Can the document be signed electronically?

Yes. Electronic signatures are legally valid in the United States under the ESIGN Act (15 U.S.C. §7001) and in UETA-adopting states, provided you meet the four-part e-signature validity test: intent, consent, attribution, and record retention.

When is notarization required?

Notarization is required when a recipient or filing authority mandates it or when state law requires a notarized acknowledgment for deeds, certain affidavits, or similar instruments; check the recipient’s instructions and state notary rules.

What makes a signature legally binding?

A signature is binding when the signer intends to sign, consents to an electronic record where required (15 U.S.C. §7001(c)), attribution can be proven, and the record is retained in a reproducible form.

How do I correct a submitted statement?

Prepare a corrected statement showing the revision date and reason, obtain required signatures, and distribute the corrected copy with a clear reference to the original to recipients and internal records.

Who may sign for the company?

A person with express authority under corporate bylaws, a board resolution, or a power of attorney should sign; for third-party acceptance, provide evidence of that authority with the statement.

How can I revoke or cancel the document?

Issue a signed revocation or superseding statement, date it, and send it to all prior recipients; some recipients may require notarization or additional proof depending on the document’s use.

Electronic Signature
Templates
Miscellaneous
Business Stated Document

Business Stated Document

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Business Stated Document

This Business Stated Document ("Agreement") is made effective as of by and between ("Party A") and ("Party B").

WHEREAS

WHEREAS, Party A is engaged in the business of providing professional services and has the necessary experience, personnel, and resources to perform the services described herein; and

WHEREAS, Party B desires to retain Party A to perform such services under the terms and conditions set forth in this Agreement, and Party A agrees to provide those services in accordance with the terms of this Agreement.

SCOPE OF WORK

Party A shall perform the services described below for Party B. The services shall include all tasks, deliverables, and responsibilities necessary to achieve the objectives set forth by the parties. Additional details, milestones, and acceptance criteria may be appended in writing and signed by authorized representatives of both parties.

Detailed Scope of Work

PAYMENT TERMS

In consideration for the services rendered by Party A, Party B shall pay Party A the fees described below. Payments shall be due in accordance with the schedule set forth herein. Unless otherwise agreed in writing, all amounts are payable in United States dollars.

Total Contract Amount Payment Schedule Late Payment Fee

If any undisputed payment due to Party A is not received within days after the due date, Party B shall pay a late fee equal to per month on the overdue amount, or the maximum rate permitted by law, whichever is less. Party B shall also reimburse Party A for reasonable collection costs and attorneys' fees incurred to collect overdue payments.

TERM AND TERMINATION

This Agreement commences on and shall continue in effect until unless earlier terminated in accordance with this section.

Either party may terminate this Agreement for convenience upon providing written notice to the other party at least days prior to the effective termination date. Either party may terminate immediately for cause if the other party materially breaches this Agreement and fails to cure such breach within thirty (30) days following receipt of written notice specifying the breach. Termination shall not relieve Party B of its obligation to pay for services rendered through the effective date of termination.

CONFIDENTIALITY

For purposes of this Agreement, "Confidential Information" means all non-public information, whether written, oral, electronic, or visual, disclosed by one party ("Disclosing Party") to the other party ("Receiving Party") that is designated as confidential or that reasonably should be understood to be confidential given the nature of the information and the circumstances of disclosure.

The Receiving Party shall: (a) hold the Confidential Information in strict confidence and use at least the same degree of care as it uses to protect its own confidential information, but in no event less than reasonable care; (b) not disclose Confidential Information to any third party except to those employees, contractors, or advisors who have a need to know and who are bound by confidentiality obligations at least as protective as those set forth herein; and (c) use Confidential Information solely for the performance of its obligations under this Agreement. Confidential Information shall not include information that is or becomes publicly available through no breach of this Agreement, is rightfully obtained by the Receiving Party from a third party without restriction, is independently developed without reference to the Confidential Information, or is required to be disclosed by law, provided that the Receiving Party gives prompt written notice to the Disclosing Party and cooperates in seeking a protective order or other appropriate remedy.

The confidentiality obligations in this section shall continue for a period of years after termination or expiration of this Agreement, except with respect to trade secrets, which shall be protected for as long as they retain trade secret status under applicable law.

REPRESENTATIONS AND WARRANTIES

Each party represents and warrants that it has the full power and authority to enter into this Agreement and to perform its obligations hereunder, and that its execution and performance of this Agreement will not violate any agreement, law, or obligation applicable to it. Party A represents that it will perform services in a professional and workmanlike manner in accordance with generally accepted industry standards.

