Electronic signature

09
Dec
2019
Benefits of E-Signatures for HR Department

Benefits of E-Signatures for HR Department

E-signature is already on a roll. Many renowned enterprises have already adopted this. Among all, the benefits of e-signatures for the HR department are indeed most of all. Electronic signature software provides a higher level of convenience in comparison to the old school method of signing the documents. It is more hectic for the HR department to deal with the paper documents as they have to deal with a variety of those.

For example, starting from contracts, bank documents, to various agreements, they have to deal with all. There is no need to handle any such hassles through e-signature. At the same time, making things simpler, it assures them from safety-related concerns as well. E-signature is a much effective mode of operating, which enables HR professionals to handle things in the least possible time. Naturally, the productivity level can be increased.      

Use of electronic signatures for contracts has been widely accepted. Here’re the 10 ways electronic signatures are changing how contracts are signed.

Almost every industry is digitized in the modern era. In fact, even the production and manufacturing units are digitally enriched. On such occasions, HR departments are obviously expected to make the most of the e-signature software.

The following abstracts discuss the benefits of the e-signatures for HR department in a broader way   

Hastens the process of recruitment and other formalities

The primary work of the HR department is indeed to handle recruitment affairs. And, one of the primary benefits of e-signature for the HR department is that it makes those tasks look easier. Needless is to say that the HR work processes involve various kinds of formalities. Starting from document checking to signing on different documents, it involves various steps. E-signature software can turn these tasks into minuscule affairs. Naturally, much precious time in the department can be saved. Documentation and the formalities often delay the joining process of new talents for the organizations. It also delays the hiring process. Such delays affect productivity greatly. One of the major benefits of e-signatures for the HR department is to end such delays to a great extent.

Reduces extraneous tasks:

HR departments often involve a range of unwanted works like printing, scanning, Xerox, etc. All these things involve various machinery installations. There remain issues of maintenance of these devices, their performance lagging, etc. All these things ultimately delay the process and affect productivity. On the other hand, one of the prominent benefits of e-signature for the HR department is that there are no such hassles here. It’s a smart way that can be addressed in the least possible time. Making things faster, the technology turns it much cost-effective as well.

It encourages automation

E-signature for the HR department enhances the process through incredible automation. Specifically, the hectic administrative tasks can be greatly enhanced through such technicalities. In fact, the entire paperwork needs can be digitized for them. The whole talent acquisition process can be streamlined through such technical mode. Moreover, it is quite simple as a process that can be easily handled by even the older generation people.

Must Read: 10 Reasons Why You Should Adopt Electronic Signature for Your Business

Makes things easy for the younger generation to adapt to 

HR departments often pay a lot of emphasis on hiring young manpower. Technologies like e-signature can indeed be impressive for them. Not just the staff from other departments, the budding talents from the HR departments also would prefer having such tools. It provides them the ease of functioning. Considering the fact that most of the modern-day youth is tech-oriented, such technicalities always interest them. They don’t need much special training to learn the working ways of the HR department. This is indeed one of the prominent benefits of e-signature for the HR department. They would love handling problems through such high-end technicalities; rather than the old-schooled paper works.     

Reporting turns easier like never before

One of the major challenges that the HR departments face is regarding reporting. They have to submit reports of different kinds to the managers or other department heads. Specifically, the reporting of documentation status is one of the most challenging affairs for them. It is understandably tough for them to produce such documents in real-time. However, the benefit of e-signature for the HR department is that it makes such a report generation process look simpler. Through regular ways, various kinds of confusions are obvious to appear. For example, the HR professionals remain in dilemma whether the candidate received the file, checked it, etc. In addition, they have to check whether the candidate has signed at each of the points. In case some mistake occurs, the process turns even longer. However, through the benefits of e-signature for the HR department, such issues can be totally reduced.

It’s updated and always available for urgencies:

HR departments often have to deal with the urgencies. They are asked to submit a report in a hurry and also fulfill certain formalities. All these are indeed time-consuming processes in traditional ways. However, through technical options like e-signature software, things have gone much simpler. The prime benefit of e-signature for the HR department is that it enables the department to stay updated about the entire affair. No more probable answers by the HR professionals as these tools deliver an exact answer.   

There are a number of myths about the e-signature. Here’re top 10 electronic signature myths and facts behind them.

Provides flexibility of working; no place constraint

One of the top benefits of e-signatures for the HR Department is in terms of the flexibility it provides. Specifically, it is much more helpful for HR managers than others. It enables them to work from home, or anywhere else in the world they would wish to. Officials who often have to travel a lot and still have to report can find these technicalities absolutely useful. It also provides them the leeway of working as per their comfort zone. This means they can maintain the workflow despite relaxing somewhere. Naturally, this boosts the overall productivity of the organization. In fact, they can communicate with the employees of the organization from any point.

Cost-effective in many ways

Being cost-effective is of the top benefits of e-signatures for the HR department. Though it appears like an expensive aspect, it saves the budget for the department in reality. First of all, the expenses associated with affairs like printing, scanning, Xerox, etc. get reduced. In addition, the expenses involving stamping, inks, paper, etc. get reduced significantly. Digital documentation needs no special management, as well. There is also no need to spend money on courier related affairs. As there is no requirement for Xerox, printer, etc. devices, the space required can be greatly reduced. Overall, the expenses related to administration tasks get nominal as possible. One doesn’t even need to worry about maintaining the documents. Through e-signature software, any document can be generated from any point anywhere. All these aspects save money for the organization.  

Maintains utmost transparency

Through the benefits of e-signature adoption in the company, the recruitment process can be greatly hastened. Moreover, it maintains incredible clarity overall. It allows the concerned employee to go through the documents thoroughly. The points of confusion can be thus cleared instantly. Moreover, they can sign those digitally immediately. Earlier through traditional ways, it was quite tough for an employee to go through a range of documents, agreements, etc. E-signature software enables them to enjoy this facility from any point. It thus assures the concerned company from legal perspectives as well. The candidate also feels confident regarding transparency. All in all, a better deal is settled between both the parties.   

Use of electronic signature can bring several benefits to you. If you have any doubt regarding the use of electronic signature, read out these 10 reasons to adopt e-signature for your business.

Maintains simplicity

One of the major benefits of e-signature adoption in the company is the simplicity it provides for the concerned company. Needless is to say that there remains a great range of documents that the employees have to go through. It’s the duty of the HR department to prepare these documents and maintain them as well. Handling things manually is always challenging for any HR professionals. However, high-end e-signature tools have made things look absolutely simpler. These benefits of e-signature adoption in the company maintain a good relationship between the employees and the department. Most importantly, it doesn’t disturb any of the parties. No workflow is disturbed as well through the course. Obviously, this is something that every company would wish for.

Smarter safety awareness: 

Keeping employees aware of the security norms of an organization is the duty of the HR department. In general, these safety guidelines involve a huge number of documents. The concerned employees have to go through various complicated terms and conditions. However, through the uses of e-signature for the HR department, these issues look much simpler than ever. The best part about these tools is that it maintains things in an updated fashion. In fact, the staffs get the details regarding the security norms in a spontaneous way. This reduces pressure from the HR department.    

Smarter environmental awareness

Not just the safety-related norms, the HR depart has to guide employees regarding environmental policies as well. Now through the uses of e-signature for the HR department, these works look much more strategic and simpler. At the same time, lesser paper consumption also is a great step towards environmental benefits. It saves time for the HR department that would have wasted in educating. This enables them to focus on other works, which ultimately improves functionality and productivity.

So, using electronic signature for HR department is a great idea. Don’t think much and take the right decision and incorporate electronic signature to experience the great benefits of electronic signature. for HR department.

If you still have any questions, put your doubts in the comment section below and I’ll be happy to answer.

Posted by Brian Felix, 0 comments
10
Oct
2019
10 Ways Electronic Signatures are Changing How Contracts are Signed

10 Ways Electronic Signatures are Changing How Contracts are Signed

With greater availability of the internet, it has been possible to access data quickly. It makes communication happen in an unbelievably fast way. Similar is the case of business as well. Buying or selling things is a matter of a few clicks over the web now. Taking things to the next level, the concept of electronic signatures for contracts has surfaced. 

There are a number of questions regarding electronic contracts such as – What is the working model of electronic contracts? When are these used? One can clear all the critical doubts on these aspects upon going through the Uniform Computer Information Act. Anyway, the following abstracts provide a detailed study of electronic contracts, electronic signatures for contracts, etc.  

The use of electronic signature brings so many benefits to your business. Here are the top reasons to adopt an electronic signature for your business.

What are Electronic Contracts?

At the very fundamental level, electronic contract signing is an electronic form of legal documents. These legal documents, however, are developed and signed over the web or online. Many companies operate entirely digitally or online. These companies often have to depend upon electronic contracts to make agreements with users or others. 

The advantage is that it saves money for both. Just as of the mainstream contracts, electronic contracts are legally authentic. These are entirely enforceable as well. However, in contrast to the usual contracts, electronic contracts are completely web-based. One can use it in various cases, starting from using email programs, authorization for software, etc. 

Electronic contracts have also used these days for social media signing-up and facilitating streaming services. Irrespective of the associated permissions, e-signatures for contracts operate very much under the regulations of regular laws for contracts. It also provides equivalent agreements to both business groups and consumers.

How are the Contracts Signed Electronically? 

In contrast to the usual paper-based contracts, one needs to sign electronic contracts over the web.  Instead of a paper-pen signature, these contracts use electronic forms of signatures. There is no use of ink or any paper, and so these are the electronic signature or simply e-signature. The process of creating and signing electronic contracts is extremely simple. It is a matter of simply putting a click on a button as well. 

On some occasions, one has to simply ‘agree’ regarding the authorization of a product or application. It is just about clicking the ‘agree’ button to pay the bill as well. The contract prepares immediately as the concerned user clicks the desired button. There are also the e-sign contracts models available where the user’s name has to be typed on the electronic contract. 

One can also complete the tasks by making use of the cryptographic signatures. One may take ‘Public key infrastructure’ as a nice example of a cryptographic signature. It is here to note that Public Key Infrastructure works the same way as of PINs used for ATMs.        

Among others, XML based signature is also very much used these days. The best part about the XML based signature is the greater safety it assures. It makes use of digital thumbprints to ensure the safety of a greater level.

There are a number of benefits of replacing a paper-ink signature with an electronic signature. Check out the top 10 uses of electronic signatures!

Legal Concerns of Electronic Signatures for Contracts

Electronic signatures for contracts are legal in most cases. If it falls under the UETA and ESIGN Act, then there is no problem in its acceptance. These laws pay equal worth to the electronic signature to those of the paper-based traditional methods. 

When a person goes for electronic signatures for contracts, it holds equivalent worth as of the paper-based methods. However, it is also true that UETA can’t be applied on all occasions. The traditional laws and acts are very much essential in such cases. Specifically, in cases where a copy of the contract may put a harmful effect on the consumer, people prefer traditional methods. 

There are various nations and states where UETA is very much applicable. It is thus important to make sure that the rule is applicable in the concerned state you belong to. Additionally, to execute electronic signatures for contracts, both parties should agree upon. Be it about Business-customer, or business-business contracts, acceptance of both the parties is quite essential for a final agreement.   

Also Check: An Overview of eIDAS Regulation

When are Electronic Contracts Not Permitted?

There are various occasions when electronic signatures for contracts are not acceptable. It is important to know about such instances. There are instances where an online contract is unacceptable or inapplicable. In all those occasions which hold threats towards the user, such contracts can’t be accepted. For example, the cases of divorce, child adoption, and other sensitive affairs can’t be kept under electronic contracts.

Similarly, the documents of courts are not acceptable in electronic form. Also, the notices served regarding the end of crucial services can’t be done through electronic contracts. Notices served to defaulters are not acceptable in electronic form. Notices meant for evicting a specific property are also impossible through electronic modes. 

Apart from these, the notices served regarding the termination of utility services also demand proper paper-based notices. Ultimately, anything in the form of a notice that could affect the safety of people or may bring health concerns should be done traditionally. In most cases, the documents required by legal procedures are also desired to be paper-based.         

There is no other way than paper contracts at present when it comes to family laws. A whole range of wills made is essential to be made through papers in modern times. When it comes to sending notices for termination of any utility, there is no other way than paper contracts. 

Notices delivered regarding eviction or possessions are also essential to be handled through paper-based ways. Terminating the health or life insurance is also preferable through paper-based methods. 

As explained above, it is better to ensure whether the UETA and ESIGN Act comes under your state. In accordance, one can take the decisions on electronic signatures in contracts.

Information Technology Act, 2000 is the law that makes e-signatures valid in India. Let’s get a detailed overview of this Indian e-signature law.

How are Electronic Signatures Changing How Contracts are Signed?

It’s the simplicity that makes electronic signatures for contracts so much useful. The overall swiftness to the procedure is quite impressive for all. Many people are showing their interest in it in modern times. However, it is true at the same time that the law of electronic contract gives scope to use paper documents on certain occasions. Prior to a consumer goes for signing an electronic contract; businesses should serve notice about the availability of paper contracts. 

They should also make it clear regarding the penalties applied in case any mistake occurs. They should recommend a date in this regard. It is certainly not legal to force any company for paper-based contracts. In fact, in the digital era, the electronic signatures for contracts seem useful. On such occasions, having people prefer the paper-based option only for security purposes.    

Undoubtedly, e-signatures for signing contracts are user-friendly. However, it is also true that it needs trustworthy internet connectivity. It means people who can’t have regular internet connectivity may not find it as an appropriate option. Apart from this, there remains some extent of security issues as well. Though, from a price point of view, the electronic format can be a much suitable option. 

Let’s find out how the electronic signatures are changing the ways how contracts are signed.

