Get Organised Month: Contracts Protect Your Business

January is officially Get Organised Month, a perfect opportunity to evaluate how you operate and identify ways to improve, such as using contracts to protect your business. For Managed Service Providers (MSPs), organisation isn’t just about keeping desks tidy or inboxes clear—it’s about implementing strategies to mitigate risk and ensure a stable foundation for growth.

One key lesson we’ve learned—sometimes the hard way—is the importance of clear, written contracts. The risks of being an MSP can be substantial. We’re often at the mercy of external factors, such as a client’s financial health, and when things go wrong, the consequences can hit hard.

For instance, we recently faced a challenging situation where a long-term client went into administration (unexpectedly on their part). While we had a verbal agreement for the services provided, there was no formal, signed contract in place. Unfortunately, this left us holding the bag for most of a significant three-year agreement we had entered into on their behalf, as the administrators needed a signed written contract in order to honour the commitment. It was a stark reminder that verbal agreements, while convenient in the short term, can lead to financial and operational headaches down the line.

How Contracts Protect your Business

In response to this experience, we’ve taken decisive action. Moving forward, all our service agreements will include a signed contract with a clearly defined contract length. This not only protects our business but also provides our clients with predictability and peace of mind.

Contracts clarify expectations and establish a professional foundation. By implementing these agreements, we’re better equipped to handle risks and can focus on delivering exceptional service without unnecessary distractions.

If you’re an MSP or run a service-based business, let Get Organised Month inspire you to take a fresh look at your processes. Do you have the right agreements in place? Are you prepared for potential challenges? Taking the time to organise and strengthen your operations now can save you from significant stress and financial losses later.

Going Forward

As we continue to refine our operations, we’re committed to ensuring that every part of our business is as resilient and efficient as possible. After all, organisation isn’t just about avoiding problems—it’s about building a business that’s prepared to thrive, no matter what comes our way.

If this blog has struck a nerve with you, contact us for some help in how to organise your systems and processes, as well as your plans, policies and contracts, so that your business becomes more secure.

Diana Catton – by-line and other articles