Just because others do it, doesn't mean it's right

Rise Up In Business

Think back to when you started your business. I bet you were full of excitement, and nervousness.

So maybe, like a lot of people, you looked around at successful businesses and decided to follow their lead. It makes sense, I mean if it’s working for them, it should work for you too, right? Wrong.

When you look at another business, you’re only seeing the surface.Even if things look good from the outside, you can't be sure their methods are strategically or legally sound, and copying them could set you up for trouble.

One common mistake I see is in the sequencing of contractual documents and invoices. For example, tools like Dubsado make it easy to send a proposal that, once accepted, automatically generates an invoice, and then the client receives the contract.

While it might seem convenient, it’s not compliant with Australian Consumer Law, and doing so can invalidate your agreements. As a service provider, you must provide your terms and conditions or agreement before your client decides to engage you. If you later need to rely on those terms, they won’t be enforceable because the client didn’t agree to them upfront. This small sequencing error can have big consequences.

Each business is unique, and what works for one might not work for another. I work closely with my clients to ensure that their onboarding processes, documentation, and service delivery sequence are customised to suit how their unique business operates. Not only does this keep you compliant with the law, but it also reduces misunderstandings with clients.

Another mistake I see comes from businesses selling services online—think courses, memberships, or subscriptions. The business owner gets so excited to launch that they send out the sign-up link before having the necessary terms and conditions in place. They often think they can apply these terms retrospectively, but that’s far from the truth.

Participants must have the opportunity to read and agree to these terms before paying for the service. If you miss this step and need to play catch up, you’ll have to offer refunds to those who disagree with the terms subsequently introduced. So, make sure your terms and conditions are properly in place before any sales or sign-ups occur.

The message here is simple: copying their practices without professional insight can leave you exposed to legal risks and undermine your professional credibility. Take the time to invest in professional advice to ensure your business is not just legally compliant but set on a path for sustainable success.
LINKS:
Episode Website: https://tmsolicitor.com.au/rise-up-in-business-podcast/just-because-others-do-it-doesnt-mean-its-right

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