For many Kiwi businesses, chasing payments is one of the most frustrating – and costly – parts of doing business.
But too often, the root of the problem isn’t slow customers. It’s unclear or inadequate terms of trade.
Your terms of trade are more than just fine print. They form the backbone of your commercial relationships, spelling out payment timeframes, interest on late payments, liability limitations, ownership of goods until paid for, and your rights to recover costs for chasing payment and interest.
Yet despite their importance, many small and medium-sized New Zealand businesses either copy terms from other businesses or rely on outdated templates that don’t reflect how they actually operate. That’s where risk creeps in.
Well-drafted, customised terms of trade make it easier to enforce payments, strengthen your legal position in a dispute, and provide clarity in your day-to-day dealings.
But not all businesses are the same, and neither should their contracts be.
A commercial law specialist can tailor your terms of trade to suit your industry, cashflow model, and risk profile.
For example, a trades business may need different protections around deposits and ownership of goods than a consultancy offering services over time.
At ASCO Legal, we work with New Zealand business owners across sectors to ensure their terms aren’t just legally sound, but commercially practical.
If getting paid on time matters to your business, it starts with your paperwork.
Need help reviewing your terms of trade? Contact the team at ASCO Legal today.
- Call us at ASCO Legal on: 09 308 8070, or email us: info@ascolegal.co.nz.
