1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.
Business or Entrepreneurial questions? BizWarriors is completely FREE - paid for by advertisers and donations. Click here to join today! You can now use your Facebook or Twitter account to regsiter or login. If you're new to the BizWarriors Forum, we highly recommend that you visit our Guide for New Members.

What to look for when reviewing contracts

Discussion in 'Legal Aspects of Running a Business' started by ruener79, Apr 2, 2016.

Share This Page

  1. ruener79

    ruener79 Member

    Every business owner will have to deal with contracts in the course of doing their business. Two or more parties may seemingly agree on things over discussion but a lengthy document that is the contract may reflect terms that weren't agreed upon. Thus, it is important to review contracts carefully before signing them. A few things to look out for are the following:
    Terms - make sure to negotiate terms that are not agreeable to you
    Contracting Parties - make sure to know who you are dealing with
    Automatic Renewals - make sure you know about notices, penalties, retention/change of terms, etc.

    What other elements in a contract do you take time to review on before signing?
  2. Nancy

    Nancy Member

    I read every word carefully and slowly and have my lawyer review it too. In the end, I think it is worth the extra expenditure. If it is a rushed deal, I will not sign it.

    In my contract embroidery business I had to be careful to see who owns the artwork and designs, if I can display samples, put my logo tags in garments, etc. Copyright stuff can be really tricky and dangerous!
  3. jona

    jona Member

    My advice is to get a lawyer, this is not the type of thing that you can afford to NOT outsource. You can get away with doing a lot of thing yourself while running your business, even doing the accounting but when it comes to reading, interpreting and signing contracts you need external help. I've heard enough horror stories of people going into contracts that end up costing them even the companies that they themselves created, if you want to read and cry, google what happened to the creator of the game "Ant Simulator"
  4. ReadmeByAmy

    ReadmeByAmy Member

    A signed contract is a legal document that is why before you sign any contract be sure that you know exactly what you are getting into. You should know how to deal and negotiate and don't make it a decision to sign immediately. Read the contract and its details very well. Make sure that all the agreements and claims are written in the contract and don't just rely on verbal agreements. And after you had finally understand well and decided to sign the contract be sure to get a copy of the contract and keep it for reference just in case there will be a problem at a later time.
  5. Rodney

    Rodney Member

    Get a lawyer. The risk of agreeing to a bad contract is not worth the money you think you'll save by reviewing it on the cheap.

Share This Page