  • Making things quick

One should not doubt the ability of technology in any way. Just like any other business functionality, it holds the ability to hastening these contract making processes as well. Electronic signatures for contracts facilitate immediate communication and data share. Moreover, it does all these in real-time. This makes it possible for them to connect with partners all around the globe. When the efficiency of finishing formalities grows, naturally, the overall productivity grows. Pending collaborations for such implications are addressed quite smoothly.

All in all, the entire set of works is accomplished in much lesser time than expected. There was a time when the process of contract making used to continue for weeks and even months-long period. It looks quite obvious as the process of distributing documents through different stages would consume a lot of time. Through electronic signatures for contracts, things can be done in a much quicker time. It means less is the obligation associated; quicker can be the process.   

  • Convenience

Electronic signatures for a contract are indeed the most convenient option available. Being convenient is the reason behind the growing productivity level of the companies adopting the same. Through cloud computing, it is becoming possible for people to have access to works from anywhere, at any point. 

When it comes to making contracts, you can edit and review data at any time. The best part is, you can do all this through your smartphone itself. This means one can complete the formalities until the concerned authority finally acknowledges things. Ultimately, there remains no chance for any kind of delays in it.    

  • Safety

One of the primary concerns of using electronic signatures for contracts is it is safe. It’s the safety aspect that makes people get worried while using electronic signatures. People worry speculating whether the documents will be in safe hands within the virtual space. With growing reports of cyber attacks, several people are enquiring about these aspects. In an era of technology, driven by data, safety can be a game-changing factor. Little alternation or modification of the document can change the entire scenario.

Moreover, not a single person is responsible for such unfavorable occasions. In the digital era, there is nothing called inaccessible. Hence, it is important to follow electronic procedures thoroughly to keep track of everything.

Digital Signatures and Electronic Signatures are two similar looking terms but are different from each other. Check out the difference between the two i.e. Digital Signature vs Electronic Signature

  • Future

It’s not just a trend these days to handle everything electronically. The day is imminent; there will be no other option, but to deliver most of the affairs electronically. Modern-day people are easily adopting technological means. Rather, they find the other means of paperwork more complex. 

It’s common that a much lesser number of people have time to move from one office to the other for the sake of formalities.  On the other hand, electronic means or smartphones can be smoothly handled by the users. The generation that prefers paper-based modes will also start using electronic signatures in a very shorter period.     

  • Reliable

Cryptography comes with a safer way of collecting data from one end. Among various others, Public Key Infrastructure can be fantastic standards in this regard. Talking about PKI, it encrypts the electronic contracts and other documents to ensure that these can only be viewed. Things can also be encrypted in a way to ensure that it remains available to the concerned authorized users. 

  • For Small Businesses

Technology is constantly varying and the regulations are getting attuned as per it. Sometimes it may complicate, but not on most of the occasions. Most importantly, small businesses are also adopting it. They should contact local attorneys.

There are a number of reasons to adopt electronic signature. Here are the top 10 reasons why you should adopt Electronic Signature for Your business.

Conclusion

The number of companies opting to handle their affairs through virtual modes is growing day by day. It helps them in handling bulk works with less manpower involvement. The cost factor also makes things suitable for them. The best recommendation would be to only keep the last stage of the work in paper form. 

Electronic contracts help to shorten the lengthy processes that consume too many papers. With the advent of cloud-based contract management solution, the future is looking quite bright for electronic signatures. Not to mention, it is a simpler, secure, and much cost-effective option. 

Making the task simpler, it can be divided into a couple of stages. The first segment would be to save the contracts, and the next stage is the signature phase. These two phases constitute the overall lifecycle of electronic signature. Both these phases will get simpler in the upcoming days. Ultimately, it would be a better idea for the older generation business groups to accustom to the modes of electronic signature for contracts. 

Posted by Brian Felix, 0 comments
16
Sep
2019
The Ultimate Guide to E-Signature Security Checklist and Rules

The Ultimate Guide to E-Signature Security Checklist and Rules

Every modern business associates with one or the other form of electronic signature in its operations. The basic example of an electronic signature is an application asking for a PIN number or OTP for accessing specific services. With the increasing adoption of electronic signatures, e-signature security has become a highly important concern for every business in the present times. 

The transaction of sensitive information using e-signatures can pose substantial threats.  A number of experts have said that strengthening your security helps in avoiding unwanted expenses related to security issues. Therefore, every organization should follow the best practices to ensure a secure electronic signature. 

Also Read: Common Threats to the E-Signed Documents

List of E-signature Security Rules

In order to avoid the e-signature security issues, it is important to understand the e-signature security checklists and rules properly. So, the following discussion would take a look at some of the important e-signature security rules. In addition, the discussion would also focus on a security checklist for electronic signatures. So, without any further delay, let’s get ahead.

Rule #1

The first rule for secure electronic signature is to comply with eIDAS, UETA and ESIGN definitions of electronic signature. If these precedents are not applicable, then the e-signature should comply with other national/local regulations. For example, you have the Information Technology Act in India. When you select an e-signature solution in the US, make sure that it complies with the requirements of UETA, ESIGN, and GPEA.

On the contrary, these precedents do not clearly demarcate legally defensible from legally admissible. Various e-signature solutions are admissible in court albeit failing to withstand comprehensive legal scrutiny. The promises of E-signature security tend to fade away in this aspect. An interesting fact, in this case, would be the fact that ESIGN and UETA came into existence in 2000 and 1999, respectively. Therefore, the laws made for electronic signature security primarily defined that electronic signatures cannot be denied legal admissibility. 

However, in the present times, every organization uses ESIGN as a starting point for different e-signature requirements. Therefore, it is very important to measure the eligibility of e-signatures for additional requirements that make it legally defensible. Most important of all, you should ensure that high-risk transactions do not use e-signature technologies for low-risk transactions. 

Rule #2

The second e-signature security rule refers to the use of the same e-signature technology for all signatures on a document. If this condition is not fulfilled, then successive signatures should not destroy the evidence about previous signatures. On the other hand, if a document needs signatures from multiple signatories, then the same signature technology should be used. As a result, the intent, information, and integrity of the signature tend to remain unharmed. This is one of the most important precedents for e-signature security. 

Various e-signature technologies have unique processes for document preparation. The processes prepare the document for signing and also lock them in integrity. Passing a document through different e-signature technologies can result in loss of supporting legal evidence. The legal evidence is an embedded component in the document when the system prepares the document for the second signature. The best recommendation for secure e-signature is to adopt single e-signature technology for documents requiring multiple signatures. If that is not possible, then you should develop policies that prevent e-signature technologies from overwriting signatures.

The use of electronic signature brings so many benefits to your business. Here are the top reasons to adopt an electronic signature for your business.

Rule #3

The third rule in e-signature security implies capturing the intent to sign at each instance of the signature. A person having the intent to sign an electronic record should adopt an electronic form of signature. The intent specifies the approval for information in a document by the concerned individual. The intent capture should be done for each signature as well as at the time of each signature. The intent should form a part of granular evidence within the audit trail of the e-signature. 

The intent to sign is a formidable legal element and evidence for electronic signature security. Therefore, the intent to sign should be captured and recorded with attention to two distinct aspects. The first aspect implies the features in the e-signature solution for capturing signatory’s intent at document review and signature. Another important factor is the storage of intent as granular evidence in the audit trail. The best practice implies a representation of intent in clear language and actions explaining the process of signing to the signatory. 

In addition, the intent should also represent the desire to sign for the signing process. Representation of the intent to sign should also be included as granular evidence in the audit trail of the e-signature. Failing to produce the evidence can render the e-signature invalid. 

Rule #4

Now, we move towards our next rule for e-signature security by taking a hint from the previous rule discussed above. Every signed document should have an audit trail that includes the intent to sign for each signature. In addition, the audit trail should include consistent, timestamped, and granular evidence as we might have learned till now. Every e-signature should track and record all the steps in the signature process so that users could track a document. Users could observe different states of a document in a particular transaction through the audit trail.

Furthermore, the audit trail also helps in presenting a strong claim in court. Therefore, it is essential to have a highly granular audit trail with information on each step regardless of its importance. The details can help you make sure that your document holds up in the court. An audit trail is essentially important for reducing the risk for highly regulated organizations where documents are maintained for long.

Rule #5

The fifth rule of e-signature security refers to attaching an electronic signature to the electronic record being signed. Also, every signature should follow the established standards. The independent verification of the signature should not depend on the electronic signature service or website for validation. Another important concern related to e-signature is that association and integrity are not related together. Therefore, secure e-signature solutions should always ensure integrity as well as association. A reliable e-signature solution should prove the integrity of an e-signature alongside proving the association of the signature with a document. Proprietary means are ideal for achieving association that follows international standards for electronic signatures. 

Therefore, the best practice for e-signature security concerning this rule refers to legal consultation on certain aspects. The aspects include the format of the documents, proprietary nature of documents, human-readability of signatures, accessibility using free viewing software, etc. Also, it is important to verify that e-signature is an integral part of a document. The signature should also link with the document actively. Furthermore, you should also verify the association of each signature with international cryptographic and document standards. 

Also Read: Top 10 Uses of Electronic Signatures

Rule #6

The sixth rule for security in electronic signature refers to multi-factor authentication. However, you can limit to two-factor authentications in this case. The two-factor authentication would involve an email password or an OTP and a mobile device for accessing the password. According to the level of risk, some forms and documents may need higher levels of authentication. 

The risk determines the type of authentication required for verifying the signer’s identity. Therefore, the best practice implies to set up a strong precedent for authentication. As a result, any fluctuations are avoided easily. Two-factor authentication is the most recommended form of verifying signatory’s identity. Without a basic level of authentication, an organization faces the chances of improving risks and issues with evidence. 

Rule #7

The final rule for e-signature security refers to an instrument for preserving the integrity of a signed record. The signed record should be portable, tamper-evident, granular and independently verifiable. In addition, the record should also qualify for verification in the long-term. Therefore, integrity is highly crucial in order to prevent any tampering with electronic documents. Organizations should define the application of integrity to an electronic document. A standards-based e-signature is ideal in such cases. The governance of e-signatures depends on international standards. 

In addition, they also form the basis for secure web transactions (SSL). One of the important factors to keep in mind is to avoid vendor lock-in. Vendor lock-in involves the vendor possessing evidence about your document. The implications of lock-in are numerous and can include possible costs, risks of the vendor going out of business. In addition, you also have the risk of the vendor changing their methods after a few years. You should not compromise with these factors when it comes to high-risk transactions.

Furthermore, you could be at risk if the vendor does not have specific standards or they just provide password protection. Therefore, you have to focus on four core issues for ensuring the verification and integrity of signatures. The first aspect refers to portability or independent verification. The other aspects include tamper-evidence, long-term verification, and granularity. 

People have a number of doubts about e-signatures that are spreading as myths. Let’s know these e-signature myths and facts behind them.

Checklist for Security in E-signature Solutions

Now, the most important concern in this discussion refers to the e-signature security checklist. The security checklist can act as a tool for verifying all the precedents of security for e-signature. You should always have the security checklist handy for determining the reliability of an e-signature solution. It also ensures that the integrity of the e-signature is always intact. So, let’s have a look at the e-signature security checklist.

  • User Authentication

The first aspect that is included in the checklist for e-signature security refers to user authentication. In this aspect, you should ensure the authentication of users before e-signing and integrate the authentication with the e-signature and record. The different factors that you should focus in this aspect refer to a solution for supporting multiple authentication methods. 

In addition, the solution should have capabilities for configuring different authentication methods in the same transaction. The solution shall provide flexibility for adapting authentication methods to the risk profile of an organization alongside automation of each process. The solution should also give flexible alternatives for attributing in-person signatures such as SMS password and affidavits. 

  • Audit Trail of the Signature

The next important factor in the e-signature security checklist is the audit trail. The audit trail provides additional security for an e-signature. E-signed documents that can have independent verification and archive have an additional layer of security. Vendor independence is possible only if the solutions can embed e-signatures, audit trail, and timestamp directly in the e-signed document. 

Therefore, you need to have a self-contained, portable record that can act as evidence. In this case, you need to look out specifically for two factors. The first factor implies the abilities for independent verification of document authenticity. The second factor refers to the capability for indexing, storing and retrieving the e-signed document in the preferred system of record. 

  • Securing the Document as well as a Signature

The aspect of document and signature security should also be one of the important agendas for e-signature security. The e-signature solution should ensure security at the signature level as well as the document level. The important aspects that you should look out for are highly important for safeguarding sensitive information. You should verify that each document and signature have security for e-signature.

Furthermore, you should have a comprehensive audit trail showing the date and time of each signature. The audit trail should also provide secure embedding in the document and proper link with each signature. You should also check for the facility of one-click signature and document verification. The ability for verification of signed record validity offline is also crucial in this aspect. Another important factor is that the document should remain accessible to all parties in the transaction. Most important of all, the solution should have the feature to download a verifiable copy of the signed record and audit trail. 

It is important to look into the security factors while choosing an electronic signature solution for your business. Here are the top points you should consider while choosing an e-signature vendor.

  • Audit Trail of the Signing Process and Compliance Programs

You should also note the audit trail of the signing process for checking the security of e-signatures. It makes sure that the audit trail contains the IP address, date, and timestamp of all events and others. The other factors include the length of time for reviewing each document and all the web pages, disclosures, and documents presented. In addition, the audit trail should also represent intent and other actions taken during the transaction. Finally, you should ensure that the e-signature vendor has appropriate compliance programs in place to deal with data breaches.  The recommended compliance program is SOC2 while the other two are SSAE 16/SOC 1 and ISO 27001.

