The corporate world is moving towards cloud computing and paperless offices. Companies place a high value on real-time communication and fast transaction processing.
Over time, the methods used to sign documents, authorize transactions, and verify them have changed. It's hard to imagine spending days trying to validate and authorize physical documents.
The traditional method of document authentication was time-consuming and prone to compliance problems.
Digital signatures, which are used to verify the authenticity of documents signed by businesses, are becoming increasingly digital. Advanced encryption technology is used to protect digital signatures from fraud and information tampering.
What is Electronic Signatures?
An eSignature, which is an electronic version of a signature that uses the signee's digital identification, is a form of digital signature. It allows users to securely sign and transmit documents to confirm their authenticity. Digital signing encrypts documents and only allows them to be decrypted using the signee’s public key. This helps verify signee’s authenticity.
To authenticate financial transactions, agreements, sales/purchase deeds or any other important document, digital signatures can be used. Because it can't be altered during communication or documentation, electronic signatures protect the integrity of signed documents.
E-signature allows organizations to comply with legal procedures. Any Court of Law can accept digital signatures under the IT Act 2000.
Top 6 Reasons To Use eSignature Services in Corporate Businesses
Digital signature allows you to sign, send, and verify documents electronically, securely and without the need for hard copies or visits. This technology has enormous potential in today's corporate world. These are five reasons every company should have a digital signature.
You can save time and increase productivity with digital signatures. They are fast, secure, and efficient ways to sign and authenticate documents. Traditional methods of signing papers require that one first obtain the printed copies to be sent. The signee then signs and returns the document manually. This takes up valuable time. Digital signing allows you to sign, verify, and send any document anywhere in the world in just minutes.
Savings on Time and Money
E-signing can help you save both time and money, as we have already mentioned. E-signing solutions are cost-effective and don't require you to purchase paper, couriers, printers, or travel. You can save time and money by signing and sending the documents electronically.
Your data and documents are protected with digital signatures that offer unrivalled security. A document can only be opened by the public key of the signee after it has been encrypted using the private key of its signer. This ensures that the document's integrity cannot be compromised.
Authenticity & compliance
Digital signatures are a way to ensure that documents are authentic and in good standing. This reduces compliance risks. A digital signature allows a document to be easily verified against its public key. It makes it impossible for data manipulation or tampering to occur within minutes of the document being sent. It is mandatory for many government compliances, such as MCA or Income Tax return filing, to send digitally signed documents.
Streamlined document flow
Digital signatures make sure that documents flow seamlessly from signees to authenticators. Digital signatures can also be used in an existing workflow, business process, and application to ensure that all documents are signed at the same time. This streamlines all documentation for the company.
A complicated sales process is the worst thing for any company. A contract is required for most B2B sales transactions. If the client finds it too difficult, a company could lose sales.
Digital signing is convenient for clients because they don't need to spend time printing and signing, scanning and then sending the purchase/sale agreement. This ultimately increases revenue.
How can eSignature software help?
Digital signature software is a valuable tool, particularly for business efficiency. This is how digital signature can help establish a digital culture.
A timestamp, which is usually digital or eSignatures added to documents to provide a high level authenticity, includes the date and the time it was created. It is used to establish an auditable trial and accountability.
Digital signatures can be used for any purpose, from internal documentation to authorization processes to electronic signing of legal documents. It can be used for sale/purchase contracts, HR documentation, as well as filing e-tenders.
Through the use of digital certificate, digital signatures allow for maximum traceability to any document or transaction. The public key of any user can easily be traced back to the digital certificate issuer and verified as such.
Digital signature software streamlines the process by allowing bulk sign-off, making it possible for companies to sign many documents simultaneously.
Digitally signed documents are encrypted with private keys. Only the recipient can view them. This ensures that your organization is not vulnerable to digital vulnerabilities in documentation.
Digital signatures can be used on any platform, device, and application.
Use Cases to Learn How to Use Electronic Signage for Your Business
Businesses have endless possibilities with digital signatures, from document signing to transactions. Digital signatures are being used by thousands of Indian businesses. These are just a few examples of electronic signatures.
Mansfield Cables' company secretary used to have a difficult time renewing licenses or submitting ROCs. It was also difficult to update director identification numbers and file other legal compliance. The forms needed to be completed manually by authorized personnel were numerous and time-consuming.
The company soon introduced electronic submission of digitally signed documents. By filling out this form, the company secretary can file ROC, renew DIN and other compliances electronically. The paperwork has been greatly reduced. Mansfield Cable Company was able to follow the rules better than ever.
One of the most complicated banking policies in the world is the one that the State Bank of India has. Before 2004, authorizations were done manually by signing paper. SBI spent a lot of money and resources on authentication of transactions and documents at various levels.
SBI's business model was changed by the introduction of electronic signatures. Each employee has a digital signature. The branch manager can authorize and verify the service request from any computer screen. SBI branches no longer use paper internally. Since the introduction of digital signatures, customers no longer need to use paper for deposits, withdrawals or account opening.
Verification Of Identity
IRCTC allows passengers to have their agents book unlimited numbers of tickets. Even though the paperwork was sufficient to obtain an agent account, it was difficult to verify the identity of the person by logging into the agent portal. Some agents sold their credentials to others who were not authorized to have agent privileges.
IRCTC implemented digital signature verification to combat this problem. Each time an agent logs in to the IRCTC portal they must verify their identity using the digital signature. The digital signature ensured that only the agent could log in to the portal. It also eliminated the issue of multiple logins.
High regulations were applied to opening bank accounts, Demat accounts, and getting a SIM Card. Multiple documents had to be signed and both originals and hard copies of ID proof, address proof, and other documentation were required. Manual authentication was expensive and time-consuming. It also required a large workforce.
Aadhar ID, eSign and other services have revolutionized Indian banking and telecom. Any financial institution, telecom, government, bank, or other organization can use eSign services offered by NSDL to authenticate data from their clients/consumers using the OTP verification method.
The trustworthiness of digital signatures is a hallmark of the corporate world. Digital signature is a well-established technology in the US and western countries. However, it is still emerging in India.
Digital signing systems are being adopted by the Indian government, large organisations, and small businesses. E-signing offers many benefits, including data security, compliance and simplified information flow. It is the next big thing in Indian Corporates.
Don't delay if you don't have your Digital Signature Certificate yet. The earlier you get it, the better.