Owner-managers have adapted quickly to transferring funds electronically, paying invoices online and scanning and sending data to and fro.
When it comes to product delivery, contracts or agreements, many are still relying on hardcopy signatures or faxed copies of paperwork to finalize the deal or witness product or service transactions. This process can be time-consuming, with the need to attend your solicitor’s or client’s site, or to print and file shipping or receiving documents.
Signing documents electronically is a great solution for saving time while ensuring they are legally binding.
Two types of signatures are available that help make this process easier: a digital signature and an electronic signature.
Both methods produce the same effect: The signed document is recognized as an authentic signature of a signatory and meets the Canadian standards for electronic signatures.
Canadian law regarding electronic signatures is under the guidance of the Personal Information Protection and Electronic Documents Act (PIPEDA). It states:
Most businesses will require electronic signatures with hardware and software that will allow someone to sign off on a document from anywhere. Whether you have Android- or Apple-based hardware and software, you can buy a tablet or iPad that’s Microsoft Word or Excel-compatible, and allows PDF signing in an application such as Adobe Acrobat. In theory, they let you start e-signing right “out of the box.”
Hardware cost for signature pads varies from $150 to $650. The less expensive models provide a basic touchpad and stylus, while the more expensive approach legal-sized electronic units that will provide an electronic copy of the document and a hardcopy if needed. Regardless of the unit you’re considering, ensure your choice includes high-quality biometric and forensic capture techniques to guarantee confidentiality and reliability.
Most companies that offer electronic signature capabilities should provide the following:
The cost of obtaining and maintaining your electronic signature template is tricky to find and understand. Most websites will not provide a specific quote. Some will start with a basic per-year cost, but will still require that you contact them to see if your business is able to take advantage of bulk discounts or discuss whether your specific application requires additional features that add to the cost. Companies such as Adobe may offer their service as part of an integrated package. Packages are usually sold for a flat monthly or an annual fee, or are based on the number of senders (similar to costing structures of most software, where more users means higher cost). Or you may pay on a per-signature basis.
As you can see, good business practice suggests that determining what the business requirements are before making a final decision will avoid disappointment and expensive upgrading. You will need to contact the supplier for help determining your specific needs, then work with them to agree on the costs to the organization for such a solution, based on how you will integrate existing systems and your needs for hardware, software, communication and reporting.
If your business has become comfortable with the paperless approach and you’re already using it for banking, invoicing, payroll, purchasing and sales, maybe it’s time to “complete the circle” and adopt electronic signatures, too.