Bottom Line

In this discussion, we were able to learn the importance of rules for e-signature security. The most important part of the discussion was dealing with the rules only. The most crucial rule for the security of e-signature among all the e-signature rules primarily refers to the integrity and association. You should always ensure the facility of an audit trail to track the e-signing process.

Furthermore, the discussion also showed the importance of focusing on security for the e-signature as well as the document signed. Finally, the discussion moved towards a checklist after explaining the seven rules. The checklist helps in understanding the various factors that you should tick-off to get the best e-signature software. 

Always remember that security is always the best policy so understand the e-signature security checklist and rules first before using electronic signatures for your business! 

Posted by Brian Felix, 0 comments
07
Sep
2019
Top 10 Uses of Electronic Signatures for Small Business

Top 10 Uses of Electronic Signatures for Small Business

There is no doubt that the manual and traditional process of signing a document can be a time taking and hassle for businesses. Just imagine, you have to contract which needs to be signed, and you found that the person is not available. Besides, the third party wants to peruse the document at leisure before signing. All these processes take a massive amount of time.

Another option that you can consider is to fax the papers and inform the client about the same. Then you have to wait for the party to sign it and send it back that to you. However, if the party is busy in some works, this can take a few days, even some weeks. It will affect your business. That’s why most of the companies are now using electronic signatures. 

In detail, an electronic signature enables one to sign the documents electronically. It saves a lot of time and makes the process faster. Here, in this article, we will discuss the use of electronic signatures. But before that, it will be useful to have detailed knowledge about the electronic signature, their benefits, and electronic signature example. So, let’s get started with it. 

What is an electronic signature? 

In short, the electronic signatures are the digital form of a traditional or manual signature. It enables users to enjoy a seamless and secure signing transaction. Besides, it offers better user authentication. 

The documents which are signed digitally are tamper-proof and more secure. The signatures are recognized under different laws in different countries such as UETA and ESIGN Act in the US, eIDAS regulation in the European Union, and Information Technology Act, 2000 in India. These acts and regulations make the usage of electronic signatures legal. 

However, remember that the electronic signatures are different from the digital signatures. A digital signature is a cryptographic mechanism that is generally used to do electronic signatures. For a clear idea, you can check the electronic signature example available online. 

By using electronic signatures, you can:

  • Save time: It’s time to stop chasing paper. Go digitally for a faster process. Within just a minute, you can now sign the document.
  • Keep control: You will get to know who signed the documents, and also about the time.
  • Stay mobile: No need to create cabinets in your office to store documents. You can now save your documents in the cloud and enjoy better access.

Talking about the primary objective of such a signature is to faster the process of document authentication with an identifiable mark. Even though they are not 100 percent secure, these signatures are used in different industries. You can use it in legal dealing, private affairs, business transaction and more. Now let’s have a look into some benefits of using electronic signatures. 

The Benefits of Electronic Signatures

Before going deep into the use of electronic signatures, you need to understand some of the benefits of it. So, let’s have a look into this. Here are some notable ones: 

1. It is intuitive and simple 

One of the most significant benefits of using an electronic signature is that it is quite easy to use. You will find a lot of such online solutions. With an electronic signature software, you can easily upload your document, sign it, and send a highly secure link to the recipient. Then the recipient will sign the document, and the process will be over. Isn’t it quite easy! You can use the signatures by opening the link and with a few clicks. So, there is no need to waste your time doing manual signing. 

2. Offers a maximum level of security 

Some incidents prove that an electronic signature is entirely secure and safer than paper documents. It doesn’t just contain a signature; it also includes other information. For example, who signed the paper, the time and place of signing and more. You can keep track of the process. This is something not possible with traditional paper signatures. 

3. Convenient 

In this geographically extend the business world, a business deals with a lot of customers, partners, and suppliers. In such a case, if you go for manual signing and documentation, it can take a lot of time. But the electronic signatures facilitate remote authentication. Just a few clicks and you can sign the document. Forget about the printing and scanning of the documents. 

4. Quick Turnaround 

Another best thing about an electronic signature is that it offers a faster turnaround. Just think about the process of sending a document, print, sign, and scan the document. Then you need to send it to the third party. This process is very lengthy and takes time. But using electronic signatures, one can sign the document in just a few seconds. The use of electronic signatures in this modern business world opens up different opportunities. It works excellent in time-sensitive conditions. 

5. Lower Cost

Electronic signatures are quite cost-effective than pen and paper signing method. The reason is that you will save money spent on paper, postage, and printing. All you need the best electronic signature software and working internet connection. Save your time as well as money and concentrate more on your business. 

These are some of the significant benefits of electronic signatures as you have got a clear idea about E-signature and its benefits. 

Top 10 Uses of Electronic Signatures

Now that you have been familiar with the basics of electronic signature and its benefits, it’s time to move into the critical section of this article. Let’s explore the uses of the electronic signature that has broadened its adoption over the world.

1. Sales Contracts

Almost all businesses are dealing with sales contracts. These are documents that are signed quite frequently. Besides, sales contracts are also crucial to the companies. Delay in signing such agreements can affect your business’s profit. You need to complete the process faster and in a secure way. This is where you can consider the use of electronic signatures. The sales contract can include business to business sales, residential business, real estate transactions, and more. 

Business examples that come under this are real estate contracts, B2B sales, and service businesses. 

2. Supplier and vendor agreements

A small-scale business often faces issues while negotiating with vendors. So, it is better to lock down the agreement, price, terms, and conditions as soon as possible. If you go for manual signing, you may face a delay in this process. By using electronic signatures, with just one click, you can obtain the sign and finalize the deal. It is quite easy to use and quicker than traditional methods. You don’t need to wait for the moment to sign a document, but you can do it when you want. 

Some of the business examples that involve supplier and vendor agreements are consumer/business services and retail services. 

Read: Top 10 Factors You Should Consider While Choosing an E-Signature Vendor

3. New customer forms 

Do your customers want to fill out some forms or some other documents to carry out business with you? If yes, you can take advantage of the use of electronic signatures. There is no need to go for the lengthy process of printing the documents and get them signed. Besides, by using e-signatures, you can effectively prevent rekeying the data. It also leads to zero virtual errors. 

The business examples that involve new customer forms are clinics, salons, spas and more. 

4. Change in orders

Those who are running the project-focused business; for them, changes are quite common. However, you can face a surprise in the middle of the project, and your client may change the mind. They can increase or decrease their orders. During such a condition, you can face project holdups. The use of electronic signatures can significantly avoid holdups. You can approve the change in orders with the signatures quickly. Besides, you can easily maintain all your documents in the cloud and review them anytime you want. 

Some common business examples which may get benefits of electronic signatures are construction business, architects, and web designers.

5. Customer approvals 

Getting final approval before starting the manufacturing or production process is quite essential for the company dealing with custom-made products and services. When it comes to getting approvals, you can use electronic signatures to make it fast. It gives you enough time to focus on the order, instead of spending your time for obtaining the approvals. There is no need to visit the customers and get their signs on the approval documents. 

Some common business examples that require customer approvals are custom furniture businesses, custom art businesses and print shops. 

6. Employee onboarding

The process of hiring a new employee involves a lot of paperwork. For example, contract forms, enrolment benefits, automatic paycheck deposit, and more. If you sign all those documents manually, it can take a lot of time. However, you can save your time with the use of electronic signatures. Just click on the button, and you are done with the signature work.

Here the business examples that may require employee onboarding are the businesses with more than one employee.

7. Licensing of intellectual property and other legal agreements 

As per law, the legal documents should contain valid signatures of the involved parties. Otherwise, the material will not be considered as accurate. So, here, you can consider the use of electronic signatures. The reason is most of the e-signatures are bound with rules and regulations, which are accepted by the court. They are perfect for signing legal documents. All you need is to make sure that the local authority approves the E-signature software. 

Business examples in which licensing of intellectual property and other legal agreements is involved are technology companies, real estate companies, franchise businesses, and more. 

8. Non-disclosure agreements 

In general, the non-disclosure agreements offer you better security. Besides, it lets you conduct your business freely. When it comes to signing such an agreement, manual signing can lead to being inconvenient. Moreover, the manual sign is not safe, and one can use it for the different types of criminal activities. The most secure way to sign the non-disclosure agreement is the use of electronic signatures. With this, you can sign the documents through your mobile, and you can handle all the process with confidence. 

Some business examples where the use of non-disclosure agreements is very common are outsourcing companies, investigation companies, and other private companies.

9. Distributor agreements

If you are doing business with distributors, dealers, and other such channels, then you can enjoy a better company with the use of electronic signatures. When there are lots of partners who are involved in getting signatures and managing the agreements, it can create a lot of confusion. But with e-signature, it is now quite easy to handle such a task. You can obtain signatures and manage the documents through the cloud services. 

The primary business examples where distributor or dealer agreements are used includes wholesalers, distributors, and technology companies. 

10. Parental consent and age verification

No matter what are your requirements, whether you want to verify your employee’s age or work with kids, you can use E-signature. Besides, you can integrate with their ID to simplify the process of verification. 

Business examples where parental consent and age verification documents are required include kids’ school, school field trips and more. 

Apart from this, we collect some other businesses which may use electronic signatures. These are: 

Retail Sales

  • Signing the sales and purchase orders as well as invoices.
  • Licensing agreements signing.
  • Company and end-user agreements.

Human Resources

  • Employees hiring.
  • Acknowledgment statements.
  • The signing of timesheets.
  • Tax forms.

Legal Services

  • Signing the contracts of retention and fee.
  • Acknowledging confidential transactions.
  • Acknowledging documents of power of attorney.

Insurance

  • Verifying policy agreements.
  • Signing the documents related to claim to process.
  • Renewals of policy and service.

Finance

  • Taxation documents.
  • Accepting loan applications.
  • Disclosures.

In detail, the use of electronic signatures can help you in managing your business in a better way. This is quite easy and cost-effective. But always remember to choose the best e-signature software to enjoy maximum benefits and security. 

Just imagine, a document’s management process where there is no need to do any print and fax. No need to remember the person who signed the documents. Remember that by understanding the use of electronic signatures, you can enjoy a world of fantastic opportunities. 

Conclusion

Whether be a small-scale or large-scale business, to enjoy the maximum profits, you need to utilize every second. If you waste your time in dealing with document signatures and management, it can affect your business. So, to avoid all such conditions, you should always use electronic signatures when it comes to signing various business-related documents. 

The above discussion has pointed out the benefits and uses of electronic signatures. Besides, you learned the uses of E-signature for small scale businesses. No matter what types of paperwork you are involved in, you can save your money and time through the use of electronic signatures. 

So, adopt electronic signature now and get ready to witness a better business growth. Forget manual signing with electronic signatures!

Posted by Brian Felix, 0 comments
30
Aug
2019
An Overview of eIDAS Regulation

An Overview of eIDAS Regulation

The number of online transactions is increasing day by day. A simple purchase from an eCommerce store is the best example. However, the primary focus, in this case, refers to trust. Businesses want to shift their documentation flow online. Digital platforms provide much-needed flexibility for online transactions. 

However, the lack of trust can influence the motivation of consumers, public authorities, and businesses for electronic transactions. Therefore, eIDAS regulation is one of the precedents that help in governing the use of electronic signatures. The following discussion would focus on important implications associated with the regulation, such as a basic outline of the regulation.

The other significant highlights in this discussion would deal with the basic principles of eIDAS. The discussion would also throw some light on the different types of signatures validated by the regulation. Subsequently, the discussion would cover the benefits of the e-signature regulation for businesses and their application in different sectors. 

Also Read: An Overview of UETA and ESIGN Act

Origins of the eIDAS Regulation

eIDAS (electronic Identification, Authentication, and trust services) is the commonly accepted name for the EU regulation, 910/2014. The regulation found its roots on July 1, 2016, when the European Commission implemented it across all regions in the European Union. The eIDAS regulation appears focused only on electronic identification. However, you can also find precedents for trustworthy services of electronic transactions. 

The European Commission established the regulation to create a single digital market. The regulation also has two other objectives. The regulation aims at ensuring access to public services of any State of the Union for all citizens of the EU. Citizens could use their electronic National ID number for obtaining access to public services. 

Another objective of the regulation is the creation of an internal market for trust services. The regulation implies the provision of the same legality to trust services like conventional paper-and-ink processes. So, eIDAS is a regulatory instrument that specifies legal and security standards for trust services and electronic identification. What are the trust services? Let us find out something about them.

Criteria for Trust Services

The eIDAS regulation provides a clear impression of the criteria for classifying trust services. Article 3, paragraph 16, gives a precise definition of trust services. Trust service is an electronic service that is ideal for remuneration purposes. The scope of ‘trust service’ includes the following tenets:

  • Creating, verifying and validating electronic signatures, electronic registered delivery services, and related certificates and electronic seals or timestamps. 
  • Creating, verifying and validating website authentication certificates.
  • Safeguarding electronic signatures, seals or certificates related to these services.

There are a number of myths spread worldwide regarding the use of e-signatures. It is important to understand these electronic signature myths and facts behind them.

Summarizing the Regulation

eIDAS (electronic Identification, Authentication, and trust services) develops trust, security, and transparency needed to bring the whole EU on the same page. So, online commerce and electronic transactions could flourish in the EU with support from citizens, public authorities, and companies. The summary of working of the regulation in four simple points can help in understanding its scope better.

  • The regulation outlines the conditions for member states to recognize the methods for identifying people and legal entities followed by other member states.
  • The regulation also serves as a supervisory and accountability instrument. As a result, it enables qualified trust service providers to provide qualified services at national and cross-border levels. Also, eIDAS presents conditions for maintaining a high level of security in electronic transactions.
  • The regulation presents a comprehensive legal framework for the governance of electronic documents, electronic stamps, electronic signatures, and electronic timestamps. Furthermore, it also governs certified website authentication services and certified electronic delivery services. 
  • The regulation is mandatory for ensuring access to public service across borders in EU countries having electronic identification (eID) documents.

