13 - Four Reasons To Treat Contracts as Living Documents and Not One-Time Tasks

When you first start your business, creating a contract often feels like checking off a to-do list item. You draft it, sign it, save it somewhere, and move on to the next thing.

Buthere’s what I’d like to put on a giant billboard from the world (but especially business owners) to know: your contracts are not meant to sit in a folder collecting digital dust.
They’re living documents, business tools that should grow and evolve with you.

This is a huge mindset shift for many entrepreneurs I work with. In particular, those that are busy and growing their business. As a business lawyer for entrepreneurs, I see this all the time with busy founders building momentum and scaling. Here are four key reasons why treating your contracts as living documents can help you protect your business, strengthen your relationships, and support sustainable growth.

1. Your Business Changes

As your business grows, so do your offers, prices, and processes. Maybe you started with one-on-one clients and now offer group programs. Or perhaps you’ve added team members or changed your onboarding flow.

If your contract still reflects the old version of your business, it’s not truly protecting the current version. Reviewing and updating your contracts regularly ensures they support your goals, boundaries, and brand voice today, not last year’s.

2. Your Clients Change

With experience, you get clearer about who your ideal client is, and who isn’t. Your agreements should reflect that clarity too.

That might mean refining payment terms, adjusting cancellation policies, or adding clearer communication guidelines. These updates can prevent misunderstandings and improve the client experience overall.

3. The Law Changes

Especially if you operate in British Columbia (or anywhere in Canada), laws around consumer protection, privacy, and online sales evolve. A clause that worked two years ago might not meet current standards today.

Scheduling a simple annual contract review can save you from costly surprises down the road. It can start as easy as reading your contracts again carefully as you hope a new client would or asking a trusted advisor to look over them for you. 

4. Contracts Are Tools for Clarity

When used intentionally, your contracts can be more than legal safety nets, they can actually improve your business relationships. A clear, well-drafted contract sets expectations, builds trust, and reduces stress for everyone involved.

Think of it as a roadmap: it tells both you and your client how the journey will unfold, and what happens if you need to take a detour.

A Living Document Mindset

Your contracts should grow with your business, not against it.

You may want to set some time to revisit your contracts whenever you:

• Launch a new offer or change your pricing

• Adjust your client process

• Add or remove team members

• Encounter a client issue that your contract didn’t address well

This approach turns your contracts into strategic tools, ones that reflect your values, boundaries, and the evolution of your business. 

The Encino Law Approach

At Encino Law, I help women entrepreneurs in British Columbia see contracts not as intimidating legal paperwork, but as part of their business foundation. When your contracts evolve with you, they protect your business, and your peace of mind.

If it’s been over a year since you last reviewed your contracts, it’s time. Start by reading them the way your client would. Ask yourself: what feels clear? what feels outdated? 

Mari Gutierrez is a business lawyer in Vancouver, BC, and the founder of Encino Law, a boutique law firm helping women entrepreneurs and small business owners protect and grow their businesses with clarity and confidence. She believes contracts should be treated as living documents, evolving with your business, your clients, and your goals, rather than one-time formalities. Through approachable legal services, Mari helps founders understand the legal side of business without the overwhelm, making the law more accessible, empowering, and aligned with their values.