One of the biggest challenges for most businesses is confidentiality. A lot of businesses find sensitive information being dispensed or falling into the wrong hands. Businesses have to be careful when divulging information. Unfortunately businesses can’t function alone hence there is need for a non-disclosure agreement, or NDA. A NDA makes sure that the other party doesn’t use your information without your approval, or outright steal it. Below are five reasons to have a non-disclosure agreement in place.
1. If you are discussing the sale or licensing of a product or technology.
2. When employees have access to confidential and proprietary information.
3. If you a presenting an offer to a potential partner or investor.
4. If you are taking on a new client that has access to sensitive information.
5. If you plan to share business information with a prospective buyer.