5 Reasons Why Free Online Legal Templates Are Risky for UK Small Businesses
Starting or running a small business in the United Kingdom is no small feat. In fact, it's pretty awesome. While it's tempting to cut corners wherever possible, like using free online legal templates as a cost-effective solution, it's really not the best idea. In this blog, we discuss five compelling reasons why relying on these free templates might do more harm than good for your small business.
1. Lack of Customisation
Free online legal templates are designed to be one-size-fits-all. While this might sound convenient, it rarely works in practice. Every business has unique needs and specific legal requirements that generic templates can't address. These templates often fail to include clauses that are vital for your particular situation, leading to potential legal vulnerabilities.
Imagine running a boutique marketing agency and using a generic service contract template. The template might not cover industry-specific nuances, such as intellectual property rights or confidentiality clauses, putting your business at significant risk. Custom legal templates ensure that all your specific requirements are met, providing robust protection.
2. Outdated Information
The law is not static - it evolves continually. Free legal templates often fail to keep up with the latest changes in legislation, leaving your business exposed to legal risks. In the United Kingdom, regulatory requirements can change frequently, and using an outdated template might mean non-compliance with current laws.
For instance, data protection regulations have undergone significant changes with the introduction of GDPR. A free template created before GDPR will lack essential clauses, leading to hefty fines and reputational damage. Investing in professionally crafted templates written by lawyers ensures that your documents are always up-to-date with current laws and regulations.
3. Poor Quality and Reliability
You get what you pay for, and with free templates, the quality and reliability are extraordinarily questionable. These templates might be filled with legal jargon that's hard to understand, or worse, they might contain errors and omissions that could invalidate the entire document.
A poorly drafted contract can lead to misunderstandings and disputes that could have been avoided with a professionally written document. High-quality legal templates are drafted by experienced legal professionals who ensure clarity, precision, and enforceability. One of the worst we've seen is a local UK business attempting to use a contract that was intended for use in the state of Louisiana - yep, the Louisiana in the United States.
4. No Business Support
When you opt for a free legal template, you're on your own. If you encounter any issues or have questions about the document, there's no business support available to assist you. This can be incredibly stressful and time-consuming, especially if you're not familiar with particular terminology and procedures.
Professional legal template providers often offer customer support or consultation services. This means you can generally get a consultation regarding a specific situation, ensuring that your documents are not only legally sound but also suited to your business needs.
5. False Sense of Security
Using free online legal templates might give you a false sense of security. You might believe that having any legal document in place is sufficient protection for your business, but this is rarely the case. These templates often miss crucial elements that can leave you exposed to legal challenges.
For example, a free employment contract template might not include comprehensive clauses related to termination, dispute resolution, or employee benefits. This oversight can lead to costly legal battles and damage to your business reputation. Investing in professional legal templates provides genuine security and peace of mind.
Conclusion
Cutting corners with free online legal templates can cost your UK small business much more in the long run. Lack of customisation, outdated information, poor quality, absence of legal support, and a false sense of security are significant risks that can be easily avoided by investing in professional legal templates. Protect your business, ensure compliance, and gain peace of mind with expertly crafted legal documents tailored to your specific needs.