Do I need a contract?

Written by The Contract Shop®
Updated 2 years ago

There are three situations in which you need a contract. If any of them apply to you, then yes, it's time for a contract.

Situation 1:You are running a business and want your clients to treat you like a business owner. Contracts are not used to intimidate clients or create an extra hurdle in your process. They’re used as a tool to both protect your business and build trust with your clients.

Situation 2: You need to get paid. If any exchange of goods and services results in an invoice, you need a contract. If you’re providing services or products for free or as a gift, then a contract wouldn’t be necessary. If you’re trading services, we’d still recommend a contract so everyone “pays up.”

Situation 3: You need to cover your butt. What's more expensive than a contract template? A lawsuit. Even if it's only in small claims court — or has no merit — you still have to deal with it. In other words: It will still cost you hundreds of dollars at best. Each of our templates are created to minimize the risks to you and your business and reduce the amount of money you could be on the hook for if a client decides to file a lawsuit. 

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