A contract is simply a written agreement. The goal of any contract is just to clarify and record what each side will do or not do as part of the agreement. Businesses use contracts all the time to make sure everyone understands what is going to happen in a business relationship.
A Contract Protects You AND Obligates You
Putting your agreement into a contract makes it legally enforceable. If the agreement is getting a certain product or service at a particular price, then the supplier can take the buyer to court if they don't pay, the buyer can also take the supplier to court if they fail to provide the service as promised.
The written contract allows a court to decide who is right or wrong if the transaction falls through.
When to Use a Contract Attorney like William L. Morris
You can use a contract for any agreement your company enters into. Common uses are sales contracts, supplier contracts, employment contracts, and real estate contracts. For many transactions, you can create a simple agreement without a contract attorney being involved.