LIMITATION OF LIABILITY

Except for liability arising from gross negligence, willful misconduct, or breach of confidentiality obligations, neither party shall be liable to the other for incidental, consequential, special, punitive, or exemplary damages, regardless of theory of liability. The aggregate liability of either party for any claim arising out of or related to this Agreement shall not exceed the total fees paid or payable by Party B to Party A under this Agreement during the twelve (12) month period preceding the claim.

GOVERNING LAW AND DISPUTE RESOLUTION

This Agreement shall be governed by and construed in accordance with the laws of the State of without regard to principles of conflicts of law. The parties agree to attempt in good faith to resolve any dispute arising under this Agreement through negotiation between senior representatives. If the parties are unable to resolve the dispute within thirty (30) days, the dispute shall be resolved by binding arbitration administered in the chosen jurisdiction in accordance with the then-applicable rules of the selected arbitration forum, and judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction.

ENTIRE AGREEMENT

This Agreement, together with any exhibits or attachments executed by the parties, constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements, proposals, negotiations, and communications, whether oral or written. Any modification or amendment to this Agreement must be in writing and signed by authorized representatives of both parties.

NOTICES

All notices required or permitted under this Agreement shall be in writing and shall be delivered to the addresses set forth below by hand, nationally recognized overnight courier, or certified mail (return receipt requested), and shall be effective upon receipt.

Party A Contact/Address for Notices Party B Contact/Address for Notices

MISCELLANEOUS

If any provision of this Agreement is held to be invalid or unenforceable in whole or in part, the remaining provisions shall remain in full force and effect. The waiver of any breach of any provision of this Agreement shall not operate or be construed as a waiver of any subsequent breach. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument.

Party A:

By:

Date:

Party B:

By:

Date:

What the Business Stated Document Is and When it’s Used

A Business Stated Document is a formal written attestation used by a company to declare and verify core facts about the business, such as legal entity name, employer identification number (EIN), authorized signatory, address, and specific representations or warranties. Organizations use it for vendor onboarding, banking and payment set-up, regulatory filings, contract negotiations, and KYC/AML checks. The document provides a single, consistent source of truth that third parties rely on for eligibility, reporting, and due diligence and can be executed electronically or on paper depending on the recipient’s requirements.

Why a Clear, Signed Statement Matters for Business Operations

A signed Business Stated Document reduces onboarding friction, clarifies authority, and supports compliance with tax, banking, and regulatory requirements. It helps prevent disputes about who can act for the company and creates an auditable record that can be reproduced in electronic or paper form.

Who Commonly Prepares and Signs This Document

The form’s audience spans internal teams and external counterparties; tailoring to the recipient’s requirements improves acceptance and reduces follow-up requests.

Small business owners and founders who must certify company details for vendors or banks.
Finance and accounting teams supplying entity information for tax reporting or payments.
Legal and compliance officers who verify authority and attach supporting corporate documents.

Step-by-Step: How to Complete and Sign the Document

Follow these steps in order to minimize delays and ensure legal validity when delivering the Business Stated Document.

01

Assemble Records: Collect formation documents, EIN letter, and signing authority evidence.
02

Complete Fields: Enter entity name, EIN, address, and attestation text accurately.
03

Verify Signer: Confirm signer authority and match name to ID or corporate resolution.
04

Sign and Distribute: Execute with required authentication, then provide the recipient an executed copy.

Where to Send or File the Completed Document

Different recipients expect the Business Stated Document in different places; choose the channel that matches the recipient’s compliance needs.

Banking and Payments: Deliver to bank onboarding or treasury via secure portal or email per bank instructions.
Vendors and Clients: Attach to vendor onboarding systems or include with contract execution bundles.
Government Agencies: File with agency portals only when explicitly required by the regulating authority.
Internal Records: Store executed copy in corporate records and finance systems for audit readiness.

Configuring an Online Signing Workflow for This Document

Set up a clear workflow so signers receive the right fields and the organization captures required audit data.

Field	Configuration
Authentication Method	Email link, SMS code, or knowledge-based authentication
Signature Type	Click-to-sign or typed name with audit trail
Storage Location	Encrypted cloud storage with access controls
Retention Policy	Automated retention rules per corporate schedule

Technical Considerations for Electronic Completion

Ensure the chosen tool can produce a certificate of completion and export signed records in standard formats for long-term storage.

