Our client’s business was already well-established and I had drafted their terms and for them a couple of years before. Now, they had decided to expand and offer additional services – and turned to us again for help in reflecting this within their contractual documentation.
Contract Clarity helped them by:
- Identifying all the elements of the new services and the chronology for delivering them;
- Clarifying what ‘extras’ were available but not included in the standard packages;
- Identifying the potential for misunderstandings – for example, by clients who were not familiar with this type of service, – which could ultimately result in a loss of profitability by our client or dissatisfaction on the part of their clients;
- Encouraging our client to decide which of the above they wanted to include in their documentation. (No-one wants overly-complex contracts, so it’s always a balance – focusing on the ‘detail that matters’;)
- Drafting quotes for each of the new services, and linking these back to the original terms and conditions – which were still adequate, – avoiding the need to spend further money there; and
- Showing our client how to adapt the new quotes to cover those situations where non-standard packages were requested by one of their clients.
The benefits of the above to our client were:
- Improved profitability – our client had not previously been maximising the profitability of the new services because their clients had not been clear about the limitations of each package. Clarifying this both avoided any confusion and provided significant up-selling opportunities;
- Flexibility and Confidence – our client has been reassured by the knowledge that all anticipated situations have been discussed and dealt with appropriately, and that it will be easy to create new quotes as the services are amended or extended in the future;
- Cost-Effectiveness – all the information designed to prevent misunderstandings was included in the quotes (which will always be read by the decision makers) rather than the terms and conditions (which might not!) This effective communication to the right people at the right time meant that the fee paid to us was therefore quickly re-couped through additional sales.
- Improved relationships – the ‘up-front’ nature of our client’s documentation engenders trust in their services and re-enforces their ethical brand image.
If you are introducing new products or services, perhaps we can help you too.
Give us a call on 0784 3233289 and we’ll be happy to talk things through with you – it will only cost you a coffee to talk!