Your terms and conditions are the backbone of your business. They set the rules for how you trade, what you’ll tolerate, what you’ll give and how you’ll behave... including in the event that something goes wrong.
When it comes to selling to a business, your terms and conditions will ensure that your rights are protected and they'll give you, and whoever you're doing business with, confidence in your business and how you run it.
Our terms and conditions are all written with the supplier in mind and our templates are drafted in their favour. It's possible that the business you're selling to will want to negotiate on some parts of your terms and conditions. Our templates will help you decide which parts are fine to negotiate on and which parts you should stand firm on.
What's in this guide?
In this guide, we’ll be focusing on what you’d expect to find in most business-facing terms and conditions documents and, crucially, what these terms mean.
If you want to get creative right now, Farillio's handy wizard selector will help you to pinpoint the right terms for your requirements.
And if you want the expert to talk you through the process, start watching our video guide with Helen Smart right now.
Of course, most terms should be tailored to suit the particular business to which they belong, but our guide will give you a good flavour of what the main, essential clauses are and what they mean.
As we go along, you'll see that some provisions are more relevant to selling goods, and some are more relevant to providing services.
If you're ready to create your own terms and conditions right now, you can rely on Farillio to do the hard work for you and speedily select what you need. All you need to do is click on the terms and conditions template picker and in 4 simple steps or fewer, Farillio will identify the right version to get you started on customising what you need.
And while Farillio will help you identify which terms are right for you, don't forget that you may need different terms and conditions for different sales activities that you carry out.
For example, if you sell both from a website and from your shop, you'll need different terms and conditions to cover those separate activities, because different rules and commercial objectives will be relevant to each.
What do terms and conditions usually include?
Usually, your terms and conditions will include information covering:
- who you are (identifying as the supplier needs to be very clear)
- a description of the goods or services you're selling
- how your business customers can make that sale happen
- your invoicing and payment arrangements
- how order cancellations and refunds work
- any relevant timeline for delivery of the goods or performance of the services
- how delivery or performance of the goods or services will take place
- when responsibility and ownership of any goods passes from you to the consumer
- any warranties/guarantees that you're giving for goods and/or services you're supplying
- your position in relation to your intellectual property rights and whether you're simply asserting your absolute ownership of these rights, or granting any licence permissions relevant to the supply of goods or services that you're offering
- at what point the sale will be completed and/or how the trading relationship might otherwise be terminated.
The exact wording of the clauses in your terms and conditions will need to take into account 3 critical factors:
to whom you’re selling (are you selling or consumers or other businesses? Different rules are applicable to each)
what you’re selling (goods, services, digital content, or a combination)
how or where you’re selling (online, off-line, by catalogue/telesales)
Again, our templates will do all the hard work for you and include what you need.
Terms and conditions are not the same as contracts for sale.
While both documents are contracts, they tend to be used in different contexts.
Terms and conditions are typically used for repeat custom arrangements, and those that are relatively swift, low value and you tend to have the negotiating power or do not really need to negotiate terms at all, e.g. where you're dealing with consumers in a store or business users for an equipment hire service.
Terms and conditions work really well when you don't want to change your sales position from one sale or customer to the next.
By contrast, contracts for sale are far more common where sales take place between businesses.
And even here, terms and conditions may often suffice, except where your trading relationship is likely to involve goods or services that are higher value, there is higher risks involved and the trading relationship is far more customised/negotiated, as well as commonly, sales transactions being fewer, leaving you greater time to negotiate those more customised deals.
In those latter circumstances, you'll likely want to avoid giving every business customer those same terms and a negotiated contract for sale.
Farillio’s business-facing terms and conditions templates usually focus upfront on the key commercial clauses of most importance to your trading relationships.
These are what you’ll generally want to focus on first as they’re the factors that often contain the deal-breaker elements of the relationship. Businesses will generally either choose you or not according to these upfront conditions.
Terms and conditions documents are usually drafted to not need signatures and to stand alone in their own right. Sometimes, you’ll find them displayed on the walls at trading premises, or on websites and in brochures. They are typically not negotiated, but they must be easily discoverable and accessible to your customers.
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