Lets talk business contracts and agreements.
Are business contracts romantic in business? For me they are juicy, lekker and hot. Contracts are Mnandi. No, I wanted to say Mnandilicious.
I work with businesses of different sizes on a daily basis. In my experience I have realized that most small businesses do not have business contracts in place, they just talk (verbal agreements) and jump straight into business. My advice today is useless to someone who has never been in an argument with a client or service provider. But if you have been there you will know the importance of a business contract.
Download a free Business contract guideline here for free
Many of the times a contract is entered by 2 or more parties who are committing to a mutual agreement. A business contract should outline all the pros and cons. In business there are many contracts that must be signed. Whether with your workers, team members, suppliers, clients, dealers or anyone you are dealing with as a business. Today I want to focus on service contracts. So if you want to know more about other important contracts, make sure to keep coming here on this blog from time to time.
I am a web developer and digital marketer, before I do a job, I make sure that both parties sign an agreement. As I said, from my experience, most entrepreneurs do not like the idea of signing contracts, they feel like their time is being washed away. Sounds Familiar?
This kind of attitude reveals the armature in you. No matter how small the job is, you have to draw up a contract with your clients. Never feel as if your time is wasted. I know some clients can be pushy, they want you to just start the job. That is a red flag. You should know of the more problems that you will have with such a client in future.
Every entrepreneur must have a lawyer. Someone who will help you to draw up professional legal documents and establish the legal structure of your business. The purpose of signing contracts with a client is to avoid and reduce arguments. A good lawyer can help you with that. Most entrepreneurs believe that lawyers are expensive. “The truth is you will pay little amount when drawing up legal documents than you will pay when involved in litigations or legal battles.” My mentor told me and it sank in my mind.
A good contract must outline:
What is going to happen.
The time frame of the service.
Who is responsible for what?
Money and payment terms.
What will happen if services are not done as agreed.
In the event of argument, how will both parties resolve the discrepancies.
Protection of trade secrets.
My clients enjoy working with me because they know what will will happen at every stage because it will be written in the contract. I also enjoy working with my clients because I know all is in black and white and there is no one who is superior. I must not take advantage of my clients and they must not take advantage of me. If you do not have a contract with your clients or service provider, you are seating on a time bomb. Please fix that.
I always meet clients who want me to help them because their former web designer is giving them problems or holding their website hostage. This can be solved by a contract that you sign.
If you do not have a contract in place, I have a guidance that can help you to develop official contracts with your clients. Also if you contact a lawyer, they will need to see a framework of what you do and what you have in place so the guide can be a good starting point. Download it here:
A professional Freelance Web designer & Digital marketer. Passionate about creating cutting edge websites and digital marketing strategies that position organizations as leaders in their industries. He has worked with a number of companies across South Africa. When he is not behind a computer he will be reading a book or cycling in the hoods.