5 Tips on Electronic Contracts

Written By SCORE "Counselors to America's Small Business"

1. Take note: federal law now makes electronic contracts and electronic signatures as legal and enforceable as those on paper.

2. Consider what advantages e-contracts might have for your business. Some companies will be able to conduct their business entirely on line, often with great savings.

3. Be aware that if you start using e-contracts, you have to let customers know whether paper contracts are available and what fees might apply for the paper agreements.

4. Proceed with caution. The law does not define what an electronic signature is, and e-signature technology is still evolving.

5. Visit these Web sites for more legal information: the American Bar Association , or http://www.nolo.com/, a site that specializes in legal issues.