Is an electronic signature legally valid?

Yes. Electronic signatures are legally enforceable under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA laws, provided intent, consent, attribution, and record retention requirements are met.

When is notarization required?

Notarization is rarely required for internal pricing directives; if a state or specific contract requires acknowledgment, follow state notary rules or RON requirements where permitted.

How do we change an approved directive?

Amendments should follow the directive's revision process: draft the amendment, route to required approvers, record the new version and effective date, and archive prior versions.

Who must sign the directive?

Signers should be those identified in the Approval Authority field—typically senior finance, sales, or executive leaders depending on materiality thresholds set in the document.

How should directives be stored?

Store signed directives in a secure, access-controlled system with auditable trails. Retain records per applicable federal or industry retention rules and your internal records policy.

Can we use remote notarization or eNotary?

Use Remote Online Notarization (RON) where permitted by state law; verify state-specific RON requirements such as identity proofing and audio-video recording retention.

Electronic Signature
Templates
Miscellaneous
Business Price Directive

Business Price Directive

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

Business Price Directive

Directive Number: Issued By: Issued To:

WHEREAS

WHEREAS, Issuer Name: is responsible for procurement, contracting and price governance for the business operations described herein; and

WHEREAS, Recipient Name: provides goods or services subject to pricing control and shall comply with the directives set forth in this document; and

WHEREAS, the parties desire to establish binding price terms, invoicing procedures, and adjustment mechanisms governing the applicable goods and services identified in the Scope of Work below.

Scope of Work

The Recipient shall provide the goods and services, including specifications, deliverables, quantities and performance standards, as described below.

Detailed Scope of Work

Price Schedule and Payment Terms

The following price structure and payment provisions shall apply to the goods and services covered by this Directive.

Price Schedule (itemization or lump sum)

Total Contract Value

Payment Schedule

Late Payment Fee

Invoicing Requirements

Price Adjustments and Change Orders

Prices stated in this Directive are fixed except as expressly permitted below. Any increase or decrease to unit prices shall require a written change order signed by authorized representatives of both parties prior to effectiveness.

Adjustment Mechanism

Confidentiality

Each party shall maintain in confidence all pricing data, cost breakdowns, commercial terms and other non-public information disclosed in connection with this Directive (Confidential Information). Confidential Information shall not be disclosed except to those employees, advisors or subcontractors with a need to know who are bound by confidentiality obligations no less protective than those herein.

The confidentiality obligation shall survive termination of this Directive for a period of years.

Term and Termination

This Directive commences on the Contract Start Date and continues until the Contract End Date unless earlier terminated in accordance with this section.

Contract Start Date: Contract End Date:

Either party may terminate this Directive for convenience upon providing days' prior written notice. Termination for cause may be effected immediately for material breach not cured within thirty (30) days after written notice specifying the breach.

Audit and Records

Recipient shall maintain complete and accurate records of costs, pricing, invoices and supporting documentation for a period of three (3) years following final payment. Issuer or its authorized representative may audit such records upon reasonable notice during regular business hours.

Taxes and Withholding

Unless otherwise stated, all prices are exclusive of taxes. The party required by law to collect or remit taxes shall do so, and any tax obligations imposed by applicable law shall be borne by the appropriate party as set out in the invoice.

Governing Law

This Directive shall be governed by and construed in accordance with the laws of , without regard to conflict of laws principles.

Entire Agreement

This Directive, together with any referenced exhibits or executed change orders, constitutes the entire agreement between the parties with respect to the subject matter and supersedes all prior proposals, representations or agreements, whether written or oral. No amendment shall be effective unless executed in writing by authorized representatives of both parties.

Certifications and Notices

Each party represents and warrants that the person signing below has full authority to bind the party to this Directive. Notices required under this Directive shall be in writing and delivered to the addresses provided in the parties' primary contract or via the addresses set forth below.

Notice Address for Issuer Notice Address for Recipient

Issuer (Company):

By:

Date:

Recipient (Supplier):

By:

Date:

What the Business Price Directive Is and when it applies

The Business Price Directive is a formal policy document that establishes pricing rules, authorized discount levels, approval thresholds, and notification procedures for business-to-business transactions. It sets standard price schedules, defines scope and exclusions, and identifies the roles authorized to change or approve prices. The directive creates a consistent framework for sales, procurement, and finance teams, supports auditability of pricing decisions, and can be incorporated into contracts, internal policy manuals, or customer communications to reduce ambiguity in commercial terms.

Why an explicit pricing directive matters for operations

A Business Price Directive centralizes decision authority, reduces inconsistent discounting, and documents approvals for compliance and audit purposes. It reduces negotiation cycles, clarifies financial controls, and helps avoid downstream disputes by making pricing rules transparent and enforceable across business units.

Who typically prepares and relies on a pricing directive

Typical users include finance, sales leadership, procurement, and legal teams responsible for setting and enforcing commercial terms.

Finance teams controlling margins, revenue recognition, and audit trails across product lines and customer segments.
Sales leadership enforcing consistent discounting, escalation paths, and standardized offer packages for strategic accounts.
Legal and procurement aligning pricing rules with contract terms, regulatory requirements, and supplier obligations.

In larger organizations the directive is managed jointly so commercial, accounting, and compliance needs remain aligned and approvals are auditable.

Core parts of a professional Business Price Directive

A complete directive documents scope, approved price schedules, approval gates, exceptions, effective dates, amendment procedures, and reporting requirements to support governance and compliance.

Scope

Define covered products, services, customer segments, geographies, and excluded categories so the directive applies consistently and avoids ambiguity in pricing application.

Price Schedule

Include base list prices, tiered discounts, volume thresholds, and formulae for escalations; state currency, rounding rules, and any country or region adjustments.

Approval Workflow

Specify who can approve price changes at each threshold, required documentation, escalation steps, and timelines for decision-making to maintain control and traceability.

Exceptions

Describe permitted deviations, approval authority for exceptions, documentation needed, and periodic review to ensure special pricing does not become uncontrolled.

Amendments

Set the process for updating the directive, version numbering, effective date handling, and required sign-offs to ensure changes are intentional and recorded.

Reporting

State reporting cadence, required metrics (discounts granted, approvals pending), and audit access to enable monitoring and internal controls.

Security and compliance considerations for pricing directives

Encryption: TLS 1.2/1.3 in transit

Data at rest: AES-256 encryption at rest

Audit Trail: Comprehensive timestamped action history

Authentication: Multi-factor and SSO options

Legal frameworks: ESIGN and UETA compliance

HIPAA handling: BAA required when PHI is involved

Primary risks of an incomplete or incorrect directive

Breach Damages: Monetary damages possible

Contract Voidance: Terms may be unenforceable

Tax Exposure: Incorrect reporting or withholding

Antitrust Risk: Price-fixing allegations possible

Compliance Fines: Regulatory penalties may apply

Reputational Harm: Customer trust erosion

Real-world examples of directive use

These short examples show how organizations use a Business Price Directive to standardize pricing, speed approvals, and preserve an auditable record of commercial decisions.

Optica Ventures LLC

Optica centralized pricing approvals to reduce back-and-forth across teams and speed customer responses for repeat contracts.

The interface simplicity aided rapid internal adoption and reduced training time.
Brian Fitzgibbons, COO at Optica Ventures LLC, noted that a clear directive and easy-to-use processes reduced approval delays and improved customer turnaround times.

Martin Properties

A property management firm formalized service rates and discount rules to reduce inconsistencies between managers across regions.

Mobile-ready execution helped on-site approvals.
Tim Martin, Founder of Martin Properties, reported that moving to structured directives enabled consistent client billing and faster execution without sacrificing compliance or security.

Step-by-step: preparing a Business Price Directive

Follow a clear sequence to draft, review, approve, publish, and monitor the directive so pricing remains consistent and auditable.

01

Draft: Compile price data, scope, and proposed approval thresholds.
02

Internal review: Circulate to finance, sales, legal, and procurement for comments.
03

Authorize: Obtain sign-off from designated approvers per the workflow.
04

Publish: Distribute to stakeholders and archive the signed version.

How the directive moves from draft to active use

A simple workflow keeps the directive current: prepare, route for review, finalize approvals, and communicate changes to affected teams.

Prepare: Author fills template and attaches supporting data.
Route: System forwards to reviewers by role or department.
Approve: Authorized signers execute and date the directive.
Communicate: Publish changes and update training or portals.

Configuring an online workflow for the directive

Set up template fields, signer order, authentication, and automated notifications to mirror your internal approval process.

Field	Configuration
Template	Create reusable template with mandatory fields and version label
Signer order	Define sequential or parallel signing order per approval thresholds
Authentication	Choose email, SMS, or stronger methods for signer identity
Notifications	Enable reminders, escalation, and completion confirmations

Technical considerations for digital execution

Digital execution requires secure transmission, certified storage, and integration with core systems to maintain auditability and workflow.

Integrations: Salesforce, NetSuite, Google Workspace
Formats: PDF, DOCX, HTML supported
Auth options: Email, SMS, SSO

Typical timelines and processing expectations

Set clear deadlines for review and approval to avoid delays; timelines should be documented in the directive and in template metadata.

Issue date set:

Effective date specified on the signed directive

Internal review window:

7–14 business days for full cross-functional review

Approval timeframe:

Approvals typically completed within 30 calendar days

Customer notice period:

30–60 days for material price changes to customers

Version control:

Record each amendment date and approver

Practical tips for accurate and efficient directives

Follow these practices to reduce errors, accelerate approvals, and preserve enforceability across teams and systems.

Use a standardized template

Maintain a centrally managed template with required fields, version control, and a changelog to avoid inconsistent clauses and ensure every directive includes essential governance elements.

Define approval thresholds clearly

Tie discount and price-change authority to roles and numeric thresholds, and automate routing to appropriate approvers so exceptions cannot be granted without documented sign-off.

Record supporting calculations

Attach spreadsheets or formula fields that show how prices were derived; documenting assumptions reduces disputes and supports audit and tax reviews.

Review and update periodically

Schedule periodic reviews of price schedules, exceptions, and reporting metrics to ensure alignment with market conditions and internal controls.

Key milestones from draft to directive enforcement

Track these sequential milestones to ensure a consistent and auditable pathway from creation to operational use.

01

Draft Creation

Author compiles pricing data and draft text for internal circulation.

02

Cross-Functional Review

Finance, sales, and legal provide feedback and required edits.

03

Formal Approval

Authorized signers execute the directive and record the effective date.

04

Implementation

Communicate to stakeholders, update systems, and begin enforcement.

How a directive differs from a pricing memo or quotation

Compare formal directives with common alternatives to choose the appropriate instrument for governance or customer communication.

Criteria	Business Price Directive	Pricing Memo
Legal Form	formal policy	informal internal note
Public Filing
Notarization	rarely required	not required
Typical Use	company-wide governance	specific negotiation or deal

eSignature vendor comparison for executing the directive

Common vendor choices offer different pricing models, compliance options, and bulk features; signNow is listed first for comparison consistency.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Trial available	Trial available	Trial available	Trial available
Bulk Send	Yes (Business Premium)	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies by plan	Varies by plan	Varies by plan

Frequently asked questions about the Business Price Directive

Answers to common questions about validity, signing, storage, and how to handle revisions for a Business Price Directive.

Need help? Contact support

Is an electronic signature legally valid?
Yes. Electronic signatures are legally enforceable under the federal ESIGN Act (15 U.S.C. ch. 96) and state UETA laws, provided intent, consent, attribution, and record retention requirements are met.
When is notarization required?
Notarization is rarely required for internal pricing directives; if a state or specific contract requires acknowledgment, follow state notary rules or RON requirements where permitted.
How do we change an approved directive?
Amendments should follow the directive's revision process: draft the amendment, route to required approvers, record the new version and effective date, and archive prior versions.
Who must sign the directive?
Signers should be those identified in the Approval Authority field—typically senior finance, sales, or executive leaders depending on materiality thresholds set in the document.
How should directives be stored?
Store signed directives in a secure, access-controlled system with auditable trails. Retain records per applicable federal or industry retention rules and your internal records policy.
Can we use remote notarization or eNotary?
Use Remote Online Notarization (RON) where permitted by state law; verify state-specific RON requirements such as identity proofing and audio-video recording retention.

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