Agreements are just some of the most common forms of documents that are widely used by entrepreneurs in the business world. Although most agreements may look boring for some people, it comes in different kinds of flavors, or should I say purposes.
According to the Business Dictionary, “a business agreement is a negotiated and usually legally enforceable understanding between two or more legally competent parties”. Business agreements can cover a wide array of business practices, such as trades, partnership, confidentiality, employment, and acquisitions.
This article is designed not only to discuss the different types of business agreements, but also provide helpful information that you can use as you navigate through the treacherous waters of the business world.
Business agreements are often seen as a form of contract that legally binds two parties. Thus, it enforces the parties to fulfill all the legal requirements stated in the agreements. Oftentimes, a party will draw up a business agreement and both parties will have to sign the document as an acknowledgment of the terms and conditions set in the contract or agreement.
Found below are the different types of agreements that are commonly used for the purpose of doing business:
This type of business agreement is usually required when entering a business with another party. It is not only used to set out the terms and conditions of your partnership but also highlights the individual responsibilities and contribution to the partnership.
Having a partnership agreement is a great way to protect and preserve your each other’s investments and prevent costly disputes and lawsuits in the long run. Thus, it places both parties in the right position of the business partnership and with each other.
Here is a collection of business partnership agreement templates that will guide you through the process of writing one for your partnership agreement. Or you can get some ideas from the samples that are provided below:
An acquisition agreement is a type of contract that governs the merger of two different companies. Although this type of agreement has content that is unique from other types of agreements, it basically shares the same exact format or structure as the others.
Typically, an acquisition agreement is consist of multiple documents that are crucial for the legal transfer of the business.
Choose from these sample acquisition agreement templates and download the one that is appropriate for your purpose.
A shareholder agreement is a contract that provides crucial details on how an entrepreneur runs his company, as well as explains the rights and obligations of a shareholder. Thus, it is a contract that protects both the company and its shareholders should any future misunderstanding and dispute will arise in the future.
Should you need to draw up a shareholder agreement, make sure to check out and use our collection of shareholder agreement template. Or you can refer directly to the examples that are provided below:
What makes this type of business agreement different from a partnership is that it is seen as the union of two or more businesses to strategically share each other’s resources for the purpose of achieving the same set of marketing goals, whether a new project or business activity.
If you are looking to enter this type of business venture, it would help to write or use a joint venture agreement template for more ease and convenience. You can also use the following templates that are provided below:
From what the term implies, a confidentiality agreement is a contract governing two or more parties, usually an employer and employee, agreeing to never disclose certain sensitive information to third parties.
One of the main purposes of a confidentiality agreement is to protect and maintain important information within the organization.
If you are planning to make an agreement between your company and your employees, feel free to browse our collection of confidentiality agreement templates for your convenience. We have also provided samples that you can see below:
This is type of agreement is usually made when an entrepreneur is planning to transfer or add his personal ownership of the business to a certain company. Oftentimes, doing business as a company offers a lot of advantages to the entrepreneur.
However, writing a transfer agreement often involves a complicated process because you will need to classify the assets to be included or excluded in the transfer, as well as the company’s set of liabilities and how shares are subdivided among the other elements of the organization.
An independent contractor refers to a person whose services is hired by the company, but is not considered an employee.
While a written document is not usually required for an independent contractor agreement, it would be wise to draw up an agreement using our sample independent contractor agreement to legally bind the contractor to fulfill his duties with the company.
You may also want to view the following templates for independent contractor agreements that are provided below:
Even before the dawn of modern technology, the business world often relies on agreements to fulfill and achieve the contracted terms between individuals and businesses. Know that an effective business agreement is crucial to make both parties on the same page when achieving their business goals.
So we hope that you have learned a lot from this article and know what form of business agreements is best to use as you continue to drive your way to the road of success. If you want more references, do not hesitate to download from our collection of business administration templates.