India is home to 6.3million Small Medium Business. Contract Management is a vital aspect for small and medium businesses, and poor contract management can affect the business negatively. here are some of the main challenges related to contracts affective every Small Medium businesses across the world:
Over 70% of companies are unable to find all of their contracts - Misplaced contracts mean you can't say with much accuracy what your company is obligated to or what you owe in money or services. You could be violating contract terms you're not even aware of, leading to at least a damaged business reputation.
Old Incorrect and ad-hoc contract templates result in poor contracts - Ad-hoc contract authoring processes is a result of using templates downloaded from internet. These documents fail to capture the requirements of the business engagement and without proper legal review expose the company to business risk and exposure to legal damages.
Work Done on expired contracts result in financial loss - Inability to track contract expiry and renewals is a contract management issue faced by small and medium businesses (SMB's) and Startups. It can have a direct negative impact on the bottom-line due to lost revenue for work and services performed on expired contracts.
What it does
Digital Contact Lifecycle Management - Drafting, Execution, Archive and Renewals. We have implemented a digital contract management solution and deployed the backend server using AWS EC2 Graviton Instance.
The critical components with server-server integration are KYC based signing of contracts and govt notarization / stamp paper duties - without these a contract / digital agreement is not valid in legal sense, hence this is critical to the success of the application.
How we built it
The main challenge here is backend server-server integration with multiple third party servers via REST API calls, and managing such integrations becomes cumbersome, inefficient and costly over time. We are trying to optimize with serverless architecture to save as much of these costs. However, in this particular instance some of the main APIs take a much longer time to return the response - which ends up with time-out error on the serverless functions.
We shifted our approach to EC2 Graviton instances for managing this workload efficiently and finally have been able to successfully implement a complete digital contract signing application.
Challenges we ran into
understanding and integration with proper KYC, identity and verification based solutions is one of the main challenges. if not done properly - a contract can become nullified which impacts our customers significantly with financial and reputation loss. hence this is a very critical component which cannot fail.
we had some challenges initially - as the quick setup of the instance failed to connect, so we had to redo the instance setup a few times to get it right.
Accomplishments that we're proud of
we manage to complete the integration and now we can go live within next weeks.
What we learned
server-server integrations, graviton ec2
What's next for SettleFirst
Finalize the web integration, develop mobile app based contract signing. add more contract types focusing on different industries / sectors.