Industry Insights

Less than 20% of customers sign a written contract

Written by Oliver Pennington | Apr 17, 2013 3:02:39 AM

Please note that the information in this article was based on trends from 2013 and may now be outdated. 

It’s disturbing to see that less than 20% of customers report signing a written contract with a business they’ve hired or intend to hire (2013 Customer Survey, ServiceSeeking.com.au, 1,102 responses). 

It’s no surprise that we recommend you sign a written contract before hiring a business – particularly in the trades industry – and it’s disturbing that so many businesses and customers rely on verbal agreements alone.

A handshake/verbal agreement is technically a contractual obligation, but it’s easier to mediate a dispute if you have a signed agreement.

Get it in writing!

Get the business to set out the price you’ll be charged and what’s included in that price. Sign the document!

Our best business members already issue written contracts, quotes or proposals and won’t start work until you’ve signed one – contracts protect businesses, too.

So before making your decision to hire a business ask if they have a standard service contract. If they can’t or won’t produce an agreement in writing, don’t hire them.