By On Your Terms co-founder Claire Bodle
August 2024
Business coaches, accountants, financial advisors and marketers are just a few of the professions embracing the ‘one-to-many’ approach to provide their services. The online course industry is booming, but regardless of whether your business is digital or hands-on, you’ll only succeed if you have the right business foundations in place from the start. One such foundation is having well-drafted legal terms and conditions with your customers. Here, we explain how the right T&Cs will legally protect your business, allow you to communicate clearly with your customers and help build that critical credibility and trust with your audience.
See our customisable Online Course Terms and Conditions to agree key terms with your customers, or our Coaching or Online Course Essentials Bundle for customer terms plus website terms of use, a privacy policy, and other useful legal information and checklists to get your business sorted from the get-go.
Also, see our blogs: Do I really need T&Cs? What’s the worst that can happen?, Empowering Creatives: How to protect your copyright and How to limit risk in your consultancy business.
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Legally protect your online course business
The online course industry is growing at pace, and it’s clear why. It offers mutual benefits of volume and reach for course providers and a competitive price point (compared to a one-to-one service) for their customers.
But, among the hype, it’s important to remember that because every business involves risk – the best way to limit this risk is with clear terms and conditions that outline the rules, responsibilities, and expectations for you and your course participants. Getting your customer T&Cs in place will help protect your business in the following ways:
- Protect your revenue – if you’re clear about what your participants will receive as part of your course, what’s excluded, membership benefits, how much is payable and when and the circumstances in which you provide refunds, you’ll prevent misunderstandings and hang on to course fees.
- Limit your liability – by outlining what your course does not cover and what you’re not responsible for (with appropriate disclaimers), you’ll protect your business against financial and reputational loss. For example, clarifying that a course participant can’t rely on course information to achieve a particular financial result. Including the maximum value of any potential liability for a successful claim against your business will also limit the size of your risk.
- Protect your IP - Your online course likely represents a significant investment of your time, effort, and expertise. By clearly stating your ownership of the course content, and prohibiting unauthorised copying, distribution, or resale of your course materials, you maintain the value of your course.
Communicate clearly with your online course customers
Effective communication is central to any successful business, and when your business model means you’re not personally interacting with your customers, it’s even more important for your written communication to display your business values.
In your customer terms and conditions, website terms of use and privacy policy, you can establish clear, unambiguous rules for both you as the course provider and the participants.
You can outline exactly what your customers can expect to receive, how you’ll collect, use and share their personal information, what they can do while on your site, and available remedies in case of any issues.
Build credibility and trust for your online course
Clearly articulated, balanced terms and conditions also signal to your customers that you’re committed to fair practices and customer satisfaction. When customers see you have taken the time to prepare reasonable terms, they are more likely to perceive your business as trustworthy and committed to ethical business practices. Balanced terms and conditions will also set realistic expectations, which help prevent misunderstandings and build long-term trust with your clientele. This transparency can be a differentiator in a crowded online marketplace and can contribute to customer loyalty and positive brand perception.
Having well-written terms and conditions is also an indicator of professionalism. They show the high standard your customers can expect to see in your online course and encourage your customers to perceive you as a credible and reliable provider. This professional image can differentiate you from less formal competitors who may not have such robust legal frameworks in place.
Customers will feel more confident enrolling in your course, knowing there are established standards and practices that protect their interests. This trust will help attract new business and also make current customers more likely to recommend your courses to others.
Key points
By investing upfront in clear terms and policies with your course participants, you are laying a strong foundation for the sustainable growth and success of your online course business. You’ll protect your business' revenue and IP, make sure customers know what you’re about, and encourage them to hit ‘purchase’ with the trust you’ve established. Prioritising this aspect of your online business can contribute significantly to its long-term success and sustainability.
By Claire Bodle
Co-Founder / On Your Terms
Claire has been a business lawyer in New Zealand and overseas for over 15 years. She is strongly focussed on using legal technology to deliver better legal services for Kiwi businesses.