Types of Signatures Recognized in the eIDAS Regulation

eIDAS defines the three types of recognized electronic signatures. They are –

  1. Electronic signature
  2. Advanced electronic signature
  3. Qualified electronic signature.

1. Electronic Signature

An electronic signature is the data in electronic form that is logically associated or attached to another data in electronic form. Signatories can use an electronic signature for signing documents. According to eIDAS, all electronic signatures are legally admissible. The regulation specifies that signatures in the electronic form cannot be denied for legal recognition due to their form. 

2. Advanced Electronic Signatures

Advanced electronic signatures are slightly improved than typical electronic signatures. These type of electronic signatures comply with the following requirements.

  • Unique link with the signatory.
  • Linked with data that is signed in a manner suited for detecting any changes in the data.
  • Capabilities for identifying the signatory.
  • Developed using electronic signature creation data. Most important of all, signatory could use the data under their control. 
  • The final document complies with tamper-evident characteristics.

3. Qualified Electronic Signatures

Qualified Electronic Signature is an advanced electronic signature created with a qualified electronic signature creation device. The device should have a qualified certificate for electronic signatures. The device could be a smart card or a mobile app for generating a one-time password. Signers have to use certificate-based digital ID provided by a qualified EU Trust Service Provider.

Also Read: Information Technology Act, 2000

Guiding Principles for the eIDAS Regulation

Now, let us explore the different guiding principles of eIDAS that make it a trusted regulation for electronic transactions. The guiding principles can help us learn about the foundation of the regulation. As a result, we can understand the benefits of this regulation easily. Here are the four guiding principles for the eIDAS regulation –

1. Trust

Trust is the first pillar in the foundation of the regulation. It ensure that transactions completed by the regulation are reliable, secure, and legally enforceable. Technologies such as electronic signatures, electronic services delivery, and electronic identification help in achieving these outcomes. 

However, the lack of trust can influence the motivation of consumers, public authorities, and businesses for electronic transactions. Therefore, eIDAS regulation is one of the precedents that help in governing the use of electronic signatures. The following discussion would focus on important implications associated with the regulation, such as a basic outline of the regulation.

The technical standards defined in the regulation ensure complete assurance to all the parties involved in a transaction. Apart from technical standards, the regulation also provides a comprehensive liability framework. The liability framework addresses legal, enforceability, and jurisdictional concerns.

2. Cross-border

Cross-border transactions are one of the prime objectives of eIDAS legislation. The regulation ensures compliance with legal aspects related to cross-border transactions. Therefore, services provided in one jurisdiction are legal while transactions covering the service originate and conclude in another jurisdiction. The regulation makes sure that the legal standards for electronic transactions are similar across all jurisdictions. As a result, electronic transactions could not be restricted based on local jurisdictions.

3. Seamless Transactions

The trust services and electronic identification transactions should be completely seamless for the user. Users should get the same uninterrupted experience without any influence of their current location, device, or language. The regulation covers personal devices such as laptops and mobile phones as well as public areas such as airports. So, the regulation reduces concerns of authentication and identification when moving from one service to another. Users could also move from one location to another in the EU and use electronic signing and identification services seamlessly.

4. Transparency and Accountability

The fourth founding pillar of the regulation relates to transparency and accountability. The regulation outlines specific obligations for trust service providers and a clear definition of acceptable signatures. As a result, users could recognize qualified trust service providers easily. The most important highlight, in this case, refers to specific risk management and security precedents for trust service providers. The risk management approach covers aspects such as procedures, operations, and conduct. 

The guiding principles of eIDAS clearly show the intent to develop a credible and reliable system for electronic identification. The other traits of the regulation appear clearly in the underlying principles such as cross-border, seamless, and convenience in services. 

Still confused about adopting electronic signatures? Check out these top reasons to adopt electronic signature for your business.

Applying the Regulation in Different Sectors

After a reflection on the origins, implications of the regulation, and types of recognized signatures let us find applications. The e-signature regulation is applicable in various sectors such as financial services, transport, and online retail.

  • Financial Services

The financial service sector benefits the most from the eIDAS legislation. Financial services can find better opportunities across borders. Customers in the financial service sector demand online services and compliance obligations keep getting complex. Therefore, the digitization of identifying, authenticating, and security of transactions became evident. 

Therefore, eIDAS regulation is one of the precedents that help in governing the use of electronic signatures. The following discussion would focus on important implications associated with the regulation, such as a basic outline of the regulation. However, the lack of trust can influence the motivation of consumers, public authorities, and businesses for electronic transactions.

A closer look at the different examples of the application of electronic identification services in the financial sector can clarify some doubts. The regulation governs e-signatures used for signing financial service contracts remotely. Also, the financial services sector depends on electronic registered delivery service that comes in the scope of the regulation. 

  • Online retail

As we discussed previously, the regulation offers a comprehensive legal framework for governing electronic transactions across the EU. The online retail sector derives major benefits from the regulation. Online stores can ensure secure electronic transactions with customers alongside implying formidable levels of trust in the transaction. Furthermore, the transactions governed by the regulation are legally valid across the European Union. 

One of the examples of the regulation’s use in the online retail sector relates to the better identification checks for customers. This application can be helpful in the case of purchasing high value or restricted goods. Another prominent example of the use of eIDAS in the online retail sector is the facility of qualified website authentication certificates. These certificates can ensure the better trust of customers in online retail stores. 

  • Transport and Logistics

The transport sector also relies on electronic identification and trust services for a seamless business process with ample security. Electronic identification and trust services provide flexible, secure, and resource-effective document flow between suppliers, carriers, and receivers. As a result, the orders could arrive on time without any administrative setbacks. 

The most notable example of electronic identification and trust services in the transport sector is in the car-sharing services. The regulation governs conditions for proving identity and secure login of customers in car-sharing services. For freight transport and logistics applications, electronic registered delivery service helps in the secure and faster exchange of contractual documentation. 

  • Professional Services

Other professional services such as accountants, architects, and lawyers also find applications of electronic identification and trust services. Trust is the prominent concern in the professional services sector, and so the regulation is applicable here. First of all, electronic identification and trust services simplify many complex formal procedures in this sector. 

The regulation has assured professional services regarding operational efficiency, thereby implying the flexibility to focus on customer services. The regulation governs the example of electronic identification to validate the identity of clients. As a result, it is easier to establish contractual relationships. Furthermore, electronic registered delivery service can help professionals in sending crucial documents without any risk of alterations, damage, or theft. 

How to get the eIDAS Certificate?

Many businesses adopt electronic signatures and identification methods for faster and streamlined operations. However, many of them are also confused about how to get eIDAS certificate. So, let us find out the different types of certificates available in this regulation. Recently, the EU announced the PSD2 directive that validates two types of electronic signatures.

The two electronic signatures are –

  1. Qualified Certificates for Seals (QCSEALs)
  2. Qualified Website Certificates (QWACs)

Also, you can find certificates for other qualified trust services such as a qualified certificate for electronic signature. You can receive your certificate from a Qualified Trust Service Provider. The European List of Trusted Services provides an outline of the different local qualified Trust Service Providers.   

The next step in how to get eIDAS certificate relates to providing information to the trusted service provider. You have to provide your authorization number registered with the qualified Trust Service Provider. The next important detail required in the process is your role in a transaction. Following the entry of information about your role, you have to select the certificates which you need. Based on your eligibilities, the trust service provider would provide you with the certificates. 

Benefits of the Regulation for Companies

The benefits of the regulation for every business depends on electronic business transactions in Europe. Companies can gain the following benefits from the regulation:

  • Better security and trust in electronic transactions can foster the creation of relationships with customers.
  • Seamless and convenient cross-border transactions with ease.
  • Improved transparency and accountability with the technical and liability standards in the regulation.
  • Reduction in barriers for establishing a business in EU countries.
  • Saving costs of material, shipping, and management.
  • Time-saving in documentations for improving focus on core business tasks.
  • Aligning the focus of companies towards digital transformation with better and flexible customer service.

Also Read: Top 10 Electronic Signature Myths and Facts

Conclusion

On a closing note, the eIDAS legislation proves to be a wide-ranging instrument to promote the adoption of electronic identification. The digital transformation of businesses is driving the attention of companies towards electronic business transactions. However, the legal validity of electronic signatures and trust services may be a formidable barrier. 

Therefore, the regulation provides a precedent for validating electronic signatures across all member states of the EU. The discussion reflected on the basics of the regulation alongside summarizing the key points of the regulation. The discussion also focused on the types of recognized signatures as well as the founding principles of the regulation. 

The other significant highlights of the discussion included the different sectors which use the regulation and the process for certification. Apart from the simple process of getting a certificate, the discussion also presents a brief insight into the benefits. So, if you are ready to jump on the digital transformation trend, then this discussion can be a helpful guide!

Posted by Brian Felix, 0 comments
26
Aug
2019
10 Best Electronic Signature Software

10 Best Electronic Signature Software

You spend hours to come up with a perfect signature and then practice to keep up with it. Right? But why to waste your time when you can use top electronic signature software to create your unique signature. Yes, there is no doubt that the best electronic signature software revolutionizes their business process. Besides, with e-signature software, you can do more than that. 

You might be thinking that you don’t spend a single penny to obtain a handwritten signature. So, why to go for electronic signature software? Well, there are some reasons. We will cover all such things in this article. But first let’s start with the basics, i.e., what is an electronic signature? An electronic signature is a digital method that helps people to show their contracts to the terms and conditions of the electronic services. 

Besides, it works as a tool to confirm the identity of the sender of the message. In this world, such signatures are considered as an electronic signature as well as stamped seals. Moreover, these signatures are highly secured and quite challenging to hack. But to create such a signature, you need to use some best esign software solutions or software. So, let’s learn about them. 

Digital signature and electronic signature are two similar looking terms but don’t get confused. Check out the differences between the two: Digital Signature vs Electronic Signature.

What is the E-signature Software? 

Software that enables users to obtain signatures on documents that are shared digitally is the e-signature software. It eliminates the requirement of manual signatures. Besides, almost all the businesses are now using such best electronic signature software to sign their business documents. In general, the software integrates with most of the third-party applications. 

For example, ERP systems, accounting systems, HR management systems, CRM software, and more. All the software come with a high level of security standards that meet the legal requirements. The electronic signature software streamlines the process of legal document exchange. Besides, it guarantees the legitimacy of signatures. Wondering how to choose the best e-signature software? Here are some features that you need to consider while choosing one. 

Understanding Some Significant Features of Electronic Signature Software

When it comes to the features, they can vary from one software to another. But there are some notable features that you should keep in your mind while choosing a top electronic signature software. 

  • Security feature

In general, when you are signing a document digitally, you are sharing your personal information over the internet. That’s why it is essential to look into the security feature of an electronic signature software. All the information needs to be secured technically. Besides, make sure that it comes with a multi-layer authentication mechanism. Read the features while buying the software. 

  • Privacy factor

Even though different employees use the software, they should rely on the right to reveal the data personally. Besides, the software needs to offer a facility to do a secure transaction. 

  • Compliance

The software needs to comply with the polices, regulations, and laws of the industry. If the software doesn’t comply with the laws, then you can face some serious legal consequences. You can’t blame others. Most of the top e signature vendors offer software which complies with the industry’s policies. 

  • Audit Trail

This is something quite important for enforceability. In detail, if there is no such feature, then you are signing documents in a non-reliable manner.

  • Level of scalability

Such software covers different industries and businesses. They are highly scalable. With this feature, you can quickly increase the volumes of documents without affecting the performance. 

Also Read: Top 10 Factors You Should Consider While Choosing an E-Signature Vendor

Check Out 10 Best Electronic Signature Software 

So, we’ve mentioned some of the major features that you should look over while choosing the best electronic signature apps or software for you. However, to make it a little easier for you, here we have listed down some of the best electronic signature software. So, let’s have a look at the list. 

1. Adobe Sign

It is the big boy and the best electronic signature software in the industry of digital and electronic signature. The software offers a lot of unique features. Besides, it is available on the mobile application as well as the web. So, no matter where you are, you can easily use your e-signature.

Furthermore, it comes with a unique and reliable authentication service to keep your e-sign safe. You can also customize the e-signature. The best thing about this software is that it works on all Microsoft Office products. 

Features of Adobe Sign 

  • Custom fields.
  • Document template sharing.
  • Highly secured digital signature.
  • Feature of capturing electronic signature through mobile.
  • Audit trails.

For a single user, it may cost you around $9.99 per month. If a number of users are 2-9, you need to join the Adobe Sign Team. For this, you need to pay approximately $24.99 per month for the team. If you want to check out the software, you can go for its 14-day trial period. 

2. HelloSign

It was the leader on G2 Crowd 2017 in the category of E-signature. The software lets you send and sign your papers along with tracking of the documents. Besides, it comes with different business tools. For example, team management, email reminders, flexible signing, and much more. As per reviews, this software is perfect for occasional electronic signature. With this, you can considerably faster your business documentation process. It easily integrates with Dropbox, OneDrive, Google Drive, different CRM systems, and more. 

Features of HelloSign

  • Various templates.
  • Branding.
  • API Integration.
  • In-person signing.
  • Audit trail.
  • Notification.
  • Team management tools.

Talking about the cost, the pro version can cost you around $15 per month. For one year you need to pay around $156. If you are a business user, it will cost you $50 per month and $480 per year. 

3. Eversign E-signature

Eeversign tries its best to offer you the best electronic signature solution. The software is highly secure, and you can use it for your sensitive documents. Besides, the software brings excellent flexibility to the workflow. It can significantly increase the time efficiency. As per some reviews, it minimizes duplications, lost notices, paperwork (obviously), and more. The best thing about the software is it comes with cloud-access. 

