Have you waited too much to get a contract signed? Do you like to cool off the friction between sales and legal teams while dealing with contracts?
Long contract cycles often result in sales professionals losing valuable deals. As a result, they fail to meet their quotas. Sales contract management software is a great option to consider. It ends the manual contracting process once and for all.
Sales contract management is one of the most important yet overlooked parts of the sales process. Implementing it right takes you to a state where you gain more leads, sales, and revenue. From drafting to signing and execution, sales contracts can be synthesized successfully with the help of dedicated sales contract management software.
What is a sales contract?
A sales contract is a legally binding agreement between a buyer and a seller. It details the terms and obligations for selling or transferring goods/services/products.
Moreover, it includes the rights and responsibilities of those involved in the transaction. For instance, if litigation or a dispute arises, sales contracts come in handy and reveal how to settle prudently. It’s important to note that the revenue is realizable only when a sales contract is created and duly signed.
Businesses often face issues while manually creating sales contracts. The content is messy, signatures get missed, and the turnaround is relatively strained.
Contract management software for sales teams helps automate contracts and results in:
- Reduced risk and better experiences.
- Strengthened commercial relationships between vendors and customers.
- Templatization of high-volume sales contracts.
Common challenges in sales contract cycles
Business teams today suffer due to an opaque contract approval process and a lack of audit trail of negotiations. Meanwhile, they go through long reviews and waiting times. Surfacing the contract from unorganized folders becomes increasingly complex. The end-to-end contract supply chain becomes distorted.
Here are some underlying reasons why sales contract cycles become messy.
One common issue surrounding contract management for sales is adhering to internal standards. Not keeping up with the evolving regulations or compliance needs may result in a broken contract process. It also provides a higher compliance risk to the organization.
Having fragmented workflows can lead to friction between stakeholders, resulting in contracts being delayed for a long time. In the end, they lead to suboptimal outcomes such as missed contracts and errors in contract execution.
Scattered sales contracts
Often, it becomes cumbersome to retrieve the contract at the right time. Dispersed agreements are all over the place, spread across Box, DropBox, G-Drive, or similar storage solutions.
Each team member saves contracts in their own dedicated storage space. And when someone leaves the organization, access to those contracts is gone, creating siloed information and losing a valuable contract.
Longer sales cycles
Lengthier sales contract cycles happen due to spurious drafting, manual and archaic reviewing, and unforeseen delays in getting signatures. Delays in the contracting process lead to sales teams missing quotas.
All teams involved in the sales contract management process take more than sufficient time.
Poor or Lack of Visibility
The sales contracts hidden in the email conversations don’t provide a clear view of status or progress. Struggling to track them, you further add more complexity to the sales contract process.
Finalizing deals or contract closures becomes a cumbersome exercise. A muddy contract lifecycle will negatively impact your sales process, slowing the time taken to close deals.
How to effectively manage the sales contract process
1. Sales contract management and automation
Often, contract reviews are laborious and lengthy. But helpfully, modern contract management for sales teams offers AI-assisted contract review and helps process legal requests swiftly.
By automating the sales contract process you could reap advantages like better version control, clear visibility into the status of the contract, and instant access to contract data.
The sales contract automation platform simplifies the end-to-end contracting cycle through:
- Integration with collaboration tools and CRM software
- Standardized templates for automated contract creation
- eSignature capability for automated contract approval
- Reminders, workflows, and functionality for tracking contract status
2. CRM-CLM integration for faster deal closures
Through advanced integrations, business teams can create and send the sales contract to customers directly from the CRM. It helps in improving sales velocity and turn-around time.
Your customer information is up-to-date and gets fed from the Salesforce or Hubspot opportunities to the CLM platform and vice-versa, eliminating the need for manual entry. Also, CRM-CLM integration ensures a smooth flow of documents to close deals sooner - no more switching between platforms or tools.
Following are some advantages of successful CRM and CLM integration:
- The accelerated contract drafting process
- Better negotiation and optimized cycles
- Increased sales productivity
- Improved accuracy, compliance, and speed
Benefits of contract management software for sales
1. Seamless contract creation
Plug-n-play templates help you draft contracts within minutes. Templates minimize errors and simplify end-to-end contract creation and execution for high-volume contracts. They enable sales teams to share contracts as quickly as possible with their customers.
SpotDraft’s DraftMate allows you to create and edit templates yourself from scratch. You could get rid of the waiting hours to make bespoke changes to existing templates. No technical expertise is required.
2. Real-time collaboration
Sales contract management software like SpotDraft allows you to collaborate with internal stakeholders and counterparties. These tools help bring together teams that work on contracts.
All conversations about contracts get recorded in a single space, and redlining is simple without having to create multiple versions. We could gain insight into stakeholder actions on a particular contract.
3. Single repository for all sales agreements
The contract repository provides access to contracts and related information in a searchable, on-demand format. For instance, contract management software for sales facilitates cross-departmental and organization-wide referencing and retrieval.
Some benefits of having a contract database include easy access to legal documents, better collaboration among team members, and more efficient workflow.
4. Reminders and custom approvals
With sales contract management software, you get instant reminders on key dates, obligations, and notifications on changes made in a contract. Creating approval workflows for contracts provides a holistic and better customer experience.
Finally, reviewing and approving contracts with an automated approval workflow has never been easier.
Sales contract management software like SpotDraft boosts the efficiency of your sales operations. It accelerates contract cycles, allowing sales and operations teams to sell more quickly.
Every salesperson knows precisely where their agreements are. The software enables them to submit and request contracts efficiently, giving them an advantage while delivering to clients.
Finally, enterprise sales contract management helps you avoid contract bottlenecks and speed up sales. Request your free demo of SpotDraft here.