I know what you’re thinking … . “what’s wrong with the standard/ad-hoc contractual loan/trade agreements already in place?”
… But what if you’re thinking of customising your Terms and Conditions to better reflect what you would like to achieve with your End User?
… Aren’t they covered by those standard Warranty and Indemnity clauses that form part and parcel of any standard terms under a contract?
…. and don’t they already protect , together with the Termination clause, to give us better rights.
Yes, of course.
However, what if you need to implement some additional express performance clauses in your contract, circulating around the Payment Clause?
– what would you add into the contract, to avoid any confusion.
For instance, whilst working in the Licensed Drinks Trade, there were a number of Loans and Trade Arrears.
These were restructured as a result of Free of Tie Landlord’s, and Mixed Portfolio Houses’ general Income/Expenditure or Statement of Affairs not being up to par.
This resulted in legal action.
But in these situations, Amended loan and trade agreements may be the only way of governing a close relationship with your Debtor.
… but, predominately, it manifests good Customer Service.
At the same time, it shows willingness to keep Court Costs down, by avoiding any mis-guided feasance when dealing with disgruntled third parties.
So, the crucial elements to include are more than likely to be:
1) Time – i.e Invoice dates
3) How often and over what period of time will these payments need to be made?
4) What will happen in the event of Late Payment? Will an interest rate be charged and/or will a fixed late payment be added to the balance outstanding.
5) Will additional security be needed.
6) How about if your Customer is based abroad, is it Jurisdiction privy?
Would you consider taking legal action, or would you re-think and consider stricter terms to keep your Customer’s happy?
We recognise that the reason a lot of businesses fail is as a result of not having correct agreements in place.
Therefore, we are able to offer draft website terms, Business Contracts and Supplier Agreements for your company.