Keeping your best employees and preventing them from taking essential information to your competition is critical for protecting your business. Drafting an enforceable non-compete agreement can help you maintain your competitive edge.
The words that compose your non-compete agreement are important, but it can be equally vital to know what should not be in your non-compete agreement.
Here’s what you should exclude from your company’s non-compete agreements.
As you establish your network, you will encounter people who have made their share of mistakes. While you should take opportunities to learn from their mistakes, you should also verify their advice to make sure it applies to your situation.
In some cases, new information can sound like reasonable information. Specific advice may work wonders for another business but could cause problems for you and your employees.
When another business owner gives you advice about your non-compete, verify that their suggestion is helpful in your situation. Talk to a knowledgeable professional who understands non-competes and ask how you should proceed and the pros and cons of your colleague’s advice.
You may know that it is essential to update your non-compete so that it is accurate for your situation. While you are adding new information, check to see if there are old clauses that are outdated.
In some cases, an outdated clause can contradict a newer clause or even the intent of the non-compete agreement. As you are going through the updating process, consider both what you should add and what you should remove.
Drafting a non-compete that will hold up in court can be essential to your business. You should consult with a professional about what your non-compete agreements should include.