setting up automated contracts in freshbooks: a comprehensive tutorial

Step-by-Step Guide to Setting Up Automated Contracts in FreshBooks

Understanding FreshBooks Automation Features

FreshBooks is a robust accounting software ideal for small businesses and freelancers. One of its standout features is the ability to automate contracts, which streamlines client interactions and reduces administrative workload. Automating contracts helps ensure that everyone involved understands terms without the back-and-forth discussions. This tutorial will guide you through the process of setting up automated contracts in FreshBooks.

Prerequisites

Before you start automating contracts, ensure you have the following:

1. FreshBooks Account: You must have a FreshBooks account. Sign up for a free trial if you don’t have one.
2. Client Profiles: Your clients’ information must be entered into FreshBooks.
3. Basic Knowledge of Contracts: Familiarize yourself with the terms and conditions you wish to include in your automated contracts.

Setting Up Client Profiles

1. Log into FreshBooks: Navigate to the FreshBooks dashboard.
2. Access Clients Section: Click on the “Clients” tab located in the left sidebar.
3. Add New Client: Click the “New Client” button. Fill in the necessary information, including name, email, company name, and billing address.
4. Save Information: Ensure all details are correct, then save the profile.

Crafting Your Contract Template

1. Navigate to the Contracts Tab: From the left sidebar, find the “Contracts” tab.

2. Create New Contract: Click on the “New Contract” button to start drafting your contract template.

3. Choose a Template: FreshBooks often provides pre-made templates. Select a template that best fits your service offering.

4. Edit Content:

   • Contract Title: Clearly label your contract with a relevant title.
   • Client Information: Use placeholders to insert client details automatically.
   • Service Description: Outline the services you will provide. Be as detailed as possible to avoid misunderstandings.
   • Payment Terms: Specify payment methods, due dates, and any late fees associated with delayed payments.
   • Work Timeline: Provide an estimated start date, completion date, and any key milestones.
   • Confidentiality Clause: Add any necessary confidentiality clauses to ensure the protection of sensitive information.
   • Termination Clause: Include terms for contract termination for clarity on how either party can exit the agreement.

5. Preview Your Contract: Use the preview function to see how your contract will look to clients and make necessary adjustments.

Automating Contract Sending

1. Automatic Sending Options: Navigate back to the “Contracts” section after saving your template.

2. Set Automation Preferences: Select preferences for how and when contracts should be sent. You can choose options such as:

   • Send automatically upon creating a new client project
   • Schedule reminders for when to renew contracts
   • Enable notifications for clients to review and sign documents

3. Create Workflows: Use the workflow automation settings to set rules concerning contract management. For instance, you can create a workflow to trigger an email reminder to clients two days before a deadline for signing contracts.

Contract Acceptance Process

1. Client Notification: Once the contract is sent, FreshBooks automatically notifies the client via email. The email includes a link to view and accept the contract.
2. E-signature Feature: Clients can sign the contract electronically. This feature saves time and negates the necessity for physical paperwork.
3. Follow-Up Initiatives: Set automated email follow-ups for clients who haven’t opened or signed the contract within a specified timeframe.

Tracking and Managing Contracts

1. Monitor Contract Status: Check the status of each contract from the “Contracts” tab. You will see whether it is sent, viewed, signed, or yet to be signed.
2. Renewal Notifications: Set reminders for contract renewal to ensure you and your client stay on the same page. You can specify the time frame for these reminders.
3. Document Storage: All signed contracts are stored within FreshBooks. This makes it easy for you and your clients to access documents whenever necessary.

Integrating with Invoicing

1. Linking Contracts to Invoices: Ensure that contracts are linked to invoices for seamless billing. After a contract is signed, use it as a basis for generating associated invoices within FreshBooks.
2. Creating Invoices from Contracts: When a client signs a contract, use the contract details to create new invoices by selecting the corresponding contract in the invoicing section.

Customizing Contract Notifications

1. Email Notification Settings: Customize the notification settings for both yourself and your clients. Ensure everyone stays informed about any changes.
2. Personalize Templates: You may also personalize the email templates that go out with contracts. This adds a professional touch to your communications.

Troubleshooting Common Issues

• Client Didn’t Receive the Contract: Double-check the email address in the client’s profile. Resend the contract if necessary.
• Client Unable to Sign: Ensure that they are using a compatible browser and are not behind a firewall that blocks document signing.
• Formatting Issues: If the contract appears misformatted, revisit your template settings and adjust margins, fonts, and spacing to achieve a better appearance.

Enhancing Contract Automation

1. Third-Party Tools: Consider integrating third-party applications that specialize in contracts and e-signatures to expand functionalities.
2. Regular Updates: Periodically update your template to reflect changes in services or business policies to ensure compliance and relevancy.

Conclusion

Mastering automated contracts within FreshBooks offers a streamlined process for managing business relationships. By following the steps outlined, small business owners and freelancers can save time, reduce errors, and maintain professionalism across all client interactions. Embrace technology to enhance efficiency and provide your clients with a seamless experience.