4 Mistakes Businesses Can Make in Contracts
Contracts should protect your business — not create confusion or risk. But for many small businesses, it’s easy to miss the mark without even realising it. Here are three of the most common mistakes we see at Oxford People Solutions — and how to fix them before they cost you.
1. Being Vague
One of the biggest pitfalls in small business contracts is lack of clarity. When terms are too broad or open to interpretation, it can lead to disputes down the line — especially around things like working hours, notice periods, or performance expectations.
Fix it: Use specific, plain English terms and get contracts reviewed regularly to ensure they’re fit for purpose.
2. Forgetting to Update
Employment laws and best practices change frequently — and that means contracts that were compliant five years ago may no longer meet legal requirements.
Fix it: Review contracts annually (or sooner if laws change). We offer quick, affordable audits to help spot risks before they become issues.
3. Relying on Generic Templates
While templates can save time, they’re often too generic and fail to reflect your actual business setup — especially if you have hybrid working, non-standard hours, or roles with specific risks.
Fix it: Use templates only as a starting point. Tailor them to your roles, responsibilities, and structure — or better yet, let us help.
4. Assuming You Need a Lawyer for Everything
While employment lawyers play an important role, they’re not always necessary for day-to-day contracts — and relying on them for every draft or amendment can quickly become expensive.
The truth is, a qualified HR professional can create robust, compliant contracts that are tailored to your business and written in plain English — not just legalese. Most small businesses don’t need courtroom-ready documents; they need clarity, fairness, and protection for everyone involved.
Fix it: Before calling in the lawyers, speak to an experienced HR professional who understands both compliance and common sense.
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