So you’ve downloaded your non-disclosure agreement template – now what? Before filling it out and sending it off, it is important to first understand:

1.    How it may impact your business and

2.   How to use it effectively

Whether you are the contractor, client, or partner in a new business relationship, here is a look at the pros and cons of signing an NDA along with some helpful tips for putting it to use.

Pros & Cons of Signing an NDA


  • Pro: Your reputation is protected

After signing an NDA form, both parties agree to keep their relationship and all information exchanged a secret – which can be beneficial in cases where projects are risky or may be perceived poorly in the public eye. Additionally, NDA’s also come in handy when working with a sub-contractor on a product development project, as these subcontractors are hidden from the public, and your reputation as an innovator remains intact.

  • Con: You cannot display work in your portfolio

The flip side of this situation is the fact that if you are a sub-contractor on a big project, you cannot display any of this work in your portfolio. You also cannot use the project for advertisement purposes, and you cannot disclose any information regarding the company that you worked with. This is particularly hard for newer companies just starting out, as they need portfolio items to attract more client-work and projects.

  • Pro: All data and industry secrets are protected

Both contractors and clients stand to benefit from the protection of their exclusive data, processes, and industry secrets. Without a signed and completed non-disclosure agreement template, all work performed together is at risk of being shared with third parties.

  • Con: NDA’s are often difficult to enforce

Even the most extensive sample non disclosure agreement may be vulnerable in court, due to the nature of NDA’s. This is typically due to an NDA’s vague terms, broad language, and intricate clauses that can make enforcement difficult. To make sure that you are protected, always adapt and tailor a standard NDA to each business situation.  

Using Your Non-Disclosure Agreement Template: Helpful Hints and Tricks


  • Make sure you have the right information

Before sending off your non-disclosure agreement template for signature, make sure that all of the information listed on the document is correct. Take a moment to verify all addresses and spellings, and make sure to double-check any discrepancies between an organization’s trading name and legal name.

  • Have all parties sign early

Timing is a huge factor when establishing NDA’s with potential contractors, clients, or partners. Try to send over your confidentiality agreement template or nda as early as possible – no matter how much you trust the other party. This will help to ensure that all information in the early stages of the business relationship remains protected.

  • Use a template for consistency

To keep things simple and efficient, make sure that you use a reliable non disclosure agreement template – and stick with it! You can adapt this core agreement to each specific situation, and then you can have your legal team refine the language over time if necessary. Having a base NDA document is the best way to ensure that you never miss anything.

  • Watch out for red flags

Throughout the entire NDA process, it is important to always be on the lookout for potential red flags. How do your contractors or clients respond when asked to sign a non-disclosure agreement template? Are they hesitant? Are they picky about the language? Do they brush it off like it is unnecessary?

If they do any of the above, you may want to take the hint that they are not a serious party to work with. Trust your gut – and if too many red flags arise, seek other contractors or clients to undertake business projects with. 


Here’s a sample Non-Disclosure Agreement template that can be easily customized and adapted to meet your requirements. It’s free to download and use.

Download your FREE Non-Disclosure Agreement Template In .doc Word format



Download a FREE Non-Disclosure Agreement Template in PDF format




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