What is electronic contract signing? 

Electronic contract signing — or e-contract signing — is the process of agreeing to a contract electronically and applying an electronic signature in place of a traditional handwritten signature. 

E-signing technology often incorporates security features, such as encryption and authentication, designed to protect document security and integrity. 

With the global e-signature market expected to grow at a CAGR of 26.7% between 2024 and 2030, businesses are increasingly relying on e-signing to streamline their workflows. E-signature supports efficient business practices, for example, speeding up the signing of new hire documentation and order forms. 

Benefits of e-signing contracts 

Implementing e-signature processes for contracts reduces costs and enhances security, while making the process more seamless and convenient for your team and clients. Let’s review the key benefits of adopting e-signatures. 

Convenience 

Electronic contract signing allows you to get critical signatures across different time zones and locations, and on multiple devices, speeding up the signing process and reducing turnaround times. By enabling clients with the convenience of e-signatures, you facilitate contract completion is straightforward and convenient. Making your contract signing process more intuitive for clients enhances the overall customer experience, fostering stronger relationships. 

Cost-efficiency 

Storing your contracts in the cloud and collecting electronic signatures reduces or eliminates typical office expenses like: 

• Printing and scanning 
• Office supplies 
• Mail and courier services 
• Manual administration 

Increased security 

A Box-sponsored IDC Technology Spotlight reveals that, for about 30% of organizations, increased security is the primary driver for deploying electronic signature solutions. 

E-contract signing software generally offers features like user signer authentication, encryption, and audit trails, meant to help ensure your signed documents remain tamper-evident and verifiable. These solutions can also support compliance with global standards and regulations, like System and Organization Controls (SOC), the International Organization for Standardization (ISO), and the Federal Risk and Authorization Management Program (FedRAMP). 

How to sign a contract electronically 

The electronic contract signing process can vary slightly based on your organization’s unique workflows, but here are the general steps typically included. 

1. Prepare your contract 

Finalize your contract and thoroughly review it to ensure all details are accurate and complete to avoid discrepancies or delays. Depending on your e-contract signing software, you can use reusable templates with pre-configured fillable and signable fields that simplify this process, minimizing the need to create and format your contracts from scratch every time. 

2. Choose your electronic contract signing software 

Electronic contract signing solutions can integrate with applications such as CRM and project management tools, allowing you to automate and optimize virtually every step in the contract management process. Here’s how: 

• Providing real-time updates enabling your team to track progress and take action as needed, reducing unforeseen delays 
• Reducing the risk of human error by ensuring necessary fields are completed before finalizing and sending the document 
• Storing signed documents securely in the CRM system, eliminating administrative work for your team 
• Generating and storing detailed audit trails automatically, simplifying the process of ensuring compliance 

3. Send a signature request 

Upload your contract to your e-signature platform and specify the email addresses of all parties required to sign. The software will send secure links and instructions on reviewing and e-signing the contract. This step initiates the actual signing process and notifies relevant parties. 

4. Authenticate and sign the document 

Electronic contract signing tools often include built-in authentication methods to help verify signer identities, such as email verification or multi-factor authentication. Once all the signers are authenticated, they review the contract and apply their signatures using their finger, a mouse, a stylus, or a pre-saved signature. 

5. Finalize and store the contract 

Once all parties electronically sign, the final contract is typically shared with recipients and made available for download. This step allows your documents to be securely stored and easily accessible for both future reference and auditing purposes. 

Power seamless, secure, unlimited e-signatures with Box Sign 

As part of the Content Cloud, Box Sign helps you simplify how your teams collect and manage e-signatures. 

Compatible with over 40 different file types, Box Sign integrates with your current applications and enables secure e-signatures right where your content lives, delivering a seamless contract sending and signing experience for your teams and customers. 

You can send unlimited signature requests at no additional cost, and your signers don’t need a paid Box account to sign documents. With authentication protocols, encryption, tamper‑proof controls, and the added data protection of Box Shield, you get secure end-to-end content management on one platform. 

Contact us today and see how electronic contract signing with Box Sign enhances your business workflows. 

**While we maintain our steadfast commitment to offering products and services with best-in-class privacy, security, and compliance, the information provided in this blog post is not intended to constitute legal advice. We strongly encourage prospective and current customers to perform their own due diligence when assessing compliance with applicable laws.