment terms (e.g. payment schedule, method of payment).

4. Delivery terms: Specify the delivery date, location, and method of delivery for the goods or services.

5. Inspection and acceptance: Include provisions for inspecting the goods or services upon delivery and procedures for accepting or rejecting them.

6. Warranties and guarantees: Specify any warranties or guarantees provided by the seller, including the duration and terms of the warranty.

7. Dispute resolution: Include provisions for resolving disputes that may arise during the course of the contract, such as mediation or arbitration clauses.

8. Termination and cancellation: Outline the conditions under which either party can terminate or cancel the contract, including any penalties or fees that may apply.

9. Governing law: Specify the jurisdiction and laws that will govern the contract in case of any legal disputes.

10. Signatures: Ensure that the contract is signed by authorized representatives of both parties to make it legally binding.

Internal Factors:

- Organizational procurement policies: Adhere to established guidelines for purchasing, vendor selection, and contract management.
- Needs assessment: Clearly define the specific goods or services required and the budgetary constraints.
- Legal compliance: Ensure the contract complies with all applicable laws and regulations, including industry-specific rules and licensing requirements.
- Integration into existing systems: Consider how the purchased goods or services will integrate with existing systems and processes.
- Financial impact: Assess the financial implications of the contract, including purchase price, payment terms, and potential future costs.
- Organizational risk appetite: Determine the level of risk the organization is willing to assume in the purchase transaction.

External Factors:

- Supplier evaluation: Conduct thorough due diligence on potential suppliers, including their financial stability, track record, and reputation.
- Market analysis: Research the competitive landscape and market availability to ensure competitive pricing and favorable terms.
- Negotiation strategy: Develop a clear negotiation strategy that aligns with the organization's goals and interests.
- Contract terms and conditions: Draft comprehensive contract terms that address all key aspects of the purchase, including scope of work, delivery timelines, quality standards, payment terms, warranties, and dispute resolution.
- Liability and legal protection: Ensure the contract protects the organization from potential liabilities and legal risks.
- Post-contract management: Establish clear processes for contract administration, monitoring performance, and managing any potential issues.

Additional Considerations:

- Collaboration and communication: Involve relevant stakeholders in the contract drafting process to gather input and ensure alignment.
- Documentation and storage: Maintain accurate and complete documentation of the purchase contract, including any amendments or modifications.
- Regular review and updates: Periodically review and update contracts as needed to reflect changes in the organization's needs or the external environment.