"Never forget that you
have only one chance to get first impression-with investors, customers, and
marketing." - Natalie Massenet
· Your
Business Documents is the lifeline of your business operations
· Poor
documentation is devastating for the company reputation.
· Users
need less than a minute to make a decision about the documentation and therefore about the product.
It's a huge task to start a new
business. A business owner cannot afford to make any errors in early-stage as a
petty mistake or an uncalled decision can make them suffer for a really long
time and live in resentment.
One of the most difficult parts
of starting a business, and one of the least intuitive, is the drafting proper
business documents. Because you need
documents to start, operate and expand a business.
What are Business Documents?
An enterprise’s business
documents include invoices to customers, price lists, offers, Employee offer letters,
etc. In addition to information about contractual terms and conditions, the legal
form of the business, the company's location, its corporate identity number and
VAT number also make up the business documents.
A company uses documents to
communicate, conduct business and assess its performance. Business documents
range from complex legal agreements to brief email messages. Business Documents
play an essential role in protecting the interests of the business and business
owners over the course of a company’s lifetime.
Since documents provide proof of
an organization’s dealings and may be referred to for years to come, So It is
important that they are well written.
Why it is important?
Written agreements make things easier
A written agreement makes things
easier for the seller and the purchaser, and reduces the risk of the parties
interpreting the content of the agreement differently.
It is easier to specify details
about the product or service and other contractual terms and conditions in a
written agreement. It may be difficult to remember the terms and conditions and
even more difficult to prove them in the absence of a written agreement.
Business records are often part
of the image and advertising of your company. The company will use many
business documents, such as invoices and deals, several times.
The content of business documents
can also form the basis of the contracts that your enterprise enters into with
customers, suppliers and other parties.
Benefits of Proper Business
Documents
Documentation instils trust within your business
Documentation tells the story of
a business; its origins, intent and the journey it’s taking to achieve its
ambitions. Contracts serve as a gateway through which your business can enter
new markets and expand its reach; other paperwork validates your current
position and gives your investors and customers assurance.
Documents unlock opportunities
Official records and up-to-date
paperwork projects an excellent image of a company – with more than just the
relevant regulatory bodies. Opportunities to secure lucrative contracts,
subsidies and various opportunities are inextricably linked to the quality of
the documentation.
Here we are providing
some of the lists of necessary documents to facilitate business
Docs to Facilitate Inside Operations
Board Consent: Any startup should operate with their board's
cooperation, and in order to do so, you should set up a standard mechanism by
which the board's consent is obtained. This can a number of different forms, so
make a decision based on your circumstances.
Operating Agreement (Founder's Agreement): This is one of the
standard forms to be completed before any major business is completed. Founder
and co-founder conflicts are inevitable, and they are much more complicated and
chaotic when you don't have a clear understanding of initial ownership splits,
who brought to the partnership which property/skills, who controls initially
IP, and so on.
Technology Assignment Agreement: proprietary technology development
is often part of a start-up environment, making it vital to have a standard the form that assigns IP rights to any technology developed for the business to the
business.
Docs to Facilitate Outside Operations
Employee Contracts and Offer Letters: Such documents are often
considered a luxury for new businesses. In order to prevent future
misunderstanding between the employer and its employees, an employment
agreement is used to determine the set of obligations and expectations between
the two parties. Using employee agreement templates, you can set a contract
that will prevent an employee from leaving the company too soon
Non-Disclosure Agreements (NDAs): NDAs protect new businesses in
lots of ways.NDAs also gives you the freedom to ensure that your current
workforce does not go to a competitor and take your business with them. Use
early and frequently.
Business Letters for Outside Communication
Business letters are used to
communicate outside the office with individuals. Recipients may include
clients, other business colleagues, service providers, and business counselling
professionals, government officials, and job applicants.
Transactional Documents to Conduct Business with Clients
To transact business with its
clients a company uses documents. These documents may be formatted as a form,
such as an order form, transmittal page, invoice or receipt for saving time. The
types of payment documents used vary slightly depending on the nature of a
company.
A company uses documents to
communicate with its clients. These documents can be formatted as a form, such
as an order form, transmission page, invoice or receipt, in order to save time.
The types of transactional documents used vary slightly depending on the nature
of business. Companies enter into agreements and contracts with others in other
fields; these papers could be drawn up by the attorney of the organization.
List of all type of
documents
a)
Agreement between Independent Contractor and
Service Provider
b)
Appointment Letter for Non-executive
Independent Director
c)
Appointment Letter- Startups
d)
Articles of Association (AOA)
e)
Board Minutes
f)
Consultancy Agreement
g)
Contractor Agreement
h)
Employee Offer Letter
i)
Employment Contract
j)
Founders’ Agreement
k)
Freelance Contractor
l)
Hiring Employees and Processing Payrolls in
Startups
m)
Letter of Intent
n)
Letter Proposing Payments in Installments
o)
Loan Agreement
p)
No Objection Certificate (NOC)
q)
Non-Disclosure Agreement
r)
Partnership Deed
s)
Purchase Order
t)
Rental Agreement
u)
Resignation Letter- Startups
v)
Sales Agency Agreement
w)
Services- Terms and Conditions
x)
Shareholder’s Agreement
y)
Website or Mobile App Privacy and Refund
Policy
Summary
Whether you are running a small
or big business, a limited company, a general partnership, or a major
corporation, securing all the business documents stated above is highly
beneficial when opening your business. Generally, the majority of people tend to
form their opinion about the enterprise and its products based on the quality
of the company’s documentation. To help them meet their needs, you need
properly-structured documents to help shape the company's best image.
Since the documents are part of the image of your business,
it may be worthwhile to put some time and effort right from the start to
produce good models for them.
Address: Unit No.450, Mastermind One - IT Park, Royal
Palms, Aarey Colony, Goregaon(E), Mumbai, Maharashtra 400065
About Prakash Bhosale:-
Prof. Prakash Bhosale is the entrepreneurship consultant for startups. He is a serial IT, Media entrepreneur & leading business consultant He has Over 15 years of experience in education, corporate, IT, e-Marketing, Consulting domain. He is a columnist on business & entrepreneurship with newspaper, magazines, portals, published over 1100 articles. He is the writer of the 4 books on business, entrepreneurship, business ideas. He also guides PhD fellows, business plans, DPR preparation.
Phone: 08355979232, 09867806399
