Online businesses and companies of every size are relying on electronic signatures that give consumers higher efficiency due to seamless integration of services with contract management systems. This use of electronic signature software in combination with a contract management system expedites quality contract execution. It also helps companies to maintain legal, secure, and complete systems of record. Business managers seeking to optimize the contract process should focus on electronic signature software that can cut costs, build revenue, and attract customers.
What is electronic signature software?
Electronic signature software provides companies with a fast and secure means for clients to sign contracts. This process places an encoded signature on an electronic document that verifies signer identity and approves transactions. Electronic signatures can be sounds or symbols which serve the purpose of establishing client verification. Most software packages integrated into contract management systems have the option for adding multiple signers. While documents are being sent out, these programs can monitor client status easily.
In 2000, the Electronic Signatures in Global and National Commerce (ESIGN) Act became law. From that time on, all electronic signatures were deemed legally binding, and online companies began to embed their contract management software with electronic signature programs. By not jeopardizing the validity of signed documents, electronic signature software raised the standards for authentication and security. Because documents are digitally sealed, customer data is kept safer and more secure than traditional paper-based, hard copies.
How is the use of electronic signatures helpful in contract management?
Nowadays, companies are flocking to the electronic signature process and embedding this type of software within their cloud-based systems. Consequently, customers are getting complete on-demand e-signature solutions that automate contracts through their entire lifespan. The benefits of online contract execution include customer retention by closing contracts faster and lower operating costs by reducing the need to print paper documents. These companies boast higher revenues as a result of handling contracts digitally.
Nevertheless, corporations, large and small, are still mailing, shipping, and faxing millions of documents every day, which is a slow, expensive, and unsecured process. By integrating electronic signature capabilities, customers can eliminate the tedious print, ship, sign, copy, return, scan cycle. This efficient process then reduces contract negotiations from days to minutes. Because of the capacity and flexibility of electronic signatures, collecting, arranging, and storing contracts into one system is simplified.
Why is electronic signature software effective?
Clients and customers have more control over the process of signing digital contracts due to ESIGN features. With an electronic signature solution embedded within a contract management software package, customers are able to create and manage contracts within their system until the agreement terms are negotiated. Then, once the contract is ready to sign, customers can send it electronically and even track the document.
Secure web-based tools help companies to make, arrange, and share agreements with customers in a secure digital environment. Electronic signatures are stored and managed along the way, allowing to authenticate the sender and the signer based on their email addresses. It’s a win-win situation because companies can enjoy the lower costs of cloud-based software and the faster contract completion rates of electronic signature software.
Customers of companies using electronic signature software to complement contract management like the ease and security of the process of signing documents online. Likewise, companies enjoy the benefits of embedding electronic signature software into their cloud-based systems. As a collaborative solution for maximizing contractual agreements, the process of digitizing client signatures is reliable, fast, and effective and should be considered for implementation in all Web-based contract management systems.
Contract Logix offers 3 options of contract management system to effectively manage every task from contract drafting to document retention to commitment renewal.