How to Construct a Terms and Conditions For Your Business

If you are just starting out your construction business or have only been in operation for a short period of time, you know that in order to run your business smoothly, there is a mountain of endless tasks and jobs that need to be completed. Unfortunately, constructing terms and conditions that protect your business and outline when and how payments are to be made falls near the bottom of importance on that list. Building and refining your marketing channels, hiring new employees, and increasing your sales base are all tasks that take precedence over creating terms and conditions.


Neglecting this crucial part of your business, however, could cause a chain reaction in delayed payments that will throw off your books, ruin your budgeting efforts, and waste valuable resources chasing down the outstanding accounts. You’ll find yourself paying for materials and resources with money you don’t have (seeing as your cash flow has stalled).


Late and outstanding payments are a part of life in the construction industry. It is going to happen, unfortunately. However, you do have a tool at your disposal that can help drastically mitigate the frequency it occurs. If you have the proper terms and conditions in place, you can ensure a speedy and adequate payment. When the terms and conditions are sound, there is no excuse for late payments. 

Terms and Conditions
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Terms and Conditions: Protection for your business

To put it simply, when you don’t have a terms and conditions for your business, you put yourself at risk for misunderstandings, late payments, and general uncertainty of what is okay and what is not in terms of getting your earned money. 


With a terms and conditions, you establish what is acceptable between the parties involved that are conducting business together. A terms of service protects you, as the service provider, from your customer rescinding their word on a deal.


Sample terms and conditions for services

Well-crafted terms and conditions should act as a recipe or manual for all parties involved doing business and should outline absolute clarity of what should happen in any given situation. It is especially important to outline what should happen if one of the parties involved wants to back out of the original agreement. A well-defined terms and conditions template for services can help save a lot of money from the outset if any areas of the agreement are changed or aren’t acted upon.


Every business is different, and the specificity of your own business could include more than the terms and conditions example we have provided for you, however, some elements to consider including are:

Terms and Conditions


Most businesses will include the terms of use somewhere in the invoice or ongoing service agreement. You should include any terms and conditions when payment to vendors is made.

It is also advised to have general terms of service outlined somewhere on your company website. This is so the terms are clearly outlined for all the parties involved. Enforcement of the T&C contract can be as easy as including them in the contract or invoice and are binding when signed.


While a general terms and conditions template for your business can be downloaded and constructed with relative ease, for specific information pertaining to a facet of your business, it is advised to consult legal advice if necessary.


Terms and Conditions

Protection results in your growth

When you protect yourself from unexpected circumstances in receiving payment, you ensure that your business will continue to run smoothly even when the parties on the other side of the agreement cannot. A well defined and constructed terms of service will do just that. Even when a contracted party “pulls out” of a deal, you will fortify your business with legal protections so you can keep growing your business and keeping the rest of your customers’ lives running smoothly.