For some, signing a digital contract is a completely new phenomenon. For other people, the idea makes sense in principle, but there might still be some lingering questions about any number of different things.
In this article, I’ll be covering five things that you need to know about signing digital contracts so that you can be ready to use these in your own business. With this handy article, you’ll gain all the knowledge required to make decisions about finding an e-signature and digital contract service.
If you want more information about e-signatures, check out our deep dive into the topic.
1. Signing a digital contract is secure and legally binding
One of the biggest benefits to digital signatures is that they are safe to use and legally binding. Unlike pen-and-paper contracts, you can’t spill coffee on them. You also can’t accidentally misfile them in a place where you’ll never find them again.
With protected servers and reliable tagging systems, with SignTime your contracts will always be safely stored and ready to be accessed. When these contracts are executed in compliance with local e-signature laws, they carry the same weight as a pen-and-paper contract.
The Uniform Electronic Transaction Act (UETA) and the Electronic Signatures in Global and National Commerce (ESIGN) Act in the USA established a legal framework for digital contracts to be valid and enforceable. Most countries have passed similar laws, so there are many countries around the world that also make signing a digital contract legally binding.
This makes digital contracts and signing them internationally acceptable. SignTime is ready to help you with your business any time you want to sign digital contracts with international clients.
2. Using digital contracts will save you money
The significantly streamlined process of digital signatures means that less time is spent on each individual contract. This means that more contracts can be processed in less time. In addition, the number of errors will decrease.
With a pen-and-paper contract, all it took was someone signing in the wrong spot and a new contract needed to be printed and re-signed, and these hours of labour cost money. Now, signing a digital contract makes this sort of error a thing of the past. These contracts clearly show where signatures are needed, and prevents the signee from signing in the wrong place.
In addition, SignTime stores and organizes contracts with tags, making finding any document a snap. Without the need for clunky filing cabinets taking up space, and the associated costs of paper, your company can save thousands of dollars every year.
3. Signing digital contracts is easy
By going digital, you remove a lot of complications. SignTime lets you control fields in the contract (sign, date, initial, attach, and more) so that signing contracts is clear and straightforward. You can also determine if fields are optional or required and use color codes to know who is signing where.
Digital contracts also make it possible to monitor information like performance statistics and close rates. This allows for informed decision-making. There are lots of things to consider when picking an e-signature service, so what to consider when choosing a service is discussed in a dedicated article.
Simple contracts like NDAs or a sales quote can be built with templates, making the signing process extremely easy. A simple template and a good e-signature system can vastly improve the turnaround time of the process. You can even mass send these common contracts in SignTime to dozens or hundreds of contacts at once.
4. Everyone benefits from e-signatures and digital contracts
Initially, it might seem like only the signatories benefit from digital contracts, but this isn’t the case. As noted above, there are lots of benefits to keep in mind, but knowing how these affect different parties is also worth knowing.
The authorized signatory
People who sign contracts usually sign many a day. As a company grows, the number of contracts that need signatures can increase radically. The use of digital contracts can free up time in your HR department or in legal so that they can focus on other tasks.
The sales department
The ease of using digital contracts and e-signatures makes signing contracts and closing deals easy. This creates a shorter sales cycle, improves efficiency, and empowers your sales team to focus more on chasing down leads and getting those closed/won deals. SignTime is for sales.
Using a digital contract lets your counterparty see how easy working with you can be. By removing the frustration of delays, paperwork, scanners, and printers, and making the process as easy as touching a screen, you establish a working relationship built on efficiency and clarity.
5. Signing digital contracts improves your bottom line
Businesses survive and thrive based on their financial situations. Giving your company a powerful tool like SignTime to help eliminate waste and improve efficiency is a simple way to improve your finances.
Because almost everyone can understand and use these tools, they make things like sales and HR simpler and faster. With efficient tracking systems, you waste less time looking for files as they will always be at your fingertips. By keeping your files digital, no one will damage or lose them, requiring twice the work. Easily avoidable mistakes can be a thing of the past.
For more details about how e-signatures can impact your business, take a look at the related article.
Incorporate digital contracts into your business today
e-signature and digital contract services are powerful tools that can greatly improve your business. With smoother operations and a shorter sales cycle, signing digital contracts makes your company more effective. Boost your sales, increase your customer experience, and maximize employee productivity today. Let SignTime help make your job easier.