By: Attorney Shira Truitt
You've likely heard the phrase “If it's not in writing, it doesn't exist.” When it relates to business, that's particularly true. Contracts are an essential part of running a business, as they help to establish clear terms and conditions for transactions and protect the interests of all parties involved. Below are some of the contracts that all businesses should have in place:
Employment contracts: Employment contracts outline the terms and conditions of employment for employees, including job duties, compensation, and benefits. These contracts can be either written or verbal, but it's generally recommended to have a written contract to avoid misunderstandings and potential legal disputes.
Non-disclosure agreements (NDAs): NDAs, also known as confidentiality agreements, are used to protect confidential information, such as trade secrets or proprietary data, from being disclosed to third parties. These agreements are often used when working with contractors or when sharing sensitive information with business partners.
Service agreements: Service agreements outline the terms and conditions for the provision of services, including the scope of work, payment terms, and any warranties or guarantees. These agreements are commonly used by businesses that provide services to clients or customers.
Sales contracts: Sales contracts outline the terms and conditions for the sale of goods or products, including the price, delivery terms, and any warranties or guarantees. These agreements are essential for businesses that sell physical products.
Lease agreements: Lease agreements are used when a business rents property, such as an office or retail space. These agreements outline the terms and conditions of the rental, including the duration of the lease, rent payment terms, and any restrictions on the use of the property.
In summary, contracts are an essential part of running a business and can help to protect the interests of all parties involved. Having the right kind of well-drafted contracts can provide stability for your small business.
"5 Essential Business Contracts Every Small Business Needs." Forbes.com. Accessed March 26, 2021. https://www.forbes.com/sites/allbusiness/2019/03/27/5-essential-business-contracts-every-small-business-needs/?sh=44f564c57d64
"Business Contracts: Protect Your Business Interests." SBA.gov. Accessed March 26, 2021. https://www.sba.gov/starting-business/business-legal-structures/business-contracts-protect-your-business-interests
If you need legal advice or a lawyer in Illinois or Missouri, please contact The Truitt Law Firm, LLC for assistance. For more information on The Truitt Law Firm, LLC or to schedule an appointment, please go to www.thetruittlawfirm.com.