Business terms and conditions set out the rights and responsibilities of each party when entering into a transaction. Business terms and conditions are essential as they not only protect your business when a problem arises, but also minimise the likelihood of a dispute arising with a customer.
Business terms and conditions will differ depending on the type of business you run.
An ecommerce business or online store will require sales terms and conditions. These terms and conditions would generally be provided online through a clickwrap (click and accept) agreement.
A business that provides services will need a client agreement or service terms which set out the terms under which it will provide its services to customers.
A marketplace business will need a set of marketplace terms and conditions which set out its relationship with its suppliers and customers, as well as any relationships between the two.
A software-as-a-service (SaaS) business requires a specific set of SaaS terms and conditions.
Make an Enquiry
5 Things You Need to Know About Business Terms and Conditions
1Business terms and conditions are of vital importance to both service- and product-based businesses. They are known as client agreements for services businesses and sales terms and conditions for ecommerce sites and online shops.
2Your business terms and conditions are the contract between your business and your customers. They need to set out the service or product that you are selling, and how you will provide it. The terms and conditions protect your business and ensure your customers are clear on what you’re providing and the terms under which you’re doing so.
3There are a number of ways in which business terms and conditions, or client agreements, can be provided to customers. The traditional way is to provide a hard copy of the document, which both parties sign. If you operate an online business, you may choose to have customers accept your terms by using a “click and accept” system displayed online. Other businesses may choose to send their client agreement to customers by email.
4Your business terms and conditions should also include clauses relating to payment terms, interest on late payments, delivery, refunds and returns and dispute resolution.
5Well-drafted business terms and conditions set out the mandatory consumer guarantees under Australian Consumer Law and limit your business’s liability to the fullest extent possible under the law. Make sure your lawyer is familiar with consumer law as limiting liability is a technical issue.