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Why having a written agreement is important for business transactions?

July 29, 2017

Posted in Business Start Ups

I just got off the phone with one potential client, and we are talking about a business dealing without a written agreement. No judgment zone here, but I just think it’s not a good idea. I understand that a lot of times, because of cultural influences or because of our own insecurity, if I ask that person to sign a contract, they might not like me, they might cancel the deal, or they might not go with me for this particular transaction.

Hey, I want to impress this client, so you know I want to show them I’m a person of action, and if I do the work first, I can always go back for the written agreement. Well, that’s not a good idea. From my many, many years of law practice, I can tell you that when you have a serious client coming in and retaining your services, they are expecting you to have a written agreement. With a written agreement, they think you are more professional, more trustworthy, more organized; and most important of all, they want to know what kind of transaction they have entered into with you.

So the question is, do you want to do business with a serious individual? If so, don’t be afraid to ask them to sign the agreement. It’s part of the business, it’s a good business practice, and it makes sense. Talk to you next time.