Many people think that business contracts, especially equipment purchase contracts, are just forms and that they are all the same. Moreover, most people think that they have little or no bargaining power so there is little point in carefully reviewing the terms. According to bargaining for advantage, these beliefs are not entirely untrue, and business owners can benefit from having a little more knowledge about the contract.
Most business contracts and purchase agreements are just forms, but the fine print is usually different for each one. A few words here or there can make a big difference. Moreover, while you as a business-owner have little bargaining power, you do have that power as a fully-informed buyer. So, it’s important to have an attorney review all your business contracts. There are many other resources available online. You can visit a site like EquifyLLC.com to learn more.
Level The Playing Field
Most sellers do not randomly take forms out of form books and present them for signature. Instead, they usually have some guidance as to what contract language would be most advantageous for them.
Negotiating at a disadvantage almost always works out badly. To make things even, you need some advice of your own. In just a few minutes, a business attorney can learn the important details about your business and use this information to determine if a contract is favorable or unfavorable.
Perhaps even more importantly, such a consultation can be the beginning of a relationship. So, the next time you need legal advice, it will be even easier to obtain.
On a related note, contracts are not easy to read. That design is intentional. Contracts have long sentences and clauses that must be reviewed carefully. These contracts often contain language and terms that are either not defined in the contract or difficult to understand for people with limited English proficiency. An attorney can boil things down for you without leaving out necessary details. So, you get a more complete picture of the contract terms with a smaller investment of time.
An experienced buyer or seller always understands your need a lawyer to review the contract law. After all, that person probably did the same thing. If the other party does not acknowledge this need and wants you to sign on the spot, that’s a red flag. Be very careful about doing business with such people, even if you have had prior dealings with them.
Peace Of Mind
Few things in life are worse than being haunted by past mistakes. If there is nothing you can do to correct the situation, that’s even worse. And, if you sign an unfavorable contract, that is normally the case.
Only an attorney can give you peace of mind in this area. A lawyer works for you and not for the other party or some amorphous “common good.” Moreover, an attorney has an ethical obligation to give you solid, thoughtful advice, even if it only involves a contract review. That’s a priceless commodity in today’s business world.
The bottom line is that a consultation with a lawyer may not be like an insurance policy, but it does help the transaction go more smoothly. Reach out to an experienced attorney today and see what a difference a few minutes can make.