What Is a Contract?

Contracts protect the interests and properties of businesses. As one organization enters an agreement with another for a joint project, it presents the foundation and responsibilities of each party. Both parties must be aware of their obligations to accomplish any task at hand. As the contract is legally binding, any kind of breach or non-compliance from any of the parties involved is unlawful and is subject to litigation and may be liable for damages. The frequency of dealing and engaging with contracts and agreements is not an assurance that you are already fully aware of its nitty-gritty details. Contract deals should be read and processed thoroughly.

Types of Contracts

There are various kinds of contracts because of how they are classified. This list presents the standard contracts that are necessary for businesses.

General Business Contracts: General business contracts deal with the nature and structure of the business. Franchise deals and indemnity clauses are under this classification.

Employment-related Contracts: This type of contract contains the list of responsibilities of both the management and employee. One example is a non-compete agreement where it exempts an employee from entering a rival company within a specified period.

Sales-related Contracts: Sales contracts focus on selling products and services. It also concerns with title transfers when applicable. Warranties are also under this category.

Lease Contracts: Lease agreements are related to sales contracts. But instead of a complete transfer of ownership, it lends property to someone for a particular amount of time. One example is an equipment lease contract.

Draft Legally-binding Contracts

Dealing with contracts is a long and meticulous process. Drafting alone may take several days to ensure that all the necessary details are in the document. The discussion after presenting the contract to both parties may result in bargaining and revisions. This process may be overwhelming, but if you download and use one of our ready-made professional business contracts and samples, the flow can be cut into half. That means less hassle and less stress. So, what are you waiting for? Browse and download now!