Features of Eeversign E-Signature

  • Team management tools.
  • Branding.
  • API.
  • In-person signing.
  • Different useful templates.
  • Audit trail.
  • Paid option.

The business version may cost you around $480 per year. The monthly cost is $50. The price of the pro version is $156 per year. 

Also Read: Electronic Signature Myths and Facts

4. DocuSign

With this, you can take your business forward much securely. Its massive 200 million and above users base proves its popularity in the industry. There is no doubt that it is one of the best electronic signature software that you can use. The company offers a high-quality and secure digital signature solution. Streamline your signing with the software. It also comes with Binding Corporate Rules. 

Features of DocuSign

  • Different integrations.
  • High-quality integration.
  • Templates and more.

Coming to its pricing, a single user may need to pay around $10 to $15 per month. You can also go for a multiple user options by paying $25 per month for a single account. As one of the top e signature vendors, it offers a 30-day free trial period. So, you can try it for a month and enjoy its features without paying a single penny. 

5. Secured Signing 

Talking about the G2 Crowd start rating, it scores 4.6. In detail, it is a cloud-based e-signature service. It is a perfect software for small businesses. Besides, large companies can use this one. With an excellent support team, the company is good at resolving various issues instantly. So, you can trust the company for the best esign software solutions. Besides, it will perfectly match with your everyday business requirements. Coming to its integration, it easily integrates with RBD ProNEt, Salesforce, Google Drive, Fine Power Connect, and more. 

Features of Secured Signing 

  • Free for normal use.
  • Some best integration.
  • Video conformation.
  • Templates.
  • Branding.

The best thing about the software provider is, you can customize the package as per your requirements. Its team edition may cost you around $25 per month.

6. SkySignature

Its G2 Crows star rating is 5.0. As a best electronic signature software, it comes with different important feature. Besides, it offers a free PDF editor tool. With its high-level algorithm, it keeps your document highly secure and safe. The software is handy as it provides drag and drops signature features, document editing features, and more. Moreover, it is very interactive. It only integrates with Flamory. 

Features of SkySignature

  • Best of light use.
  • Templates.
  • Drag and drop features.
  • PDF creation.
  • Document editing.
  • Unlimited signing.
  • Signature verification.

Per month it may cost you around $20 to $25 per user. It also offers a free trial so check it out. 

There are a number of threats associated with e-signed documents. So, you should check if the electronic signature solution keeps your documents secure from the e-signature threats. 

7. OneSpan Sign

OneSpan Sign is for both small and large scale organizations. Besides, around 600 companies are using this software. The users’ list of OneSpan Sign includes companies like BMW and IBM. Furthermore, the US Army also uses the software. However, it is also for small businesses. It comes with a high-level of optimization and offers easy-to-use workflow. You can easily deploy it on both private and public cloud platforms and in your existing system. With a high level of flexibility, it provides a maximum amount of protection. 

Features of OneSpan Sign

  • Flexible.
  • Templates.
  • Secure environment.
  • Easy to use.
  • Signature verification and more.

To get OneSpan Sign software, you need to pay around $20 to $25 per month for single-user access. However, if you want to try out the software, it offers you a 30-day free trial.

8. SignEasy

With more than 5 million users, SignEasy is one of the best digital signing software that you can use. You can use this from your home or office computer. Besides, the company has made it mobile-friendly too. You can access its cloud services on the go using your smartphone. That’s why it is one of the most popular and best electronic signature apps. 

It offers some great features like other software, but it focuses more on simplicity. In detail, you can get a signature box to make it clear for others who need to sign the documents and how. Besides, you can use the templates to simplify the signing process. SignEasy is now partnering with WeWork to facilitate E-signatures to the community. 

Features of SingEasy

  • Supports multiple devices.
  • Track progress.
  • Reusable templates.
  • Easy interface.
  • Cloud services and more.

Want to try it out before buying it? Well, SignEasy offers you a 14-day trial period. However, for small businesses, this is quite affordable. Its monthly cost is around $10 per user. For three different users, its premium plan can cost approximately $60 per month. 

9. KeepSolid Sign

Do you know what the most fantastic thing about KeepSolud Sign is? Its offline-signing feature. You can sign a document from anywhere without internet access. It is a fantastic product from encryption and security specialist, KeepSolid. It promises a secure electronic signature on any device. 

Talking about its usability, it comes with different collaboration and annotation tools. Besides, there is also a document tracking feature. So, now you can quickly work, make changes on projects and legal works. It integrates with different platforms, for example, iCloud, Google Drive, Box, and Dropbox. Besides, it is quite easy to use. 

All you need to do is import your documents to the platform and insert your sign. That’s it. The primary factor of the software is its high-level security credentials. There is no doubt that it will perfectly match with your company’s privacy and safety requirements. Moreover, this great app comes with AES-256 encryption. So, it is the best electronic signature software for all. 

Features of KeepSolid Sign

  • Offline mode.
  • Cross-platform.
  • Flexible.
  • Templates.
  • Secure cloud services.
  • Industry-standard encryption.

The software offers you a 14-days free trial period. But after that, you need to pay $99.99 per year to use the software. Besides, its small team subscription package comes with a price tag of $349.99 per year. This is applicable for five users. However, to make it for ten users, you need to pay $599.99 annually. 

10. SignX

The software enables you to send your documents to different signers. Besides, they can sign the document individually. It can effectively manage more than one user. By using its template reusing feature, you can save a lot of time. Moreover, you can encrypt your document with its password protection feature. Its unique features have made it one of the best electronic signature software. 

Features of SignX

  • Reusable templates.
  • Legally binding digital signatures.
  • Supports multiple users.
  • Real-time notification.
  • Documents and signature verification.
  • Bulk send.
  • Document encryption and supports password protection.

It’s premium edition may cost you around $9.99 per month. The annual subscription rate is $83.88. The enterprise edition, for 2 to 10 users costs around $18.38 per month to $87.91 per month. On the other side, its annual subscription rate is $154.34 per year to $738.14 per year. 

Still thinking if it’s good to use an electronic signature for the businesses? Get familiar with the top reasons to choose electronic signature for your business.

Bottom Line

So, these are some of the top electronic signature software which can save your time as well as money by digitizing the signing process. Signing documents manually is very time-consuming. So, forget the pen and sign up for one of these top software. 

These software provide a simple means to use electronic signatures. These e-sign solutions enable businesses to create, approve, and send the documents online. With esign software, one can sign the documents without downloading them. All you need an internet connection and you are ready to go. 

However, the names which are mentioned above are the most popular e signature software. You can trust them and use one of them for your business. But, while choosing one, just remember to check the important features as you will use it for sensitive works. Choose the best electronic signature software and make your workplace more efficient and secure.

Posted by Brian Felix, 0 comments
22
Aug
2019
10 Common Threats to Your E-Signed Documents

10 Common Threats to Your E-Signed Documents

In this globalized world, almost everything is connected through the Internet. Well, this is a good thing as it creates a lot of opportunities for people. The modern technology has changed the way people used to work. For example, now one can work remotely for his/her clients living in another country. Isn’t it great? 

Talking about one such development, that is online documents. This makes the business processes much easier and faster than before. The modern working practices involve signing such documents online. In general, e-signed documents enable people to create and sign a contract without any issue. It helps people by eliminating the lengthy offline documentation process.  

Also Read: Top 10 Electronic Signature Myths and Facts

Top 10 threats to e-signed documents

Most of the businesses are now implementing e-signature following some benefits like cost-effective and better user experience. However, it also gives chances for cybercriminals, and now anyone can defraud you with this. There is no doubt that electronic signatures and e-signed documents are quite effective when it comes to maintaining integrity. But at the same time, there are some threats to e-signed documents. 

It’s good to go for electronic signature, but while implementing, you should consider the security concerns for e-signed documents. If you have a better understanding of the threats associated with the e-signed documents, you can easily deal with them. Besides, your digital signature will stand up in different legal matters. 

So, let’s get ahead and know about some common threats associated with e-signed documents that you should keep in your mind.

1. You all have signed the contract, but the court rejected it

You create a business contract with different parties, and they sign it digitally. But later you faced some disputes and took the case to court. However, now, the court rejects the contract. Why? Because the software that you have used for signing in is not compliant with rules and regulations of electronic signature laws. Ultimately, you lose the case. 

So, if you are using any e-signature software, make sure that it is compliant with the electronic signature laws. For example, in the USA, the software should be compliant with UETA and ESIGN Act. In Europe, it needs to be compliant with the EU Directive 1999/93/EC. And in India, it must be compliant with the Information Technology Act. If you don’t find any supported legislation, then don’t use the software. Or else you may face a lot of security issues for e-signed documents. 

There are different laws and acts in every country for the validation of electronic signatures. Also read about the Information Technology Act, 2000 – electronic signature law in India.

2. The contract has changed, and information is missing

Most of the reputed online signing software platforms are running hashing technology. In detail, it makes a hash of the content which builds a fingerprint of the material. It creates its DNA for the file. Generally, they use the hash forms while doing the signing. The reason behind this is if something alters, like changes the number, the hash will alter the number. 

Not all the electronic signature software will let you know about the changes. Only professional electronic signature software can notify you about this through regular auditing. Besides, you need to make sure that the electronic signature vendor integrates all the major security precautions. 

Check the level of encryption that the vendor offers when your documents are in cloud storage. Besides, use standard algorithms and signing process so that the sign can be verified through the different solution. Don’t use SHA1 or MD5 hashing algorithms as these are outdated. So, be careful about it. 

3. The signatory is different 

In general, when one signs a document online, then the signature employs the digital certificates. Talking more about a digital certificate, it represents a person or a company digitally. It has two parts, one is the private key, and another one is a public key. 

The private key is generally used to encrypt the document’s hash. However, anyone can access the public key. Besides, it can provide all the details of the company or the person related to that particular certificate. But it is illegal to see other’s documents without any consent. 

So, to prevent this, make sure your e-signed documents come with tamper-evident technology. Such technology can alert you when someone tries to access and alter your documents. Besides, set a PIN for your certificate. Only you can use the certificate with the PIN. 

Don’t get confused between Digital Signatures and Electronic Signatures. Read our previous article on Digital Signature vs Electronic Signature, understand the difference between them.

4. The electronic signature is fake 

Sometimes hackers can use the electronic signature for a false signature while signing a contract. You can be a victim of fraud if you are not using software which has features to make the process secure. Make sure that the electronic signature software offers features like security auditing, encryptions, digital certificates, and more. If all such things are missing in your software, then you can put the business at higher risk by signing a fraudulent contract. 

5. The e-signed documents have been stolen 

There is no doubt that modern technology makes working online a lot easier. With e-signing, you can sign a vital document online with just a few clicks. But this also brings different threats to e-signed documents. 

One of such risks is the document stored on a server can be accessed easily. One can simply hack your document and change the entire content. So, always remember to encrypt your document to prevent hackers from accessing the documents. 

6. An unknown person accesses the documents

One of the most important factors that you need to consider during the process is to make sure that the process involves the right person. Besides, it ensures that the e-signed documents can only be accessed by that particular person.

For this, you can employ user authentication process. For example, some e-signature vendors require that one should prove his/her identity by entering an SMS PIN or answering a personal question. This way, you can prevent others from accessing your electronically signed documents online. 

There is something that you should always keep in your mind while using e-signature software. If the software works on proprietary technology, then you might not understand how the technology works. It may not also offer maximum protection to your e-signature. That’s why always use the software in which technology is governed by international standard. For example, a software certified by ISO- International Organization of Standardization (NIST). 

Still thinking about the adoption of an electronic signature? Check out these top reasons to adopt electronic signature for your business.

7. Another person or the middle man stole the contract 

One of the significant security issues for e-signed documents is MITM- Man in the Middle. This is a common online threat where a person takes the information which is present on the server. The rate of MITM attacks is now increasing. Moreover, OWASP – Open Web Application Security Project places such attack in the list of top 10 web-based attack threats. 

Your online document can carry some of your sensitive or personal information. For example, pricing, identity, property details, and more. All such information can be stolen through a MITM attack. So, how you can prevent such threats? 

For this, you need to make sure that the entire process of e-signing is secure. Make sure you are using an HTTPS connection. In detail, HTTPS-Hypertext Transfer Protocol Secure is a secure communication channel. 

Besides, to prevent MITM or MITB – Man in the Browser issues, make sure that the service provider signs the digital document in its initial stage. The reason behind this is it will lock the integrity of the documents. Besides, you can make sure that the service providers send the document, and there is no middle person in this process. 

This will assure the users that the digital document is genuine and safe to sign. Furthermore, always remember to save a copy of before and after signing a document on your system. So that if something wrong happens, you can use that as proof. 

8. The image of e-signature is stolen 

Almost all the e-signatures come with an image of the real signature or a mark that one generally uses. This is a major commodity as one can use it on a document, signing as the real owner of the signature. How to prevent such a threat? Don’t store your signature images or marks on a server. Hackers can easily steal your data from a server which is not properly secured.

An e-signature lets the users make a mark on the document to show their consent or approval. Well, in the paper world, it is quite difficult to copy the signature. But in the digital world, one can easily copy the signature or mark and paste it on another document. One can’t even find a single difference in that. In the court, the judge can’t comment just by looking at the image of the signature. 

Some software can offer PKI-based e-signature. You will get a unique Digital Identity, known as X.509 Certificate after verification of the real identity. After that, you can use the certificate for e-signed documents. When you sign a document cryptographically, it locks your digital identity, and one can know who has signed the documents. Certificate Authority issues such certificates that is a trusted organization. So, get your unique Digital Identity now and enjoy a safe and secure online document signing process. 

