Contract Administration in a New Business: A Beginner’s Guide to Office Administration
Contract administration plays a vital role in the daily operations of any new business. It involves overseeing contracts made with customers, vendors, partners, or employees, ensuring that all agreements are clear, legally sound, and beneficial for business growth. For young entrepreneurs or future office administrators, understanding how contract administration works is essential to keeping a business professional, organised, and protected.
This guide introduces the key responsibilities of contract administration and how it fits into office administration—the backbone of any business setup. It also connects the dots with how to start a business, giving learners a real-world look into the processes that support smooth operations right from the start.
Understanding Contract Administration in Office Administration
Contract administration is a core function within office administration. It ensures that every agreement the business enters into—whether with staff, suppliers, or clients—is properly managed from start to finish.
Why It Matters:
Protects your business legally
Tracks key deliverables and deadlines
Helps maintain healthy professional relationships
Prevents miscommunication and disputes
As a young person looking to get into office administration, learning contract management skills gives you an edge. You’ll understand legal language, deadlines, negotiation tactics, and what needs to be recorded to ensure a business runs like a well-oiled machine.
How to Start a Business with Strong Contract Administration in Place
When you’re learning how to start a business, contract administration might not seem like the first priority—but it should be.
Contracts are part of:
Hiring staff or freelancers
Renting office space or equipment
Partnering with suppliers
Selling services or products
Without a clear understanding of contract terms, many new businesses run into avoidable issues. Learning these skills early will help you avoid common mistakes and build a trustworthy, professional reputation
Skills You’ll Learn in This Course on Office Administration and Starting a Business
Whether you want to become a skilled office administrator or you dream of launching your own company, this course teaches practical skills like:
How to read and interpret contracts
What to include in employment, service, or lease agreements
How to negotiate contract terms
The steps to file and track contract changes
How contract administration fits into the big picture of running a business
Overview
Acquiring contracts and analysing performance requirements, employing fundamental risk management techniques in performance management, comprehending contract changes and handling disputes, and guaranteeing compliance and the administrative closure of contracts are integral steps in effective contract management.
Description
Learners working towards this standard will be learning towards the full qualification, or will be working within a SMME (Small, Medium, Micro Enterprise) environment, specialising in New Venture Ownership and Management, where the acquisition of competence against this standard will add value to one’s job. This standard will also add value to entrepreneurs who are seeking to develop their entrepreneurial skills so that they can become more marketable for bigger contracts, including commercial and public sector contracts, for example the Department of Public Works programmes. The qualifying learner is capable of obtaining contract and analyse performance requirements, applying basic risk management techniques in managing performance, demonstrating an understanding of contract changes and disputes and ensuring compliance and administrative close-out of contract
- Contract document is obtained and interpreted in relation to the original business proposal
- Contract document is analysed and a basic contract administration plan is drawn up to ensure effective contracts management
- Risks of non-compliance are evaluated against performance requirements and a basic risk management plan drawn up to avoid non-compliance problems
- Risk management plan relating to contract is implemented in line with contract requirements
- Common risk areas are identified and quantified against contract performance requirements and original risk management plan
- Contract progress reports are obtained and measured against performance requirements and risk management plan
- Surveillance of risk areas is conducted and appropriate corrective action is taken to avoid negative risk
- Contract terms and conditions relating to changes and disputes are identified and understood in order to effectively manage the contract
- Change and dispute processes are implemented where relevant
- Changes and disputes are negotiated and documented in order to proactively address potential areas of dispute
- Where necessary, external advice is sought in dispute resolution to ensure that unnecessary negative business risk is avoided
- Work and performance results are evaluated against contract deliverables to establish that work is completed effectively
- Contract terms relating to contract termination are understood and implemented according to contractual requirements
- A basic audit is conducted to ensure that all parties have complied with their obligations
- Contract is signed off and final administrative procedures are dealt with in order to ensure closure of contract
- Non-accredited: Short course only
- Duration: 1h 30m
- Delivery: Classroom/Online/Blended
- Access Period: 12 Months
