SMBs Trust Their Contracts—But It’s Not Enough
Our survey uncovered a clear disconnect:
- 74% of small business owners feel confident their contracts will protect them.
- Yet 69% still worry about financial risks during negotiations.
In other words, confidence in the contract doesn’t always mean confidence in the outcome.
Unfortunately, that fear is well-founded. 43% of SMBs say a customer or contractor failed to pay them in the past year. What’s missing isn’t just stronger contracts—it’s support through negotiation, enforcement, and everything in between.
SMBs Manage Contracts at Every Stage—Often Alone
But the risk of not getting paid isn’t the only point of stress: the volume of contracts and contract related tasks they are juggling is also a heavy burden on an already busy small business owner.
Today’s small business owners aren’t just signing contracts—they manage them from start to finish. They’re doing everything from drafting, reviewing and negotiating, to managing and even enforcing their contracts.
- Nearly 40% handle more than 10 new contracts a year.
- 75% are directly involved in creating their own agreements.
- 31% act as their own collections department when payments fall through.
This level of involvement shows that templates aren’t enough. SMBs need tools that help them manage legal risk and stay in control—at every step.
SMBs Want AI Legal Tools—But Only If They’re Actually Useful
Small business owners are open to AI—but not because it’s trendy. They’re turning to it because the old way isn’t working.
- 80% of SMBs say they’re ready to use AI-powered legal tools.
- That jumps to 85% among those who’ve experienced non-payment.
- And 85% of those concerned about financial risk say they want AI support.
But readiness doesn’t mean they’ll settle for bells and whistles. When we asked what they actually want, business owners were clear: they need tools that work—not just flashy features.
Here’s what they’re asking for:
- Spot risks during negotiation.
- Get quick answers to legal questions.
- Know what to do when there’s a dispute or missed payment.
These aren’t just good AI features—they’re good features, period. Whether powered by AI or elbow grease, SMBs want tools that help them tackle their most common pain points. The right platform, grounded in real legal expertise, can turn contracts from passive files into active protection—bridging the gap between confidence and control.
From Contracts to Confidence: What SMBs Actually Need
While managing contracts isn’t always fun, staying ahead of them is essential for the success of small business owners. Our survey shows that SMBs aren’t just looking for one-off legal documents—they want connected tools that reduce risk, save time, and boost confidence.
That’s why we’re building a suite of solutions to help small business owners handle it all, including:
- Document tools that go beyond templates: Create, customize, e-sign, and store important contracts in one place—backed by legal professionals and built to protect from day one.
- Smart, AI-powered self-service tools: From naming your business and designing a logo to reviewing contracts and getting instant legal Q&A, these tools help SMBs move fast and make smarter decisions.
- Business filings and compliance: Easily form an LLC, file annual reports, manage DBAs, and stay compliant with help from tools that simplify every step—including registered agent services.
- Legal support when it matters: Get legal help on-demand, including document reviews, and even legal consultations—and even retain a dedicated Legal Pro when needed.
With the right tools and support, staying compliant and protected doesn’t have to be stressful. It can be simpler, smarter, and built for real-world business.
This article contains general legal information and does not contain legal advice. Rocket Lawyer is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.