While working with electronic signatures, it is commendable to understand how electronic signature works. Here is a quick guide to the electronic signature workflow.

9. The signing software vulnerabilities

Most of the e-signing software can be infected by malware, including yours too. The reason behind this is the software you are using may contain some vulnerabilities. You might be thinking that what are these all about? Well, that means there are some bugs in your software. Then the malware enters into the software through the bugs. You can’t detect them as they will take over the software without any notice. 

So, to avoid such a problem in your e-signed documents, choose an electronic signature software which gets updated regularly. Some dedicated and reputed platforms consider potential exploit seriously. Besides, they also release updates and patches every month to keep the software safe. However, don’t forget to keep your OS and browsers up-to-date with latest updates. 

10. You don’t know what you are doing 

This is one of the significant security concerns for e-signed documents. Some users can deny that they don’t know about anything. For example, users can say they didn’t know about that a button when clicked will sign the documents. Besides, they can say that they didn’t get a chance to go through the document. If you are an electronic signature vendor, to counter such things, you need to prove that the signing process is a willful act and involves the consent of the parties. You can employ the flowing features for the e-signed documents.

  • Give the users a legal notice to let them know about the legal consequences of the signature. The users can’t sign the document until they accept the legal notice. 
  • To prevent people from claiming that they miss something important while signing the document, give them an initial for every paragraph. 
  • Make sure the GUI indicates the approve option for e-signed documents. Besides, make sure that it is written in the user’s regional language. Furthermore, allow the users to cancel the process in the middle. For example, a Decline option, by clicking on which they can cancel the operation. 

It’s not that due to the threats associated with electronic signatures, you shouldn’t use electronic signatures. Instead, you should consider these points while choosing an e-signature vendor.

Take as much as time you need and choose the right one 

E-signing software is quite easy to use. Some can be easily integrated with your website. However, it is essential to know everything about the e-signed documents and their threats. As a user, one should audit the vendor’s e-signature technology. Then compare it with the security requirements. Remember that not all the e-signatures of e-signed documents will offer you the same protection features. 

The untrusted vendor can offer hackers a lot of chances to attack as they don’t follow security measures carefully. So, always use trusted vendors as their cryptographic evidence is embedded directly into the document. Though there is no requirement for any third-party server as It dramatically reduces the entry points. 

Choose wisely and streamline the workflow without worrying about any threats!

Posted by Brian Felix, 0 comments
06
Aug
2019
Points to Consider While Choosing an E-Signature Vendor

Points to Consider While Choosing an E-Signature Vendor

Change is the buzzword that is making the rounds in the present business environment. Nowadays, businesses are experiencing a great change with the adoption of electronic signature. Electronic signatures provide an efficient and cost-effective way to manage paperless signatures. The idea of using e-signature for your business requires an e-signature vendor.

With the popularity of e-signatures, a number of vendors are popping up in the market. But all these e-signature vendors are not equal, so it becomes important to evaluate them on some points. So, in this article, we’ll discuss the points that the businesses should consider while choosing an e-signature vendor.

Top 10 Points You Should Consider While Choosing an E-Signature Vendor

In a survey by Canon, almost 28% of small and medium businesses spend excessive time on paperwork for administrative purposes. Another study conducted by YouGov stated that small and medium businesses also lose almost £8.72 billion per year. It is due to spending around four hours and more on an average every week on the administrative paperwork. So, it’s high time that businesses should consider working smarter rather than working hard for hours. 

This has been the notable reason why businesses are making the big leap towards selecting an appropriate e-signature vendor. However, this is where you shall be careful as you would be taking care of more than just ditching the pen and paper route for signatures. So, let’s get ahead and explore the factors that should be considered before choosing an e-signature solution. 

1. Tamper Evidence Feature

The first aspect that you should emphasize while choosing an e-signature vendor is related to concerns of tampering or modifications in the document after a single signature. You can find certain e-signature service providers providing a tamper-evidence feature. This feature can help you to see any alterations that have been made in the document. The different service providers have unique approaches for providing tamper evidence. So, if you are quite specific about the security level with an e-signature vendor, it is appropriate to ask the approach followed by their tamper evidence technology. 

You need to make sure that the tamper evidence is recorded right from the moment when a transaction is initiated. It would be recommended not to go for a solution that tracks tampering evidence when the signing process is terminated. To ensure legal certainty, it is essential that the e-signature service provider ensures tamper evidence recording after the initial signature rather than waiting for the completion of all the signatures. 

The tamper evidence technology should be capable of showcasing any unwanted changes attempted in the document. Furthermore, you would be able to ensure that the first signatory has not tampered the document before sending the document to the second signatory. You can also find some modern e-signature solutions that have the facility of making a document tamper-proof with its creation. This way, the document cannot tamper once it has been completed. 

To use e-signature effectively, it is important to understand electronic signature workflow. Here’s a comprehensive guide to e-signature workflow.

2. The Comprehensiveness of the Audit Trail

Another prominent factor that shall come into focus when choosing an e-signature vendor is the audit trail. The audit trail is a common feature that you would find with the services of an electronic signature vendor. This feature is responsible for tracking the actions of signatories and the documents in every transaction for creating evidence about the conduct of the entire transaction. 

However, different e-signature platforms show considerable differences in the amount of detail recorded by them in the audit trail. So, it is recommended that you should look for e-signatures that are available with a detailed and comprehensive granular audit trail. A granular audit trail can help you gain access to evidence of each element involved in the signing process. 

Any reliable e-signature vendor would ensure that you can have a detailed audit trail, thereby facilitating legal evidence for the signing process that can be used in court if needed be. The elements that you can find in a comprehensive audit trail include the date and time of document submission, consents of signatories, IP address of signatories, cancellations or opt-outs, issue of digital certificates and the time of signatures and initials. 

3. Access to Evidence

The next factor that should be on your priority when selecting an e-signature vendor is whether you have to depend on the service provider to prove the legality of the signature. As we have observed above, tamper evidence technology and audit trails could help in validating a transaction if the need arises. However, you should make sure that you can access the information at any time. 

So, you should look for an electronic signature solution that can help you verify signatures independently. This implies that the evidence of the digital signature should be embedded directly and permanently to the signed document. Look for an e-signature platform that utilizes published standards as well as public key infrastructure (PKI) for proving the validity and integrity of documents. 

With the evidence, you could be able to access it anytime even after years. You would not find this facility in all electronic signature platforms, especially the ones bound by proprietary standards. This type of vendors requires visiting the solution provider’s website to obtain information about the signature. This can seem plausible for a moment. But you need to think of long term scenarios. 

For example, what would happen if the vendor’s server goes down? What if the vendor has changed their technology after ten years and you need to access a signature for proving in court? In these situations, you can land up without access to evidence of the validity of your documents.

4. Compliance with Industry Standards

Talking about security aspects with an electronic signature vendor, it is essential to make sure that the vendor meets industry compliance. The most basic precedents for taking into consideration are ESIGN and UETA guidelines for e-signatures. In addition to these precedents, it is also essential for an e-signature vendor to comply with the regulatory standards followed in different industries. 

The financial services industry requires compliance with the Standards and Procedures for Electronic Records and Signatures (SPeRS). The Securities industry requires compliance of an e-signature platform with the Electronic Securities Transaction Act. For the sector of annuities, it is essential to comply with the Insured Retirement Institute’s E-signature Standards for Straight through Processing. HIPAA regulations are found in the healthcare industry, whereas 21 CFR Part 11 is relevant for life sciences. 

So, based on your industry type, you need to make sure that the e-signature solution of your choice complies with all the industry regulations. 

5. Authentication Measures

Authentication factors should be the next priority when selecting an e-signature vendor. This is essential to make sure that your documents are not in the wrong hands at any point in time. Therefore, the e-signature platform should follow a minimum of two factors of authentication. 

The most basic example of two-factor authentication is a combination of a password with an SMS text message on a mobile phone. The importance and sensitivity of the information in different documents and forms would vary considerably. So, you could face the need for higher levels of authentication. You would not want your e-signature vendor to leave your documents open to unauthorized access. 

So, based on the level of risk involved with a document, you need to find whether the vendor provides multiple approaches for verification of identities of signatories. One of the methods is email-only authentication. In this, a user clicks on a link received through an email and is redirected to the transaction directly. 

Knowledge-based authentication (KBA) is another simple yet proven measure for authenticating the identity of signatories. KBA would require the user to input their date of birth or the last three digits of their social security number followed by answering a set of multiple-choice questions. If the user answers all the questions correctly, then the user could access the transaction. 

Certain vendors can implement shared questions for authentication in which a user has to answer certain personal questions that are known to the sender. Upon answering the questions correctly, the user could prove their authentication to access the transaction. Note that better authentication requirements would directly result in better defense of the e-signature.

There are a number of myths about the e-signature. Here we cover the top electronic signature myths and facts behind them.

6. Cloud Security

The majority of the concerns related to the selection of the right e-signature vendor are associated with the safety of the e-signed documents. You should know that e-signatures are SaaS solutions, and this implies the relation between e-signatures and the cloud. So, you should choose a vendor that can provide a formidable cloud infrastructure capable of safeguarding the confidentiality, availability, and integrity of your data. 

Most important of all, you should try to find if the electronic signature solution provider has accomplished security certifications such as SOC2. In addition to a sturdy cloud infrastructure, security certifications indicate vendor’s highest standards for cloud security and data protection. By confirming this aspect with your vendor, you could stay away from complaints of unauthorized access. 

7. Ease of Use of the Solution

The next crucial concern in selecting an e-signature vendor is usability. An easy to use e-signature platform can help drive positive outcomes in the adoption of the technology. You don’t want to deal with issues such as confusion about e-signing the documents or logging in with your credentials every time. Also, you would want to stay away from unnecessary nagging due to prompts for installing plug-ins, software, and apps. These concerns can dissuade the users, and they would most likely leave the e-signature process. 

Therefore, it is advisable to go for a solution that can help in simplification of the e-signature process. It should make the e-signature process simple for customers as well as your internal stakeholders. You need to focus on certain questions such as the number of clicks a user has to make for signing a document, the method for sending documents for signature or the clicks or time take for creating an agreement. This would help you improve adoption of the e-signature technology alongside reducing the friction in contract acceptance processes. 

8. Facility for Company Branding

As a business, you go before your customers with a unique identity. Your brand speaks of your identity and differentiates you from the competition. Therefore, you need to understand that the e-signature vendor of your choice should provide facilities for company branding. It is mandatory to look for a vendor that can help you customize document workflows with your company logo. 

This would maintain your company’s identity among your clients and provide a consistent brand experience. When this experience combines with a hassle-free document viewing and signing experience, your business will mark a formidably positive impression on your clients. 

9. Integration with Business Applications and Processes

Your business must be dependent on various business applications for the management of daily tasks. Therefore, you need to check the e-signature platform integration into the internal processes of your business. The e-signature technology should provide users with the flexibility to integrate the e-signature app into the existing business processes. Selecting an electronic signature software that can be integrated effectively with common business applications such as Microsoft Word, Google Drive, and Dropbox would give a promising boost to employee productivity. 

Treat your electronic signature platform as an investment. Thus, aim to make the most of it by the facility of using them as per your convenience. You need to evaluate your common document workflows and find out approaches in which e-signature technology can be integrated with them. It is also recommended to evaluate the API of the e-signature solution alongside reviewing its other clients.

10. Try to Find Mobile-friendly Solutions

Being mobile is an inseparable part of the business environment today. Customers and internal stakeholders in every business are constantly dependent on their mobile devices such as smartphones for daily transactions. So, it is important to look for an e-signature vendor that can provide the facility of e-signing documents from a mobile device. The vendor should provide optimization of the signing process for all types of mobile devices and platforms. So, you should make sure that your customers can have a user-friendly experience in e-signing documents.

Also Read: Digital Signature vs Electronic Signature

Conclusion

On a concluding note, it can be stated that the aspects of security, legal validity, and usability should be the major factors to consider in selecting the right e-signature vendor. The discussion presented above has provided clear insights into the different points required to choose an electronic signature vendor. However, it is also important to look for the vendor’s association with your industry as well as their reputation in working with different clients in the past.   

So, have a focus on the above factors while choosing an e-signature vendor and find the best one!

Posted by Brian Felix, 0 comments
16
Jul
2019
Top 10 Electronic Signature Myths and Facts

Top 10 Electronic Signature Myths and Facts

Technological advancements have been the cornerstones of progress for human civilization. Over the years, we have witnessed the transformation of many essential activities and processes to the technological front. Electronic signature is one of such technological innovations. The applications of electronic signatures are widely observed in various fields, and it surely presents a reliable approach to reduce the piles of official documents in paper. 

On the other hand, many electronic signature myths are making ground everywhere. These myths are primarily developed as a result of misunderstanding and lack of detailed insights into the definition and working of electronic signatures. It is important to understand the hidden electronic signature facts behind these myths. 

So, this article would aim at outlining some of the notable e-signature myths to obtain a clear impression of the wrong and the right with e-signatures. In addition to this, the discussion would also focus on the facts about electronic signatures to understand them better. 

Before we move towards exploring some of the electronic signature myths and facts, it is justified to have a basic idea of what electronic signature is and how it works! 

What is E-signature and how does It Work?

The electronic signature can be defined as a digital version of the physical signature of an individual. It can be used for signing digital documents in different ways. Users can capture their signature on a document or use a click of a mouse button to sign digital documents. 

Voice-based acceptance could also be considered as one of the ways to sign a digital document. Electronic signatures first came into existence with the passing of the Federal ESIGN Act, in 2000. There are various types of documents which could be signed electronically, such as policy adherence documents, non-disclosure agreements, executive meeting minutes, business contracts, and terms of service contracts. 

