As a business owner, contracting with employees, clients, and suppliers is a large part of running your business. A bad contract can put your business in a tough position, while solid contracts can protect your interests and benefit your operations. Here are our top business law tips for putting together beneficial contracts.
- Put the agreement in writing—In the world of business law, you may assume that if you have a verbal agreement with another party, this is good enough. But this is not always a good approach. Always put your business agreements in writing and create formal contracts to ensure both parties know what is expected of them.
- Include all necessary details—Your business contracts should go into detail about the rights and responsibilities of all parties involved. Make sure you identify all parties listed in the contract correctly, too.
- Build in options for dispute resolution—Disputes can arise over the terms of a contract, so make sure you have a way to resolve these issues. Include options for resolving problems in your contract, such as mediation or arbitration.
- Cover contract termination—Your business contracts will not last forever. Explore whether you want to include the option of ending the contract whenever one party wishes, or if there are grounds for termination if one party does not hold up their end of the deal.
If you need help developing effective business contracts, our law firm is here for you. Contact us today to set up a business law consultation with one of our attorneys.