For entrepreneurs who are looking for the financial assistance to bring their business to the next level, they often find themselves having to take an expedient solution in order to get the funds that they need. GoKapital Loans is an online lending and financing service that makes it easy for entrepreneurs at any stage of their operation to find the right financing tool for them. In a less than 10 minutes they can apply and get quotes from over 500 lenders for all of their financing needs. Of course, entrepreneurs considering GoKapital Loans as well as any other asset based loans should understand plenty of legal issues that could arise down the line. One area that arises in the sphere of business financing and business agreements is the how people conduct their businesses and interact with business partners. For that reason, the following section will focus on examining the nature of texas verbal contracts and how they intersect with business financing and small businesses.
In Texas, as well as other states, a “verbal contract” – more commonly known as an oral contract – is one that is not ratified or confirmed in writing. The contract is simply stated or agreed-upon verbally. However, even though the contract is oral, for it to be a valid contract, it must meet all of the elements required for contract formation. Therefore, if the parties go to court, the burden of proof would be on the plaintiff to demonstrate that all of the elements were present and that there was a contract.
In some cases, the reason why a business person or entrepreneur would enter into a verbal contract is because they are looking for expedience in an otherwise complicated field of financing tools. If a business owner is in need of financing, they might be willing to enter into an agreement with a lender or another party without getting the agreement in writing. Of course, this could cause problems as later the specific terms of the agreement might be in dispute between the parties. However, for someone who is looking for immediate financing and is not worried about the future disputes that might arise with the agreement, a verbal contract could be the way to go.
Through the use of GoKapital Loans, business owners reduce the likelihood of having misunderstandings or disputes arising out of the contract because they are obtaining the financing through a company that provides clear terms and requirements. That way, the entrepreneur has the opportunity to evaluate all of their options and then choose the option that meets their needs the best. This is particularly important for entrepreneurs or business owners because they are constantly busy trying to get things done and have little time for potential disputes or misunderstandings with their financing partners. Since many of the entrepreneurs will be busy running their businesses and will not be “lawyers” or “contract drafters,” it is essential that they make the process as smooth as possible by reducing any potential issues with the contract. By having the terms out in writing, they can avoid future problems that might occur. However, it is still a good idea for entrepreneurs to protect themselves by putting oral agreements in writing. By having a written contract, they can protect their rights and interests.
For more information on contract law, you can visit Wikipedia.