I got my first car at 16...
it was a used hatchback my father purchased from our neighbor down the street.
It was only $3,000 and as an anxious teenager I "needed," a car.
I promised my mother I would pay them back.
A successful business woman the evening before my big purchase my mother handed me a short draft of what I agreed to and the terms of payment.
She knew me all my life...
I was responsible and even at 16 I'd had a steady job for almost 2 years.
Where was the love??? Years later I deeply understand the need for contracts and agreements.
While doing business management for a high end label I once chased one of the most exquisite boutiques in New York for over 4 months just to pay their bill on product they'd probably already sold.
They finally paid the flat amount..
..
no interest...
no penalties..
..
no financial regard for the endless phone calls...
letters and other administrative costs it took us to collect payment on terms that we "believed," we'd agreed to.
My point is that in this industry people like each other (for the most part.
).
People are impressed with each others offices, soho boutique addresses and that they carry $2,000 miu miu bags.
That goes a long way with us.
But it shouldn't.
So what happens is people get screwed...
they decide to never sell to that boutique again...
or buy from that designer again...
or deal with that supplier again.
Relationship over everybody moves on...
bitter and through! It's unfortunate because most of the time a violation of trust is simply a violation of "understanding.
" Well drafted and simple contracts and agreements help everyone to understand, sets expectations and literally puts all parties on the "same page.
" Swallow that one uncomfortable moment with new buyers and walk them politely through your terms of sale..
...
After you come to an understanding on price and deliverables give your vendors a short contract outlining what you expect..
...
If you're new all this may seem a little pressed.
People often get uncomfortable with contracts...
they need to have their cousin's husband who's a lawyer to look at it or even worse they feel uncomfortable with you.
I mean how do you do business with someone you don't trust? The Answer According to Donald Trump: Never do business with someone you don't trust.
I agree (as if he needs that).
Because, with a contract you are simply outlining the trust.
It doesn't have to be a book..
..
because that legitimately could scare people off especially for a smaller project.
But it has to be something...
however brief it has to be an understanding.
An understanding that both parties are willing to agree strongly enough that they pick up the pen and they say.
Yes! This is what I said I will do.
Where do I sign? An ounce of prevention is a pound of cure...