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BUSINESS CONTRACT ITEMS

A business contract should be labeled "contract" or "agreement" at the top. These are some items it can include:

• Date of contract
• Names of parties involved
• Details of services that your company will provide or receive
• Payment amounts
• Payment due dates. Note that payments do not need to be made in a lump sum at the end of the project. You can make or receive incremental payments for specific services rendered once they are completed.
• Interest on late payments
• Deadlines for services due. This is also called a "time is of the essence" clause. You will probably want to use this phrase in your contract if you have a timeline for a project.
• Expiration dates for the contract, such as a lease expiry
• Renewal terms, if applicable
• Damages for breach of contract. Also called "liquidated damages," this clause can specify amounts to be paid if services are incomplete or deadlines are missed. A court can also award damages if a contract is breached, even if damages and amounts were not included in the agreement.
• Termination conditions
• Signatures

BUSINESS LEGAL FORMS AND DOCUMENTS

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