Must Read: An Overview of UETA and ESIGN Act

Just like any other new technological innovation, electronic signatures also have found wide-ranging acceptance from different business owners. However, many others are still skeptical about the use of electronic signatures. So, it is essential to show a clear difference between the myths and facts associated with electronic signatures.

Let’s Go Through Most Common Electronic Signature Myths and Facts

Myth 1: E-signatures are not acceptable in court

Fact: The first and one of the most commonly noted electronic signature myths is that they are not legally binding. On the contrary, this is not true as electronic signatures have been considered legal, according to rulings, in most of the cases. All you have to do is prove consent and intent, like in the case of paper signatures to make it legally appropriate. Even if electronic signatures have been responsible for putting paper to rest for signing agreements, they have not left out legality. 

It is clearly stated in the Electronic Signatures in Global, and National Commerce (ESIGN) Act that a document or a contract cannot be considered null in terms of validity, enforceability or legal effect in its electronic form. One of the notable electronic signature facts clearly shows that a valid electronic signature would be associated with a record of the time, date, and IP address of the signatories. So, the myth that electronic signatures don’t stand up in court can be put to rest now!

Myth 2: E-signatures are not secure.

Fact: Another one of the common electronic signature myths is that they are not secure, which is completely not true. In the case of electronic signatures, all the legal documents are secured with encryption, and all electronically signed documents are immediately covered into PDF files for additional security. All types of legal documents could be stored online for any duration of time that you want. 

Most important of all, the audit trail or details of the time of a signature, time of opening a document, and the IP addresses of the signatories provide an excellent tool to verify the security of your electronic signatures. In addition to that, the majority of electronic signature software have firewalls and other advanced settings and protocols for protection against attempted breaches and other online threats. 

Myth 3: E-signatures are difficult to adopt.

Fact: You would also find one of the electronic signature myths regarding the difficulty in the adoption of electronic signatures. Yes, users could indeed require some time, and experience many difficulties in adopting new technology. However, it doesn’t happen in the case of electronic signatures. Electronic signatures could be integrated very easily and that too in very little time! With the paper-based route, you would be spending a lot of time in printing, mailing, and signing. 

On the other hand, you have to use the existing templates provided by the electronic signature software and change them if you want according to your needs. Then, just point out the areas which have to be signed and share the documents through email. This way, you not only save time but also make signing documents a much simpler task alongside considerable improvement in business productivity. Now the electronic signature technology seems quite easy to adopt, doesn’t it?

If you still think it is difficult to understand how electronic signature works, check out our previous blog on electronic signature workflow and get to know how easy it is! 

Myth 4: You have to spend a lot on e-signatures.

Fact: Electronic signatures are expensive! That is also one of the electronic signature myths you need to pay attention to. You can save a considerable amount of money through electronic signatures. Think of loads of labor hours spent in converting contracts to different formats for emailing. You don’t have to deal with that anymore when you have electronic signatures. Most important of all, you would also be reducing costs associated with running a paper-based office. 

With the use of electronic signatures, your office would not be dependent on purchasing paper, maintaining scanners, and printers or storage for signed documents. Moreover, you don’t have to pay any more for postage and courier costs. Even though all these factors are realized quickly, the myth surrounding expensiveness of electronic signatures emerges from the initial high costs. 

However, there is no reason to worry as electronic signatures can foster process innovation, thereby leading to better returns on investment quickly. In addition to that, evolving technological advancements related to electronic signatures have resulted in their availability at affordable prices. 

Furthermore, you don’t have to worry about storage of documents as you have cloud-based storage options with electronic signature software to keep away the massive file cabinets! With these functionalities of e-signatures, it is proven that they are highly favorable and cost-effective solutions as compared to paper. 

Myth 5: You need special technical skills for using electronic signatures.

Fact: The requirement of specialized technical expertise is another one of the widely spread electronic signature myths in the present times. On the contrary, one does not have to be a technical genius for using electronic signatures. A basic understanding of electronic signatures can be sufficient to use them effectively. 

Also, the e-signature solutions have made it easy to adopt and use an electronic signature. Easy steps, comprehensive guide, and quick support provided by the electronic signature vendors have removed the hassle associated with this new technology. So, even if you are not a technical person, you can easily use an electronic signature without any special technical skills.

Various companies which have adopted e-signatures have stated that employees find e-signatures easy to use and the companies were able to adopt the technology quickly. Therefore, this myth can also be debunked just like the other electronic signature myths which point towards the difficulty in the adoption of e-signatures. 

Myth 6: Electronic signatures are just a trend.

Fact: Whenever a new technology comes, it comes with a boom and after some time, the boom is over. The same most of the people think about the electronic signature that it’s just a trend. It is one of the e-signature myths that has made its space in the mind of most of the people. It is important to know the fact behind this myth to know the truth. 

The electronic signature is not just a trend, but it is present and future. More than 60 countries have introduced a specific set of laws and standards for validating e-signatures. It’s not because it’s a trend but it’s the innovation in the business world. 

 More than 60 countries have introduced a specific set of laws and standards for validating e-signatures. A large amount of data is generated every day by businesses, organizations, and individuals. To deal with the challenge of getting a huge number of documents signed everyday, electronic signatures are quick and efficient solutions. 

The businesses in different industries have been readily adopting electronic signature which was previously relying on the paperwork. So, the electronic signature fact is that electronic signatures are more than just a trend, they are the future.

Myth 7: All documents can be signed electronically.

Fact: One of the noticeable e-signature myths is that if used, an electronic signature can be used for any kind of documents. But the e-signature fact here refers to the type of documents that are not considered valid with an electronic signature. The documents could be outlined as follows:

  • Product recall notices.
  • Notices for cancellation or termination of utility services.
  • Court orders, notices, and related documents.
  • Codicils, wills, and testamentary trusts.
  • Family law documents such as divorce or adoption papers.
  • Legal documentation for transportation of hazardous materials.
  • Notices for cancellation or termination of life insurance or health insurance benefits.
  • Default notices and notices for eviction, foreclosure, or repossession.

So, it is important to know, though electronic signature can be used for different types of documents, there are many documents for which electronic signature cannot be used.

Myth 8: You need a certificate to use electronic signatures.

Fact: Electronic signatures and Digital signatures are two similar terms but both are different. Sometimes, people may get confused between digital signatures and electronic signatures. So, it becomes important to understand the difference between the two i.e. Digital signature vs Electronic signature.  

These are digital signatures which require a digital certificate for authorizing the encryption needed. Certificate Authority (CA) is responsible for issuing digital certificates. Generally, large businesses develop their in-house CA while smaller businesses and individuals tend to turn towards a CA provider to obtain digital certificates. Many digital certificate vendors provide various customized solutions for their electronic signature needs that may be availed either through a transaction-based or subscription-based payment model. 

So, in order to get over a few e-signature myths, it is important to understand the difference between digital signature and electronic signature.

Myth 9: The choice of e-signature solution does not matter.

Fact: This is one of the electronic signature myths which is primarily based on the premise that every e-signature solution in the market can be suitable for all organizations. There is no surety that you can choose one e-signature solution for on-premise deployment and another one can be utilized as a SaaS (Software-as-a-Service) scaling according to the needs of your business. 

Also, the selected vendor should be capable of using innovative technology in combination with comprehensive industry knowledge for better awareness of your common use cases. This can help ease the adoption process and provide better opportunities for success with e-signatures. 

Finally, the ease of use is also dependent considerably on the e-signature solution provider. So, you have to make sure that the electronic signature vendor could be able to provide the flexibility of e-signing irrespective of the place or device. Most important of all, the solution should provide a customizable graphical user interface as well as the flexible workflow that can be tailored to various channels and processes.  

Myth 10: Multiple electronic signatures cannot be managed.

Fact: This is one of the common e-signature myths spread among the newbies that it is not possible to manage multiple electronic signatures on a contract. On the contrary, electronic signature provides the facility of signing multiple pages of a contract by different signatories. Contemporary e-signature solution providers offer the facility of sharing one document across multiple signatories along with the account holder for the document. 

While some solutions would imply that you can limit the sharing of the document up to a certain number of signatories. However, if you need multiple signatories exceeding the particular number on a concerned legal document, then the document can be re-imported and shared among other signatories.   

Use of electronic signature can bring several benefits to you. If you have any doubt regarding the use of electronic signature, read out these 10 reasons to adopt e-signature for your business. 

Closing Notes

Now we have obtained clear insights into the different electronic signature myths and facts, it would be reasonable to focus on making the initiative! E-signatures not only help in cost savings but also introduced process innovation for businesses to improve productivity. 

Even though many electronic signature facts show the benefits possessed by them, people and businesses continue to doubt their functionality. However, attempts to clarify the misconceptions about e-signatures and large scale adoption could pave the path for a future in which paper is no longer needed for business documentation. 

Surely seems like a path towards a greener and better future, doesn’t it? Share your thoughts in the comment section below on it. If you have any doubt in your mind regarding the use of electronic signature, just mention it below and we’ll guide you through all the way.

Posted by Brian Felix, 0 comments
19
Jun
2019
What is an Electronic Signature (E-Signature)?

What is an Electronic Signature (E-Signature)?

It has been more than 20 years when electronic signatures been legal in the United States. Initially, when many countries started using electronic signature as a type of virtual signature, electronic signature (e-signature) was considered as a business luxury.

It took many years, and now, in 2019, electronic signature is well-recognized in the modern marketplace. Electronic signatures not only make the business transactions secure and convenient but reduces the cost.

Even after so much impact of electronic signatures on businesses, there are a number of people and business who are not familiar with the term ‘electronic signature’ as well the importance of electronic signature in the digital era. In this article, we’ll cover each and everything about the electronic signature, but let’s begin with ‘what is an electronic signature?’

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What is an Electronic Signature?

Electronic signature, commonly known as ‘e-signature’ and ‘e-sign’ is a legal concept, that is different from digital signature which is a cryptographic method used to implement electronic signatures. An electronic signature provides a precise and secure identification method to the signatory to provide a seamless transaction.

An electronic signature have equal legal value as that of a handwritten signature as long as it satisfies the requirements of the regulation under which it has been created. It is very simple to create an electronic signature, and once created, it can be added to any document, even along with other annotations like freeform text and check marks.

Definition of Electronic Signature:

In layman’s terms, an electronic signature, commonly known as e-signature, is an electronic expression of the agreement of a person to accept the terms mentioned in a particular document.

According to the US Federal ESIGN Act, that was passed in 2000, electronic signature can be defined as an electronic symbol, sound or process that is associated with a record or a contract logically. An electronic signature is created or adopted by a person in order to sign the record.

Now, you may be thinking if an electronic signature can really be symbol, sound or process!

Or you may be confused about what this symbol, sound or process is!

It basically means whenever a document is signed with an electronic signature, it is 100% legal standing whether it’s associated with a keystroke, a recorded verbal message, a selected checkbox or even a proposal.

To make it simple, let’s consider an example of an electronic signature.

Example of Electronic Signature:

With the technological advancement in this digital era, the documents are written and signed electronically. You may find electronic signature everywhere, even when you may not even be aware that you are using an electronic signature. Here are a few examples of the electronic signature:

All of you would be using Facebook. Whenever you click on the “Sign Up” you are agreed with and accept the Facebook’s privacy policy and terms of use. It means you sign those terms of use and privacy policy documents electronically with the e-signature. Such a click on the signup button is just like a keystroke, a process, that is an electronic signature example. Many other social sites and other web pages use this feature such as Twitter, MySpace, foursquare etc.

Another electronic signature example is signing the electronic pad. Many of you who have done online shopping would be familiar with this. When you do online shopping and purchase something by using your debit card or credit card at Walmart, you will have to put electronic signature while accepting the order. Many other store chains also use electronic signature like this such as Best Buy, Game Stop etc.

Is Electronic Signature Legal?

Of course! The electronic signatures are legalized and acts as a legal binding. In the United States, the electronic signatures are legal and recognized as the handwritten signatures after the approval of the following acts:

Combined together, these two acts – UETA and ESIGN ACT allow the usage of electronic signatures to replace the handwritten signatures. It is required that an electronic signature meets the four legal hallmarks of the e-signature. In simple terms, here are four requirements for an electronic signature to be recognized and validated by the US law, these are:

  1. The signer is who he/she claims to be. An electronic signature is the identity of the signer. If required, the identity of the signer could be authenticated or verified using a number of digital markers such as an IP address.
  2. The intention of the signer to sign is clear. The terms of the document/ contract/ transaction should have been communicated well with the signer. The signer should be intentionally agreed to undergo the e-signing procedure.
  3. It could be verified that the signature is associated with the signed document. This parameter basically involves the signing process such as how the document was signed, which process the signer completed, and which documentation supports the electronic transaction involving e-signature.
  4. The record should be retained by the creator or sender. The electronic signature records and documents should be created to retain and reproduce accurately for further reference by all the parties and individuals who are responsible to retain the record or contract.

Also Read: Ways to Future Proof Your E-Signature Investment

Types of Electronic Signature

If you are new to the term electronic signature, you may be confused about what forms the electronic signature and what’s the difference between different types of electronic signatures on the basis of legality and evidential power. Before getting into the different types of electronic signatures, it is important to understand the basics about the electronic signature.

E-signature is a mark that can be used on an electronic document to show the intention of the signer to submit his/her approval on the contents of the document. It is not important how the eSign is created but important is the person with whom the sign belongs to and the document that shouldn’t be changed subsequently.

As per eIDAS regulation, e-signatures can be categorised into different types on the basis of the level of security they provide. There are four types of electronic signatures:

  • Click-to-Sign Signatures
  • Basic Electronic Signatures
  • Advanced Electronic Signatures
  • Qualified Electronic Signatures

Let’s understand these signature one by one.

