The golden rule of thumb for freelancers is to always get a signed agreement before starting any project. Having a legally binding contract protects both you and your client. It protects the client by ensuring you deliver on the agreed terms and conditions of the project, while it protects you by ensuring clients pay you the agreed compensation for the project.

So many freelancers have ended up with clients who ghosted them after completing projects because they weren’t careful enough to get a legally binding agreement first. Also, just because you want a client agreement doesn’t mean you should overwhelm clients with a long agreement process; make it simple and short. However, you shouldn’t rush contract review and acceptance; you could end with bad contracts because you didn’t review them properly. 

Digital signatures ensure you don’t have to deal with long pauses in contracts or risk not having an agreement to maintain speed. Let’s explore how to make your client agreement process more efficient with tools to make the process even easier.

Why Digital Signatures Matter for Freelancers

Normally, you would have to send back-and-forth emails and have to wait till clients print, sign, scan, and email the signed agreement before you have a legally binding agreement. Digital signatures eliminate the back-and-forth process by allowing clients to sign from anywhere with their computer or mobile device. 

Unlike e-signatures that’s just a printed version of a signature, digital signatures encrypt your contract document so only the person with the access code (your client) can unlock and sign the document. This helps prevent impersonation and fraud, especially in cases where you are collecting payment after delivery.

Understanding Digital Signatures

A digital signature is a method of signing and protecting a document’s content using cryptography. Unlike a simple electronic signature, which is usually an image of a handwritten signature, a digital signature encrypts the document and permits only the person with the correct access code to decrypt it.

Digital signatures generate a unique and encrypted digital fingerprint of the document that would only open if it’s decrypted, and the document with the right access code. This provides you with an air-tight legal agreement that neither you nor the client can change after signing.

Digital Signatures vs Electronic Signatures

Digital Signatures provide a higher level of security because of their cryptographic algorithms. They ensure both the signer’s identity and the document’s integrity. Electronic signatures (e-signatures) are any electronic method of signing a document, e.g. a typed name or an image of a handwritten signature. Sure, electronic signatures are less hassle but they are less secure than digital ones.

How Legal-Binding Are Digital Signatures?

Digital and electronic signatures are legally valid in many countries, including the United States, the European Union countries, Australia, South Africa, China, etc. However, your digital signature must meet the requirements of the E-Sign Act and eIDAS to be legally binding.

Challenges in Freelancer-Client Agreements

Client agreement uses the term “agreement” but there are so many processes in between that can become a challenge if not handled properly. Here are some common challenges:

• Time-consuming negotiation processes: If you are using email threads instead of a client agreement form or document signing tool, you would still have to go back and forth on email threads, revising clauses, and waiting for approvals. 
• Risks of misunderstandings and disputes due to unclear terms: Unclear or poorly defined terms in the agreement can lead to misunderstandings and disputes later in the project. This can make your project flow and transactions slow, and in extreme cases, it could affect your reputation if the client gives a bad review.

Using Formplus to Simplify Client Agreement

As a freelancer, skipping a client agreement is a risky move that could lead to non-payment. So, instead of bypassing the client agreement process and potentially ending up with unfavorable contracts, use tools like Formplus to speed up the process. 

So, What Is Formplus?

Formplus is an online form and document builder that allows you to create user-friendly and interactive forms and documents. Here are several Formplus features you can use to simplify client agreements:

• Customizable Templates Formplus has several pre-built templates that allow you to create agreement documents in minutes while also allowing clients to access and sign the document easily. The form is also encrypted to ensure no third party accesses the document.
•  Conditional Logic: The conditional logic feature enables you to personalize your client agreement. Instead of all clients having to answer the same questions even though they want different services, the form automatically adjusts the agreement based on client selections. For example, if you have three packages for your writing services (Diamond, Gold, and Silver), you can customize your agreement statement to be different for the different packages. So, the agreement that a client who chooses Diamond would see would be different from another that chooses Gold.
• Digital Signature Integration: Formplus also allows you to easily collect signatures with this e-signature field. You can also integrate your form with other digital signature tools. This allows both you and the client to electronically sign the agreement without the hassle of reading very long email threads.

Benefits of Using Formplus for Freelancers

1. Increases Client Agreement Efficiency

Formplus allows you to quickly create, send, and receive signed agreements without the hassle of printing, scanning, or mailing documents. You can also automate reminders and follow-ups to ensure to speed up your client agreement process. This helps you cut down the time you spend on agreements and frees up time to focus on the main part- the service the client requested.

2. Reduces Paperwork

Your client agreements are securely backed up to the cloud with Formplus or your preferred cloud storage. This allows you to easily track and manage all your client agreements easily. Unlike physical storage where you would have to sort through files, a simple search on your Formplus cloud store and you have retrieved your agreement document. 

3. Enhanced Professionalism and Client Satisfaction

Digital signatures give agreements a polished, modern look that not only streamlines the signing process but also elevates your brand’s image. This makes clients value the seamlessness of your agreement process and appreciate your professionalism, potentially resulting in increased satisfaction and faster response times.

Ensuring Legal Compliance

Digital signatures make the client agreement process easier and faster, but they are only useful when they are legally valid. Here are some compliance tips to keep in mind when using digital signatures:

1. Legality and Enforceability of Digital Signatures

Digital signatures are legally binding as handwritten in many jurisdictions, provided they meet certain criteria. For example, the ESIGN Act (United States) grants legal recognition to electronic signatures and records if all parties consent to using electronic documents. The eIDAS Regulation (European Union) also provides a framework for electronic signatures, ensuring their legal effect and admissibility in court.

1. Tips for Ensuring Legal Compliance

Explicit Consent: Your digital signature is only valid if both you and your client explicitly agree to conduct transactions electronically. So, ensure that clients fully understand what they are agreeing to when giving your terms of service.

Audit Trails: Maintain detailed audit trails that record the signing process, including timestamps and IP addresses. 

Document Integrity: You should also include encryption and authentication measures to ensure that the signer’s identity is verified and that the document doesn’t get altered after signing.

Best Practices for Implementing Digital Signatures

1. Create a Template for Your Agreements

Create reusable templates for common agreements to save time. You can also integrate your client agreement tool e,g Formplus with other tools (e.g., CRM systems) to streamline the workflow and reduce manual data entry.

1. Create Clear, Concise Agreements:

Keep your agreements straightforward and easy to understand. Clearly highlight critical terms and conditions without legal jargon to ensure your clients fully understand the details of the contract before signing.

1. Educating Clients on the Digital Signing Process:

Include clear instructions on how to sign documents electronically. You can add a step-by-step guide video and reassure clients about the security and legality of digital signatures to address their concerns.

Conclusion

Digital signatures are not to complicate your client agreement process, they are there to make it easier. They enable you to create legally binding contracts with clients globally while also protecting your document from unauthorized third-party access.

However, digital signatures are only great when you use the right tool. Using Formplus allows you to collect and sign your client agreements digitally and simplifies the process of creating and managing your contracts. Let’s make your client agreement faster and easier.  Sign up with Formplus to get started.