TERMS OF TRADEare extremely important because:
- They ensure that the work you carry out for a customer is not unfairly questioned by them in an attempt to reduce the amount they have agreed to pay you.
- They ensure that you get paid the amount that the customer agreed to pay you and for you to be paid on time.
- If they are drafted correctly then you are able to charge the customer interest on any amounts due to you but not unpaid.
- Drafted correctly your fee/costs for the work carried out by yourselves, can be defined as what is called "LIQUIDATED DAMAGES". This means that if you reach the point where you have sue your customer for what is owing to you, as your fee/costs are defined in your Terms of Trade as "Liquidated Damages", then you do not have to prove the work that you have done, as it is already defined in the contract as Liquidated Damages.
- Other terms that you want to be included in the contract with your customer to protect yourself(we include most of these in the draft Terms of Trade we draft for you, for your review to decide for yourself a suitable.