Nobody knows your business better than you. You’ve seen your books, you know your limits, and you know your risks. You even might be able to recite your business’ fee structure in your sleep. However, it’s good to remember that your customers don’t know as much as you do.
If you’re entering into a business relationship, it’s vital for your customers and clients to know your limitations and expectations. What kind of things are you promising to provide? What are the conditions under which the deal can be dismissed? What sort of guarantees are you willing to offer, and what constitutes liability?
All these topics and more can be included in a General Terms and Conditions document.
A general terms and conditions document usually includes all the small stuff that would normally be hiding in a contract’s fine print. It stands apart from a contract, though. A contract usually acts as an agreement while a general terms and conditions document covers the details. This can be an efficient way to formalise an agreement. Every contract can be tailored to the customer or client, but with a terms and conditions document you can standardise the expectations which apply to every one of your business transactions.
Used correctly, this can be a valuable tool for your business and, in case of a dispute, you have a certain level of legal protection.