I advise companies on contract lifecycle management, and I was asked this week where you would go to find a good standard contract. I drew cautious breath before replying. I do not believe in standard contracts.
If the service that you provide to your customers is a 'standard' service, then a standard contract might be appropriate. But does anyone truly believe that what they offer is just the same as everyone else?
It would be meaningless to use someone else's contract that focuses on their service and their outcomes, with no relevance to what you deliver.
Your business is unique, so don't sell yourself short by presenting your customers with a contract that has nothing to do with the service levels and outcomes that you deliver. The only time that you should consider signing a standard contract, is when your customer demands it.
If you have to do this, then you must negotiate the terms and conditions of your supply to ensure that any service levels are amended to reflect the quality of service that you provide. This will take a little more work, but if you don't do this you may find yourself on a different metaphorical page to your customer, with their expectations sitting a long way from your business promise, and you left unable to deliver and in breach of contract.
Put together a document that you would be happy to present to yourself. Don't include terms that may seem unreasonable to you customers, as these may conflict with promises made during the sales process, and affect the customer's perception of you.
Create your standard contract to include the quantitative and qualitative measures of what you deliver, make it outcomes based. Make it not a page shorter or longer than it needs to be. Specify your offering well.
You should be careful of legalistic mumbo jumbo if it is included in your contract just for the sake of it, but if you do not understand it have someone tell you what it means, as it may be vital to the agreement.
When you have created your own 'standard' contract, you can use it each time you do business, making minor amendments when they are required. Just ensure that standard is specific to you. - 15246
If the service that you provide to your customers is a 'standard' service, then a standard contract might be appropriate. But does anyone truly believe that what they offer is just the same as everyone else?
It would be meaningless to use someone else's contract that focuses on their service and their outcomes, with no relevance to what you deliver.
Your business is unique, so don't sell yourself short by presenting your customers with a contract that has nothing to do with the service levels and outcomes that you deliver. The only time that you should consider signing a standard contract, is when your customer demands it.
If you have to do this, then you must negotiate the terms and conditions of your supply to ensure that any service levels are amended to reflect the quality of service that you provide. This will take a little more work, but if you don't do this you may find yourself on a different metaphorical page to your customer, with their expectations sitting a long way from your business promise, and you left unable to deliver and in breach of contract.
Put together a document that you would be happy to present to yourself. Don't include terms that may seem unreasonable to you customers, as these may conflict with promises made during the sales process, and affect the customer's perception of you.
Create your standard contract to include the quantitative and qualitative measures of what you deliver, make it outcomes based. Make it not a page shorter or longer than it needs to be. Specify your offering well.
You should be careful of legalistic mumbo jumbo if it is included in your contract just for the sake of it, but if you do not understand it have someone tell you what it means, as it may be vital to the agreement.
When you have created your own 'standard' contract, you can use it each time you do business, making minor amendments when they are required. Just ensure that standard is specific to you. - 15246
About the Author:
Adam McInnes is the Chief Executive of Open Windows Contracts, a leader in contract lifecycle management software. Open Windows offers a trial of their contract management software and further information that you may be interested in.
