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Terms of Business
Terms of business are the standard terms on which you trade with your customers and suppliers. They are a fundamental tool within your business but probably one of the most neglected areas of your business. All too often terms are pulled together from various sources and don't actually reflect the way in which you trade. This only comes to light when a problem arises by which point it can be too late.
A well drafted set of terms of business can help you manage customer expectations, build customer relations, mould your supply chain, achieve better time management within your organisation and more importantly help you manage cashflow.
It is important that you keep your terms under regular review and if you experience a particular problem with a customer or supplier consider whether this can be addressed within your terms of business. All too often time can be wasted in an organisation addressing a repeated customer/supplier issue when a slight change to your terms can eliminate that issue and enable your staff to concentrate on the role they are employed to undertake.