In this week's Freedom Friday and blog and email newsletter, I want to discuss an issue that comes up with a lot of prospective clients, and that issue is “Why should every contract be in writing?” A while ago I was contacted by a prospective client about a contract issue, and she told me this story about one of her former clients, and the problems she had experienced with him. She also told me that she didn't have a written contract in place when the problem client had become her client.
Obviously she was going to have an issue with collecting from her former client, and this was a good example of why every contract needs to be in writing. Not only are written contracts a best practice for your small business, but there are many reasons why every contract should be in writing. In today's Freedom Friday blog and email newsletter, I want to give you three (3) reasons why every contract should be in writing:
Written Contracts Set Expectations
The first reason why every contract should be in writing is that written contracts set expectations. You as a small business owner will have an expectation of what your responsibilities will be towards the other party, and vice versa. You will also have an expectation of what the other party's responsibilities are towards your small business. A written contract will set expectations between the parties to the contract, and there are typically no surprises.
Written Contracts Avoid Misunderstandings
The second reason why every contract should be in writing is that written contracts avoid misunderstandings. Not only do written contracts set expectations between the parties, but will also help avoid misunderstandings between the parties. Many times when there is not a written contract in place, there are misunderstandings and miscommunications between the parties. If you're interested in providing excellence to your customers as a small business owner, that level of excellence is provided in the details of your product or your service. This starts with having a written contract in place which provides those details and avoids misunderstandings.
Written Contracts Hold People Accountable
The third reason why every contract should be in writing is that written contracts hold people accountable. Not only will written contracts set expectations between the parties and avoid misunderstandings, but written contracts will also hold people accountable. A written contract will help you as a small business owner understand what your responsibilities are, but also the responsibilities of the other party as well, and hold both of you accountable for those responsibilities.
If your small business is having issues with contracts, leases, business partners, collection issues, or experiencing other barriers to growth, please contact me at [email protected] to schedule a FREE strategy session.
For more information about Liberty Legal Solutions, LLC, please visit our website at http://www.libertylegalok.com/