1. Click-to-Sign Signatures

Click-to-Sign category includes signatures in the form of scanned images, tick boxed, typed names, and e-squiggles. In this type, the document is not provided with any cryptographic protection. Due to which, this type of signatures neither verify the signatory nor protect the document to be changed. It is possible to cut and paste this type of signatures from one document to another easily. Using this type of signatures by own is not at all recommended.

2. Basic Electronic Signatures

Basic electronic signatures involve the process of applying a handwritten signature mark on the document by the signer which is then protected with a cryptographic digital signature. So, the basic electronic signatures allow the signer to create a crypto digital signature by using a server-held signing key so-referred to as a witness digital signature.

Whenever the user applies e-signature on any document, this witness digital signature is applied every time which binds the e-signature to the document cryptographically from any subsequent changes, thus ensures data integrity. Whenever the user apply e-signature on any document, this witness digital signature is applied every time which binds the e-signature to the document cryptographically.

3. Advanced Electronic Signatures

As the name suggests, being the advanced ones, advanced electronic signatures have a higher level of security. An electronic signature that meets the requirements mentioned under the EU regulation No 910/2014 (eIDAS-regulation) regarding electronic identification and electronic transactions in the internet market, is known as the advanced electronic signature.

eIDAS has created some standards regarding the use of electronic signatures with the intent to use them in a secure manner while conducting online business or official business over the globe.

An electronic signature must meet the following requirements to become an advanced electronic signature:

  • The signatory could be identified uniquely and linked to the signature
  • The signatory must have all the control of the data that was used to create the electronic signature
  • In the event that the accompanying data has been damaged or tampered after the document was signed, the signature must be identified
  • In the event that the accompanying data has been modified or changed after the document was signed, the signature must be invalidated

4. Qualified Electronic Signatures

A qualified electronic signature is actually an advanced electronic signature with some additional features. The qualified signatures are created with the help of a qualified signature creation device. Also, these signatures are based on a qualified certificate for electronic signatures.

The examples of the qualified electronic signatures are the electronic signatures created by using electronic National Identity documents and the electronic signature certificates stored on encrypted cards.

As mentioned in the national ‘trusted lists’ of the EU member state, the public or private providers those have gained the qualified status by a national authority can provide the qualified certificates for electronic signatures. The qualified certificate providers may provide a private key corresponding to a qualified signature creation device.

The Qualified electronic signatures are the more trusted and secure versions of the advanced electronic signatures as they have the highest levels of security in order to protect the user signing key. The advantage of qualified signatures is that they can exactly verify who has signed the document just as advanced electronic signatures.

So, these are the different types of electronic signatures as per different levels of security. You can choose one as per the level of security required for the document to be signed. For instance, to sign school forms, rental agreements, etc one can choose to use click-to-sign electronic signatures or basic electronic signatures. While dealing with invoices, business contracts, legal agreements, and other confidential documents, it is recommended to choose advanced or qualified electronic signatures.

It is important to look into the security factors while choosing an electronic signature solution for your business. Here are the top points you should consider while choosing an e-signature vendor.

Why Electronic Signature?

An electronic signature is a secure and legal form of signature and many businesses and enterprises opt e-signatures for their versatility, convenience, and cost-effectiveness. Electronic signatures have laid a great impact on businesses. Here’s what businesses can do with e-signature, and why should they opt e-signatures:

  • Verification of the Signatory’s Identity – An electronic signature uniquely identifies the signatory and verify that the signatory is linked to that particular signature. An e-signature is one of the most secure types of virtual signature that is accepted legally.
  • Associate the essential identifiers with the signing process – In business transactions, it is possible that one or more identifiers i.e. individuals are associated with it. In that case, electronic signatures help to associate all the essential identifiers with the signing process.
  • Easily store and retain the signed documents – Electronic signatures can be imparted on the online or offline documents which can be stored and retained easily. It is possible to keep a soft as well as hard copy of the e-signed documents, as per convenience and requirements.
  • Safely capture a binding and legal signature – Electronic signature is a legal signature that is as valuable as a handwritten signature. An electronic signature is a safely taken capture of the legal and binding signature that can be used whenever and wherever required.
  • Makes business transactions convenient and versatile – No doubt, with the legal acceptance and usage of electronic signature, the business transactions have become highly convenient and versatile. Even when the signatories are across borders, they can easily sign the documents with the electronic signatures.
  • Reduces the cost of business transactions – Business transactions were not so cost-effective before the legal acceptance and usage of the electronic signatures. While using there is no requirement of the digital certificates, also these are legally accepted, which reduces the cost eventually.

From the above points, it is clear that electronic signatures provide an easy, secure and legal means of signing that saves time, effort as well as money. It is not wrong to say, if you are the one who is looking for an effective, convenient, versatile, and cost-effective business transactions, you should adopt the electronic signatures.

Thinking to adopt the electronic signature for your business? Here are the points you need to consider while choosing an e-signature vendor.

What is the Electronic Signature Used for?

In the above sections, we have understood what is an electronic signature, examples of electronic signature, and why to use it. But you may be wondering about where an electronic signature can be used. So, in this section, let’s check out where you can use an electronic signature. There are various kind of documents that can be signed with an electronic signature such as,

  • Invoices, sales contracts, and NDAs
  • Employee paperwork, timesheets, and approve proposals
  • School forms, permission slips, and release forms
  • Leases, property, and other housing and rental agreements
  • Bank forms, tax documents, and insurance forms

An electronic signature can be used in different forms of documents in different areas that are being mentioned as follows –

  • In-state and self-government institutions communication – An electronic signature can be used in all types of documents that are to be submitted in the state or self-government institutions.
  • For legal transactions – To sign invoices, contracts, NDAs, submissions or any other type of documents separately or through accounting or recoding systems, electronic signatures can be used. E-signature has the equal value as that of the handwritten signature.
  • Empowerment of individuals – The documents issued by notary after the issuance of a power may be in the form of an electronic document, containing an e-signature. These e-signed electronic documents then can be shared with the authority that has requested the document and also can be used in the future.
  • Identification of Signatory – Whether online or offline, when you submit a document with an electronic signature, it acts as a proof of the identification of the signatory. For example, the e-signed leases, property documents, and other housing and rental agreements verify the identity of the signatory.
  • To ensure official communication with the customers – In businesses, entrepreneurs who require the receipt of services for their applications as a sample form, they can ensure and provide public access to the relevant forms. They can make those forms available in an editable form and allow customers to download them in order to fill them in the electronic form and signed with the electronic signature.

Above are the documents and forms where e-signature can be used. E-signature can be used at a number of places but not everywhere. Yes, you must be familiar with the exceptions where electronic signatures are still not valid. You can not use e-signatures while dealing with:

  • Marriage registration
  • Family law, and
  • Inheritance rights

So, it is clear now where it is legal to electronic signature and where not, which is very important to understand before using electronic signatures. Now, you can decide whether you should use electronic signature to verify a document or not. Also, you can choose the type of electronic signature on the basis of the level of security required for your document.

Also Read: Uses of Electronic Signature for Small Businesses

How does Electronic Signature Work?

In this digital world where e-signature has become a need of the hour, it is important for individuals as well as businesses to understand electronic signatures. E-signatures help to reduce time, hassle, and money in terms of signing the most important documents and they are easier to use even more than you think. If you want to learn how electronic signature works, you should know that there are many online available electronic signature software. So, let’s understand how does an electronic signature software work.

Nowadays, technology advancement has made everything easier. So, the modern eSignature software are designed as simple to use as possible. If you are an e-signature software user, you need to follow the below steps to collect one or more e-signatures:

Step 1: Upload an existing document or create a new document using the in-built tools of the software

Step 2: Define the fields properly that are required to be filled out by the responsible person such as date, address, signature, etc.

Step 3: Locate the fields wherever you want to place them in your document

Step 4: Make the final settings for the adjustment such as draft the message in the email, set up a signing order, and so on

Step 5: Share the document via email to the signatory to sign.

At the receiver’s (signatory’s) side, the signing process with the use of e-signature software is even simpler. When the sender signs an email, the signatory will receive an email or any other notification from the e-signature service such as create an account or sign in, upload a photo of your signature, create your signature using a stock font or other available method to sign the document.

The signatory can just open the document by clicking on the link given in the email and create/upload his or her electronic signature. Then he can just confirm and submit the signed document.

Also Read: Electronic Signature Workflow

Benefits of Using Electronic Signature

Electronic signatures are meant for individuals as well as businesses. When we talk about individual usage of e-signature such as using on invoices, timesheet, school forms, sales contracts, housing, and rental agreements, it brings benefits like a significant reduction in time, effort, money and hassle.

But when we consider the business usage of electronic signature, along with these benefits, e-signatures bring a number of other benefits for the businesses. So, let’s discuss the business benefits of electronic signature in detail.

  • Get documents signed fast – With an electronic signature, the document is signed very fast i.e. within few minutes. Signing a document with a handwritten signature would not also take time, but it takes time when the signatory is at distance. By using an electronic signature software, you can create and send any document to be signed over the boundaries in less than minute. The document is then received by the signatory and signed in no time.
  • Sign documents from anywhere – For the handwritten signature, the sender had to wait for days to weeks depending on the location of the signatory. Sometimes, it might not be possible to send confidential documents via post. Or when sent through email, the signatory would have to get the hard copy to sign, and again shared the scanned copy after signature. It might also take a few hours. But e-signature and e-signature software has made the signing process very simple. Now, wherever be the signatory, the documents are sent in email via e-signature software, and get signed within minutes.
  • Save money with e-signature software packages – There is no doubt that e-signature software has made the signing process simpler. Now, you don’t need to spend on getting hard copy of the documents and sending them via post to the signatory. Also, one can make big savings on the monthly and yearly packages offered by the electronic signature vendors. So, it brings business benefits of electronic signature in terms of investment.
  • Collect secure and legally binding signatures – As mentioned earlier, sharing confidential and signed documents via post or over internet might not be much secure. But e-signature software are secure enough to be used in order to share the confidential information and signatures. Besides, electronic signatures are secure and legally approved signatures, so you can create once and use them whenever and wherever required.
  • Effort and time saving to handle technical hassles – When you decide to use electronic signature for your business, organization or individual usage, you opt to use an electronic signature software. By using an e-signature software, businesses save their time as these software are not only easy to use, but comes with a support team of technical experts that is always ready to resolve all your queries.
  • Increased service and efficiency – Now, with the electronic signature, business and legal departments need not to cut down the business expenses by avoiding the services. But they should opt to use e-signatures like modern technologies to reduce their costs. An e-signature vendor helps the businesses to digitize all the important and confidential legal documents. Also, it helps to share and sign the documents in an easy, fast, and secure manner, independent of the number of parties involved.

So, if you are the one who has not yet used electronic signature or were just thinking about its benefits, it’s the time to take the action. It is important to get ahead with the advancement in modern technology, it always brings a number of benefits. So, to get the benefits of e-signature, use it now.

Read Now: Cost Saving Benefits of E-Signature

Electronic Signature vs Digital Signature

Typically, the electronic signature and digital signature, both are used interchangeably without any difference between the two, but both are the different terms. The main difference between digital signature and electronic signature is that digital signature is used to secure documents, mainly by the certification authorities, while electronic signature is used to verify documents, with an intention of the signatory to do so.

Let’s have a look at Electronic signature vs digital signature table below to understand the difference between the electronic signature and digital signature in a better way:

Electronic Signature Vs Digital Signature
Factor of Difference Electronic Signature Digital Signature
Purpose An electronic signature is used with a purpose of verifying a document. A digital signature is used with a purpose of securing a document.
Regulation An electronic signature is usually not verified by any authority. A digital signature is authorized as well as regulated by the certification authorities.
Types of Signatures An electronic signature is basically used to identify the signatory who signed the document/ contract for the verification purpose. It can be in the form of a symbol, sound, process, scanned image etc. The common types of electronic signature are – click-to-sign signature, basic electronic signatures, advanced electronic signatures, and qualified signatures. A digital signature is generally used to secure the document. There are commonly two types of digital signatures on the basis of document processing platform such as Microsoft and Adobe PDF.
Security An electronic signature is comparatively less secure as it is comprised of less security features, just to secure it not to be used by other people without permission. A digital signature is more secure than the electronic signature as it is comprised of more security features.
Intention The main intention behind using an electronic signature is to sign a document or contract in order to verify that. Generally, two or people involved in a contract, they sign a document to show their commitment, and that document becomes a legally binding between them. The main intention behind using a digital signature is to secure a document to keep it safe from the unauthorized people. It is authenticated by the owner of the document and also act as a legal binding.
Verification It is difficult to check and verify the owner of the document as an electronic signature is not certified. An electronic signature compromises integrity as well as the authenticity of the document. A digital signature can be verified to know the original author i.e. the owner of the document. It can be verified if the original document has not been tempered with, by any unauthorized access.

As electronic signature and digital signature are mostly considered same, as synonyms, it is significant to know the difference between the two.

It is important to understand that Electronic Signature and Digital Signature are similar-looking terms but different from each other. Here is the detailed difference between the two i.e. Digital Signature vs Electronic Signature.

Final Words

An electronic signature is basically equivalent to the handwritten signature. It is used to verify a document in order to confirm the terms of that document. It is not wrong to say that an electronic signature is a digitized form of a handwritten signature. An electronic signature acts as a legal binding between the participants, independent of their number.

It is absolutely secure and legal to use electronic signatures by individuals and businesses. The use of electronic signature has brought numerous benefits for businesses as well as individuals. If you want to save your time and money, and want to get rid of the hassle involved in signing business documents, choose an e-signature software and start using electronic signature from now.

Posted by Brian Felix, 0 comments