Many people misunderstand the idea of a contract. If you say something to someone and make an agreement then that is a contract. Fact that it is not written down or recorded is no big thing. We will focus briefly on the importance of digital signature in business today.
It is possible to take someone to court and win for a breach of a verbal contract. The idea of a digital signature should be no more shocking than learning that verbal contracts are legally binding.
If saying something to a person makes it legally binding, then you can bet your cotton socks that digitally signing a contract are legally binding too. The trouble in some cases is how to figure out if a signature really came from one person or not.
The way it works these days
Contracts are still around today and almost always involve physical paper documents. You can arrange something such as a loan over the phone and even have it approved, but they will not often release the money to you until you have signed their contracts and sent them back to them.
This is a time-consuming process in the business world, but a digital signature will enable people to send out their documents online with a signature attached.
The shaky idea regarding digital signatures
It is possible to have documents emailed to you. You print them off, sign them, keep the paper copy and send the scan off to the end recipient via email. This is a perfectly fine way of signing contracts with the only flaw being that you cannot tell who signed the paper.
However, there is no saying that the paper version of a contract that you post has not been signed by a stranger too. A digital signature may make it possible to narrow down who “could” have signed the document with the digital signature.
This idea is shaky because on the one hand a digital signature is not needed if you have email, a scanner and a printer (most offices do). On the other hand, a digital signature may hold up better in court because it stands to be more secure. Here are a few advantages of digital signatures.
Optimize Operational Performance and Profits
Not getting bogged down in paperwork and the slow process of posting forms and files is a good way to optimize your operational performance.
It means that you do not have to assign staff to such matters because it may all be taken care of online and quickly. This will invariably lead to an increase in profits because of the savings you are making.
Secures Electronic Tracking and Storage
You may track the electronic movement of your forms. It is possible to track your mail but it will cost you, whereas you can automatically create logs for where your electronic paper work has been and where it has gone. It is also very easy to store your electronic files and you can lock them down under passwords if you wish.
Improve Staff Efficiency
As mentioned earlier, you do not have to bog down your staff with physical files and posting things. Files may be received signed and sent back within minutes. This will increase staff efficiency.
You can run a paperless office which is good for staff efficiency, appearances and good for being a green company.
Streamline your Business Processes
The fact you are now able to deal with the paperwork so quickly is part of your streamlining. Paperwork that would usually require sorting and sending may simply be read online, stored or signed and sent off. It is also very easy to make copies of paperwork.
Accommodate High Volumes of Invoices
If you have a lot of invoices come into the office or leave the office then that is a lot of work for one poor office member. That member may be freed up even if there are large volumes of invoices.
This is because the files may be sent online and signed online if needs be. The files may be stored safely and checked as and when they are needed.
Cost Reduction will occur
Not only are you saving money on your staff,
You do not need to photocopy if you have digital files. The time it takes to get your deals up and running may also be a factor in your business process. This will also mean that cost reductions occur when digital signatures are used.
-Thanks a lot for reading our article – Importance of digital signature in business today. Hopefully, your read and enjoy it. Have a good day!