Read the Small Print

Practically everything we sign up to these days comes with ‘terms and conditions,’ a contract or some form of agreement, whether it’s in hard copy or online. The reality is that many businesses and individuals, sign without fully reading through the details of what they are agreeing to. It’s only when they decide to leave a service or fall foul of penalty clauses that they realise what they thought was straightforward, actually isn’t. This is when they start wishing they’d read that contract more carefully at the outset.

Our top advice is: Read the small print.

What’s in the Contract?

That means reading all the documents and terms before you even take the cap off your pen. There have been countless examples of SMEs and even larger companies, getting into difficulties because they weren’t aware of the small print – this applies to everything from your IT support contract, building lease and supplier agreements to the tools and services you sign up for online. Ignorance is no protection.

If you fail to read the contract properly, don’t be surprised if you start encountering mysterious charges and penalties or find yourself tied into a much longer agreement than you initially expected. It’s your responsibility.

Be Sure to Clarify

If you don’t understand something in the contract, don’t just skim over it and hope for the best. Ask for clarification and don’t sign on the dotted line until it meets your expectations. The more thorough you are, the less likely you’ll be disappointed later on. If necessary, seek legal advice—paying for a little independent guidance now is better than dealing with costly issues down the road.

Is It Right for Your Business?

Don’t look at the contract as a take-it-or-leave-it proposition. Ask yourself what you would like to see in it. Does it work for your business? Do you want to make amendments, such as removing certain clauses or adding others? Contracts are usually designed with the provider’s best interests in mind, so you may need to tailor it to suit your needs better.

Ask for Changes

You’d be surprised how many experienced businesspeople will see something in a contract they’re not happy with, yet still sign it. If you don’t ask for changes, the provider certainly won’t offer them. They may have a valid reason for keeping things as they are, but if they really want your business, they might show some flexibility.

What Happens When Things Go Wrong?

Yes, things may run smoothly over the course of the contract, but what if something goes wrong? What happens in the event of a breach, either on your side or theirs? Think about various scenarios that could affect your business and check if the contract is strong enough to protect you in those situations.

Don’t Sign Because of a Limited-Time Offer

While large companies often have processes in place to ensure every ‘t’ is crossed and ‘i’ dotted before signing, smaller businesses may only have one or two decision-makers responsible for signing contracts. If a provider is pushing a limited-time offer or urging you to sign immediately, resist the temptation. Always take the time to step back and review the terms with a fresh perspective before committing. If the company truly wants your business, they’ll wait.