File Formats: PDF, Word DOCX, or HTML supported
Integrations: Salesforce, NetSuite, Microsoft 365, Google Workspace
Security: TLS encryption and AES-256 at rest

Common eSignature Vendors and Pricing at a Glance

Below is a concise vendor pricing and capability snapshot to help compare typical starting prices and basic features. Pricing reflects vendor published starting rates for annual billing where available.

	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, no credit card	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Bulk Send	Yes	Varies by plan	Yes	Yes	Varies by plan
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes (BAA available)	Varies by plan	Varies by plan	Varies by plan	Varies by plan

Essential Security and Compliance Data to Include

Encryption in Transit: TLS 1.2 / 1.3

Encryption at Rest: AES-256

Audit Trail: Timestamps, IP, and action history

Regulatory Standards: ESIGN, UETA compliance

Health Data: HIPAA (BAA required)

Certifications: SOC 2 Type II, ISO 27001

Common Preparation Errors and How They Cause Delays

Providing an informal or trade name instead of the registered legal entity name leads to bank verification failures and onboarding delays.
Missing or incorrect EIN/TIN entries can trigger backup withholding and require corrected forms to restore normal payments.
Submitting unsigned or improperly executed statements often forces manual follow-up and re-execution with notarization or additional evidence.
Using vague attestations without reference to supporting documents increases legal risk and can render the statement non-actionable for third parties.

Primary Risks and Potential Penalties for Incorrect Statements

Tax Penalties: $60–$330+ per form (IRC §6721)

Backup Withholding: 24% withholding for incorrect TINs

Contract Invalidity: Authority defects may void actions

Notarization Defect: Improper notarization can delay record acceptance

Data Breach Liability: Exposure if PHI improperly handled

Regulatory Fines: Industry fines for noncompliance

Core Sections to Include in a Professional Business Stated Document

A complete document balances clarity, evidentiary value, and legal formality; include the sections below to make the statement reliable and actionable.

Document Header

Identify the document title, business name, and purpose clearly. Include a unique document identifier and an effective date to tie the attestation to a single transaction or period.

Parties

List the asserting entity and any recipient parties. Provide full legal names, entity types, addresses, and contact details so the recipient can verify records quickly.

Attestation Text

State factual assertions in numbered clauses. Use concise language and limit each clause to a single, verifiable fact to reduce ambiguity during review.

Supporting Exhibits

Attach formation documents, EIN issuance letter, corporate resolution, or power of attorney as exhibits referenced by exhibit letter or number for stronger evidentiary support.

Signature Block

Provide signer name, title, printed name, date, and a space for an electronic or handwritten signature; indicate whether initials are required on each page.

Notary / Verification

Include a notary acknowledgement or an e-notary block if the recipient requires notarization or if the document will be used for legal filings.

Timing Considerations That Often Apply

Some recipient processes and tax reporting cycles impose de facto deadlines; coordinating with payer or recipient reduces the risk of missed reporting windows.

Provide Upon Request:

W-9 style requests: respond promptly; W-9s have no fixed statutory deadline

Tax-Reporting Window:

Update records before Jan 31 for 1099-NEC and W-2 recipient reporting

Onboarding:

Allow 7–14 business days for bank or vendor verifications

Notarization Lead Time:

Plan for scheduling if in-person or RON is required

Record Retention Start:

Retention periods generally begin on the effective or filing date

Frequently Asked Questions About Business Stated Documents

Answers below cover common legal and practical questions about validity, notarization, electronic signing, and corrective steps.

Need help? Contact support

Can the document be signed electronically?
Yes. Electronic signatures are legally valid in the United States under the ESIGN Act (15 U.S.C. §7001) and in UETA-adopting states, provided you meet the four-part e-signature validity test: intent, consent, attribution, and record retention.
When is notarization required?
Notarization is required when a recipient or filing authority mandates it or when state law requires a notarized acknowledgment for deeds, certain affidavits, or similar instruments; check the recipient’s instructions and state notary rules.
What makes a signature legally binding?
A signature is binding when the signer intends to sign, consents to an electronic record where required (15 U.S.C. §7001(c)), attribution can be proven, and the record is retained in a reproducible form.
How do I correct a submitted statement?
Prepare a corrected statement showing the revision date and reason, obtain required signatures, and distribute the corrected copy with a clear reference to the original to recipients and internal records.
Who may sign for the company?
A person with express authority under corporate bylaws, a board resolution, or a power of attorney should sign; for third-party acceptance, provide evidence of that authority with the statement.
How can I revoke or cancel the document?
Issue a signed revocation or superseding statement, date it, and send it to all prior recipients; some recipients may require notarization or additional proof depending on the document’s use.

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