Electronic Signature Guide: Is It Legal and How Do You Use One?

Printing a contract, signing it, scanning it and emailing it back is slow, and half the time the scan comes back crooked. An electronic signature does the same job in a minute. The usual worry is whether it would stand up if there were ever a dispute.

For most everyday business agreements, it does, as long as you use it properly. This guide explains when e-signatures are valid, the different types, and the evidence that makes one hold up.

What counts as an electronic signature#

An electronic signature is any electronic mark or action that shows a person agrees to a document. That includes a typed name, a signature drawn with a finger or mouse, an uploaded image of a handwritten signature, or clicking "I agree" in a signing flow.

What matters legally isn't what the signature looks like. It's whether you can show who signed, that they intended to sign, and that the document hasn't changed since.

Is an electronic signature legal?#

In most of the world, yes. Many countries have laws that give electronic signatures the same effect as handwritten ones for most contracts:

• United States: the ESIGN Act (2000) and state laws based on the Uniform Electronic Transactions Act.
• European Union: the eIDAS regulation, which defines simple, advanced and qualified electronic signatures.
• Rwanda: a 2010 law on electronic messages, electronic signatures and electronic transactions recognises e-signatures.

There are exceptions. Wills, some property transfers, court documents and certain government forms may still need a handwritten or specially certified signature. When a document is high-stakes or unusual, check with a lawyer first.

Simple, advanced and qualified signatures#

For a small business, a simple signature with a good audit trail covers the vast majority of agreements with clients and suppliers.

What makes an e-signature hold up#

If a client later says "I never signed that", you want evidence. A solid signing process records:

1. Identity: the signer's name and the email or phone the signing link was sent to.
2. Intent: a clear action, such as ticking "I agree to the terms" and pressing Sign.
3. Time and place: the date, time and IP address of the signature.
4. Integrity: a copy of the exact document as it was when signed.

Tekservix contracts do this. When a client signs through their private link, the contract stores the signature (drawn, typed or uploaded), the signer's name, the time and the IP address. The final PDF shows the signature in the signature block.

How to sign a contract online, step by step#

1. Prepare the contract in the Business Suite: parties, scope, price, dates and terms.
2. Send the private link by email or WhatsApp. The client reads it in any browser, with no account needed.
3. The client signs by drawing, typing their name in a handwriting font, or uploading an image. The background of an uploaded signature is removed automatically.
4. Both sides keep the signed PDF. You'll see the signature, time and status in your dashboard.

Signing a PDF someone sent you#

When a supplier or landlord sends you a PDF to sign, you don't need to print it. Open it in the Sign PDF tool, add your signature, the date and your initials where needed, and download the signed file. It runs in your browser, so the document isn't uploaded to our servers.

Which documents to move to e-signature first#

Start where paper slows you down most. For most small businesses that's:

• Quotes and proposals: the client accepts online and you can start work the same day.
• Service agreements and contracts: no more chasing a scanned copy.
• NDAs: short documents that often hold up a first meeting.
• Staff and supplier forms: onboarding checklists, policy acknowledgements, delivery confirmations.

Leave the rare, high-stakes documents, such as property deeds or anything a court or government office must receive in a specific form, on paper until you've confirmed the rules. You'll still cover most of your signing with electronic signatures and save hours every month.

Working with clients in other countries#

Cross-border contracts are where e-signatures shine, since nobody needs to post originals. Agree in the contract which country's law applies, and send the signing link to a business email address you've corresponded with before. That link between the signer and a known address is strong evidence of identity if questions come up later.

Common mistakes#

• Pasting a signature image into Word and emailing it. There's no record of who did it or when.
• Signing a draft. Make sure the version sent for signature is final. Changes afterwards need a new signature.
• No copy for the signer. Always send the signed document to every party.
• Forgetting the audit trail when you move files between systems. Keep the signing record with the contract.

Next, see our guides to a freelance contract and a non-disclosure agreement, two of the documents small businesses sign most often. Our tips on a transparent signature image help your signature look clean on any document.

Signed agreements are usually where billing starts. Our guides on how to write an invoice and invoice vs receipt cover the paperwork that comes next.