Starting or growing a small business in Seattle means signing and negotiating contracts constantly. Whether you are providing services to clients, bringing on workers, or partnering with vendors to help run your operation, having strong written agreements in place is not a formality. It is what protects your business when something goes wrong.
At View Ridge Law, we work with new and growing businesses throughout the Seattle area to review, draft, and strengthen contracts that protect their interests. This guide covers the contracts every small business should have in place and how a trusted business attorney can help you avoid costly disputes before they start.
Client-Facing Services Agreements
If your business provides services to clients, a services agreement is one of the most important contracts you will use. A well-drafted services agreement sets forth the kinds of services you will be providing for your clients, how you will be compensated for those services, and how disputes will be resolved if one arises while you are providing or offering those services.
Starting with a strong template means you can work with multiple clients consistently while still allowing for negotiation. Clients may want to review your contract and propose changing the terms, which is entirely normal. What matters is that you have worked with an attorney to develop a strong contract for your services so you know what you are offering and can be confident in that language.
Vendor Contracts
Many small business owners focus on client contracts but overlook the agreements they sign with the vendors and service providers that help run their business. Businesses that you hire to help you operate, such as a CPA, a marketing agency, or a cleaning company, if you have a storefront, should always give you a contract to sign.
It is important that you sign those contracts as well, because doing so helps protect your business by putting the relationship with those vendors in writing. When both sides have signed an agreement, expectations are clear, and there is a legal foundation to stand on if questions or disputes arise later.
Employment Agreements
As your business grows and you begin hiring workers, written employment agreements become essential. A strong employment contract puts the relationship with the employee in writing so they know they are an employee and understand their responsibilities in your business. Just as importantly, it includes language that protects your business from the employee when they decide to leave.
It is not uncommon to see former employees attempt to steal their former employer’s customers, recruit away fellow employees, or take intellectual property and business tools they used during their employment. A strong employment contract that protects your business from those outcomes, while also establishing a good working relationship that helps the employee understand their role, is something every hiring business should have in place.
For new and growing businesses, it is also important to have an attorney you have built a relationship with, who you trust, and who understands your business, so you have someone to check in with about important decisions. These decisions might include signing a new contract with a vendor, changing your services or payment policies, hiring or firing employees, or protecting your brand through trademarks.
Building a Relationship With a Business Attorney Before You Need One
One of the most important things any new or growing business owner can do is build a relationship with a business attorney before a problem arises. The alternative, waiting until you are already in a tough situation, is far more expensive and far less effective.
A common pattern is receiving a call from a prospective client who has already run into a difficult situation with their business and is already down this path, facing potential damages as well as potentially high attorney fees that could have been avoided. When you work with an attorney and have a relationship with someone who understands your business, you can avoid many of those expenses that might arise in disputes down the road by making sure your business is protected on the front end.
At View Ridge Law, we are proud to serve as trusted advisors to small businesses across Seattle and the surrounding area. If you are a new or growing business and have contracts you would like to review, give us a call.
