Vendor contracts: why you need them.
Learn why your business needs vendor contracts and how to sign them quickly with digital signatures.
Business is all about the exchange of goods and services. When you sell or buy something, you need to accurately record the transaction for bookkeeping, taxation, and legal reasons. That’s where vendor contracts come in.
Read on to learn what a vendor contract is, why you need it, and how you can write and sign it easily with e-signatures.
What is a vendor contract?
A vendor contract is a business agreement that defines the terms of a business transaction. It details the provided goods or services and establishes how much they cost, the delivery method, and the obligations of both parties.
Vendor contracts help both business partners understand what the other expects to get out of their relationship. They’re also a vital tool for mitigating risk in business transactions.
There are different types of vendor contracts for different purposes. The most common type is the fixed-price contract, which covers a single delivery of a service or product for a lump sum.
How to write a vendor contract.
When you write a vendor contract, you must include enough information to make its terms crystal clear. A vendor contract should include:
- Contact information for both parties
- Detailed description of the goods or services
- Length of the contract and/or expected product delivery time
- Price and payment method
- Terms for ending the contract
- Consequences of contract breach
Sign vendor contracts quickly with e-signatures.
One secret to successful business transactions is speed. That’s why you need to get signatures for vendor contracts quickly. The fastest way to do it is to use digital PDF contracts and e-signatures.
You can share PDF contracts faster than paper ones, while also saving money on printing and mailing. E-signatures are legal and can be more secure than handwritten ones. A good e-signature software, like Adobe Acrobat Sign, also lets you track the signature process, send reminder messages, and more.
Discover how Acrobat Sign can help you efficiently process vendor and other types of business contracts.