When small businesses sign a contract, it is critical that they sign the contract correctly.
In a previous post, we explains the right way to identify a party in a contract and explained why it matters so much (in short, because the party is the one liable under the contract). You may want to review that post before reading this one. And you can check out this post to learn more about electronic signatures.
One way small and mid-sized businesses can make this easier is to just use a digital contract platform like Rally. Create your first contract for free »
For individuals, have the individual sign and print their individual name in the signature block. It’s best to use their formal legal name (ie, Christopher rather than Chris), although that isn’t necessarily required in most situations.
Here’s an example:
Sign: __________________
Print: __________________
For business entities, you need to be sure you use their actual legal business name (not an abbreviation or fictitious name) in the signature block. (For more on that, see this post.) Once you have that legal name, use it in the signature block above the signature. The person signing should sign their name, print their name, and also print their title.
Here’s an example:
NewCo, LLC
Sign: __________________
Print: __________________
Title: __________________
A “DBA,” “Doing Business As,” or a “Fictitious Name,” is just that: a fake name. (For more on that, see this post.)
In the signature block, it’s best to just use the signature formats outlined above. However, if you want to use the DBA there, you might do it like this:
John Doe
(d/b/a Doe Enterprises)
Sign: __________________
Print: __________________
NewCo, LLC
(d/b/a Doe Enterprises)
Sign: __________________
Print: __________________
Title: __________________
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There’s so much more to learn! Here are a few related guides you should read: