Is an electronic signature valid?

Yes. Electronic signatures are legally valid under the ESIGN Act (15 U.S.C. §7001) and UETA in most states, provided intent, consent, attribution, and retention requirements are met.

Do I need a notary for this document?

It depends on state law and the authority’s purpose. Many states require notarization for documents used in official filings; confirm the requirement with the agency or state notary guidelines.

How do I revoke the authority?

Follow the revocation clause in the document. Provide written notice to the delegate and any third parties relying on the authority; consider recorded delivery and update internal records immediately.

Who can sign on behalf of the business?

Only individuals with corporate authority may delegate rights. Verify via corporate resolution, bylaws, or officers listed on state filings before accepting a signed authority.

What supporting documents should I include?

Attach proof of signer authority (board resolution), photo ID of the delegate, and any vendor agreements that reference the authority to avoid service delays.

How should I store executed copies?

Store signed records in encrypted enterprise storage with access controls and retention policies aligned to federal and industry requirements; retain evidence of delivery and the audit trail.

Electronic Signature
Templates
Miscellaneous
Business Services Authority

Business Services Authority

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

BUSINESS SERVICES AUTHORITY

This Business Services Authority (the "Authority") is made effective as of Effective Date: by and between Service Provider Name: and Client Name: .

RECITALS

WHEREAS, Service Provider possesses experience, personnel and resources necessary to provide business services described herein and is willing to render such services to Client on the terms and conditions set forth in this Authority; and

WHEREAS, Client desires to engage Service Provider to perform the services described below and authorizes Service Provider to act within the scope set forth in this Authority; and

WHEREAS, the parties intend that this Authority set forth the exclusive terms governing the relationship between them with respect to the subject matter hereof.

SCOPE OF WORK

Description of Services

Deliverables and acceptance criteria shall be as set forth in the Description of Services above. Service Provider shall perform services in a professional manner consistent with industry standards and in compliance with all applicable laws and regulations.

PAYMENT TERMS

Total Fee Deposit / Initial Payment Payment Schedule (milestones, due dates) Invoices and Due Date Late Payment Fee

All fees are exclusive of taxes unless otherwise stated. If Client fails to pay undisputed amounts when due, Service Provider may suspend performance after ten (10) days' prior written notice. Interest shall accrue on overdue amounts at the rate set forth above and the prevailing judgment rate if higher.

TERM AND TERMINATION

This Authority commences on Start Date: and, unless earlier terminated in accordance with this Section, continues until End Date: .

Termination Notice Period

Either party may terminate this Authority for material breach by the other party if the breach remains uncured for thirty (30) days after receipt of written notice specifying the breach. Either party may terminate for convenience upon giving the notice period specified above. Termination does not relieve Client of the obligation to pay for services performed and costs incurred prior to termination.

CONFIDENTIALITY

"Confidential Information" means non-public information disclosed by a party that is designated confidential or that reasonably should be understood to be confidential. Each receiving party shall maintain Confidential Information in strict confidence, use it solely to perform obligations under this Authority, and not disclose it to any third party except to employees, contractors, or advisors who need to know and are bound by confidentiality obligations no less protective than those herein.

Confidential Information does not include information that: (a) is or becomes generally available to the public other than through a breach of this Authority; (b) was known by the receiving party prior to disclosure as evidenced by written records; (c) is received from a third party without obligation of confidentiality; or (d) is independently developed by the receiving party without use of Confidential Information. Upon written request or termination, the receiving party shall return or certify destruction of Confidential Information, except to the extent retention is required by law.

GOVERNING LAW

This Authority shall be governed by and construed in accordance with the laws of the State of , without regard to conflict of law principles. The parties submit to the exclusive jurisdiction of the courts located in that State for any dispute arising out of this Authority.

ENTIRE AGREEMENT; AMENDMENT

This Authority, together with any attachments or exhibits expressly incorporated herein, constitutes the entire agreement between the parties relating to the subject matter hereof and supersedes all prior and contemporaneous agreements, proposals, and communications. No modification of this Authority is effective unless in writing and signed by authorized representatives of both parties.

NOTICES

Service Provider Notice Address Client Notice Address

Notices shall be in writing and delivered by hand, nationally recognized overnight courier, certified mail (return receipt requested), or by electronic mail when receipt is acknowledged, to the addresses above or such other address as a party may specify in writing.

REPRESENTATIONS AND AUTHORITY

Each party represents and warrants that it has the full right, power, and authority to enter into and perform its obligations under this Authority and that the individual signing on its behalf is authorized to bind that party.

MISCELLANEOUS

If any provision of this Authority is deemed invalid or unenforceable, the remaining provisions will remain in full force and effect. No waiver of any breach shall be a waiver of any other right or remedy.

Service Provider:

By:

Date:

Client / Authorized Representative:

By:

Date:

What the Business Services Authority document is

A Business Services Authority is a written authorization that gives a third party limited power to act on behalf of a business for specified services, transactions, or filings. Typical uses include authorizing vendors to submit permits, sign routine contracts, access business accounts for operational tasks, or represent the business with governmental agencies. The document defines the scope of authority, duration, any signing thresholds or dollar limits, and whether the authorization may be delegated. Properly completed, it creates a clear record of who may act and under what conditions while supporting audit and retention requirements.

Why organizations use a Business Services Authority

A clear, documented authority reduces operational friction, clarifies responsibilities, and provides an auditable record for compliance and internal controls.

Organizations and roles that commonly prepare this document

The Business Services Authority is used across multiple organizational roles where delegated operational tasks are common.

Operations managers and office administrators who delegate permit filing, vendor coordination, or routine account maintenance.
CFOs and controllers when authorizing payment processors, tax preparers, or payroll vendors to act on behalf of the business.
Legal and compliance teams that issue limited authority for contract signature, government filings, or regulated reporting.

Use this guidance to match the correct signer, scope, and retention practice to your organization’s needs.

Core elements that make a Business Services Authority effective

A well-structured authority includes specific clauses and fields that establish scope, limits, duration, identity verification, and recordkeeping instructions to reduce ambiguity and legal risk.

Scope

Define precise tasks and excluded activities so the delegate cannot exceed intended authority.

Limits

Set monetary thresholds, transaction types, or contract values that require additional approvals.

Duration

Specify start and end dates, automatic renewals, or event-based expiry conditions.

Identification

Include required ID, company role, and contact details for the authorized representative.

Signature and date

Provide space for signer name, title, signature, and execution date for enforceability.

Revocation method

State how the authority may be withdrawn and how notice must be delivered.

Step-by-step: preparing and executing the Business Services Authority

Follow these sequential steps to prepare, approve, and distribute a valid Business Services Authority.

01

Draft the authority: List parties, detailed scope, limits, and term; use plain language to avoid interpretation gaps.
02

Verify signatory power: Confirm the signer is authorized by corporate resolution or bylaws to grant delegation.
03

Execute with signatures: Obtain wet or electronic signatures with appropriate authentication; record date and method.
04

Distribute and store: Send copies to stakeholders and retain the executed record in secure storage for compliance.

Configuring a digital workflow for online completion

Set up the e-signing workflow to match your business controls and identity requirements before sending the document.

Field	Configuration
Authentication	Email link or SMS code; use stronger KBA or 2FA for high-risk authorities
Signature Type	Allow electronic signature with audit trail for most transactions
Conditional Fields	Show additional approvals when value thresholds are exceeded
Storage	Save signed PDF and certificate to encrypted cloud storage

Where executed copies should be sent and kept

Clearly define distribution so all stakeholders and regulatory reviewers can access the authoritative record.

Primary Holder: Retain the original with the business operations or legal department
Authorized Vendor: Provide the delegate a copy for operational use and proof of authority
Regulatory Filing: Submit to the relevant agency only if the authorization itself must be filed
Backup Archive: Store an encrypted copy in enterprise records management for retention compliance

Technical considerations for eSigning and eSubmission

Choose platform settings that align with authentication, integration, and document format needs.

Integrations: Salesforce, NetSuite, Microsoft 365
File formats: PDF, DOCX, XLSX
Authentication: Email, SMS, KBA, or SSO

Key timing elements to include in the authority

Specify time-related provisions so all parties understand when the authority starts, ends, and how termination is handled.

Effective Date:

Enter as MM/DD/YYYY; governs when delegated acts are valid

Fixed Term:

Specify end date or project-completion trigger

Renewal Terms:

State automatic renewal rules or explicit renewal steps

Termination Notice:

Require written notice, typically 30 days unless otherwise agreed

Immediate Revocation:

Allow immediate withdrawal for fraud or material breach

Milestones from draft to archived record

Track these sequential milestones to ensure governance, auditability, and timely revocation when needed.

01

Draft Prepared

Draft authority with detailed scope and limits before approvals

02

Governance Approval

Obtain corporate approvals or resolutions if required by bylaws

03

Execution

Obtain signatures and verification by chosen authentication method

04

Common mistakes to avoid when preparing the authority

Using vague scope language that permits unintended actions and creates liability exposure for the business.
Failing to verify that the signer has corporate authority, which can invalidate delegated actions with third parties.
Not specifying monetary limits or approval thresholds, allowing excessive commitments to be signed without oversight.
Omitting revocation procedures or failure to circulate revocation notices promptly after termination or role changes.

Potential legal and financial risks of errors

Contract Liability: Authorized acts may bind the company

Regulatory Fines: Agency penalties for noncompliance

I-9 Penalties: $281–$2,789 per violation

1099 Penalties: 1099 late: $60–$330 per form

Backup Withholding: 24% withholding for missing TIN

Data Exposure: Inadequate controls increase breach risk

Security and compliance considerations

Encryption transit: TLS 1.2/1.3

Encryption at rest: AES-256

Certifications: SOC 2 Type II

HIPAA: BAA required

21 CFR Part 11: Compliant options available

ISO standard: ISO 27001 certified

Real examples of how businesses use an authority form

These examples show practical, real-world ways organizations reduce friction while keeping control over delegated actions.

Optica Ventures LLC

The interface is simple and easy-to-use for our team; more importantly, it is just as easy for our customers.

Operational delegation
Optica used an authority form to let a third-party property manager file routine local permits, centralizing recordkeeping and reducing missed filings.

Martin Properties

I can process and execute all of these documents online with 100% compliance and built-in security.

On-site execution
Martin Properties authorized agents to sign standardized lease renewals under set thresholds, speeding tenant onboarding and preserving escalation controls for exceptions.

How a Business Services Authority differs from a Power of Attorney

This comparison highlights core distinctions so you can pick the correct document for your purpose.

Criteria	Business Services Authority	Power of Attorney
Scope breadth	limited tasks	broad legal authority
Typical use	operational tasks	legal/financial representation
Revocation method	business notice	often formal revocation
Notarization	sometimes required	frequently required

eSignature vendor comparison relevant to executing this document

Compare common pricing and feature criteria for eSignature vendors. signNow appears first to reflect plan-level pricing and available compliance features.

	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	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Bulk Send	Yes	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 Business Services Authority

Answers to common questions address legal validity, notarization, revocation, and best practices for electronic execution.

Need help? Contact support

Is an electronic signature valid?
Yes. Electronic signatures are legally valid under the ESIGN Act (15 U.S.C. §7001) and UETA in most states, provided intent, consent, attribution, and retention requirements are met.
Do I need a notary for this document?
It depends on state law and the authority’s purpose. Many states require notarization for documents used in official filings; confirm the requirement with the agency or state notary guidelines.
How do I revoke the authority?
Follow the revocation clause in the document. Provide written notice to the delegate and any third parties relying on the authority; consider recorded delivery and update internal records immediately.
Who can sign on behalf of the business?
Only individuals with corporate authority may delegate rights. Verify via corporate resolution, bylaws, or officers listed on state filings before accepting a signed authority.
What supporting documents should I include?
Attach proof of signer authority (board resolution), photo ID of the delegate, and any vendor agreements that reference the authority to avoid service delays.
How should I store executed copies?
Store signed records in encrypted enterprise storage with access controls and retention policies aligned to federal and industry requirements; retain evidence of delivery and the audit trail.

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