Business Contracts

A business contract is a legally binding agreement between two or more persons or entities.

Dealing with contracts is part of running a small business. You will have a number of business relationships involving some type of contractual commitment or obligation.

You may:

• be a purchaser of goods and services - as a borrower of money, in rental agreements and franchise agreements
• be a supplier of goods and services – retailer, wholesaler, independent contractor
• have a partnering agreement with other businesses – partnerships, joint ventures, consortium.

Founders / Promoters Agreement

A Founders' Agreement is an official contract that is signed between all the co-founders of a firm. This document states all the responsibilities, ownership, and initial investments made by each of the founders of the company.

It is advised to make a founders’ agreement at the incorporation stage of an enterprise as it will lay out the responsibilities and roles of each of the co-founders.

Now, let us look at the essentials that are a must in any founders’ agreement. They are:

• Definition of the business
• Details of capital raised (by founders and investors)
• Ownership details (in the company)
• Roles and responsibilities of each of the co-founders
• Compensation (salary drawn by each of the co-founders)
• Details of exit formality for founders
• Dissolution of the firm
• Details of dispute resolution
• Miscellaneous provisions (assignment of intellectual property rights, non-compete clauses, etc.,)

Franchise Agreement

A franchise agreement is a legally binding document that outlines a franchisor's terms and conditions for a franchisee. Every franchise is governed by these terms, which are generally outlined in a written agreement between both parties.

Freelancer Agreement

A freelancer contract is an agreement between the freelancer and a company. It outlines the various terms and conditions regarding the work undertaken by the freelancer. This agreement is essential as it helps to build a strong and fair relationship between the company and freelancer.

Joint Venture Agreement

A Joint Venture Agreement is an agreement between you and your partners that sets out the duties and obligations of the partners to each other and to the joint venture. Your Joint Venture Agreement does not have to be filed or registered.

Master Service Agreement

A master service agreement, or MSA, is a contract reached between parties, in which the parties agree to most of the terms that will govern future transactions or future agreements.

Memorandum of Understanding (MOU)

A memorandum of understanding is a type of agreement between two or more parties. It expresses a convergence of will between the parties, indicating an intended common line of action.

Partnership Deed

A partnership deed, also known as a partnership agreement, is a document that outlines in detail the rights and responsibilities of all parties to a business operation. It has the force of law and is designed to guide the partners in the conduct of the business.

Rental Agreement

A rental and lease agreement is a document that outlines the arrangement between an owner of a real estate, known as the “landlord” or “lessor”, and someone else that is willing to pay rent while occupying the property, known as the “tenant” or “lessee”. In layman’s term, it’s a document used for the occupying of space (either commercial or residential) for a period of time in exchange for monthly rent. The terms of the contract are negotiable between the tenant and landlord and once signed, the form is considered legally and mutually binding.

Service Level Agreement

A service-level agreement is a commitment between a service provider and a client. Particular aspects of the service – quality, availability, responsibilities – are agreed between the service provider and the service user.

Shareholders Agreement

A shareholders' agreement is an agreement amongst the shareholders or members of a company. In practical effect, it is analogous to a partnership agreement.

Vendor Agreement Drafting

A Vendor Agreement is an agreement entered into between vendors of products and services, and any individual or business owner. It states the provisions and conditions of service that a contractor must abide by and the business owner must ensure. Such details as the specifics of the service to be provided such as date, time and location must be mentioned in the agreement.