Choosing a Contract Management Solution: Key Points to Avoid Common Pitfalls –

Finding the right contract management software can be challenging. Some vendors advertise incredibly low prices and impressive features, making it hard to tell what’s genuine and what’s just clever marketing. Remember, if something seems too good to be true, it often is.?

This guide will help you ask the right questions during your next demo to uncover hidden costs, limitations, and exaggerated claims that may not deliver what you expect.?

1. The “Set Your Own Price” Trap – Hidden Costs to Look For?

Some vendors use a “set your own price” approach, which makes you feel in control of your spending. It seems affordable at first, but once you sign up, essential features like custom templates, integrations, and reporting may come with extra charges. What seemed like a good deal can quickly turn into a budget nightmare.?

Questions to Consider:?

• “What features come with the basic price, and what costs extra?”?

• “Can you provide a breakdown of a typical bill, including any additional fees?”?

• “What will the total cost be over the next 1-4 years, including necessary features and integrations?”?

The Reality: This pricing model aims to attract you with a low initial cost, but as your needs grow, so do the extra charges. For finance teams, this unpredictability can complicate long-term budgeting and lead to financial strain.?

Why PoseidonCM Stands Out: PoseidonCM offers clear and straightforward pricing. Features like unlimited document storage, electronic signatures, and templates are included with no hidden fees. Our pricing model supports your budgeting needs, keeping your contract management costs predictable.?

2. Overhyping AI Features – Understanding AI Capabilities?

Artificial intelligence is a popular buzzword in contract management, and many vendors promise advanced AI features that sound revolutionary. However, the reality is often much less impressive. While AI can automate certain tasks, like extracting metadata and populating third-party data, some vendors exaggerate what their AI can do. Claims that AI can manage complex decisions or fully automate contract management are usually misleading.?

Questions to Consider:?

• “What specific AI features does your platform offer?”?

• “Can your AI handle the entire contract process automatically?”?

• “What tasks can your AI reliably perform today?”?

• “How do you protect customer data, and do you use client data to train your AI?”?

The Reality: Many vendors inflate their AI promises to differentiate their product. Claims that AI can fully automate contract management or eliminate all risks are often misleading. While AI is advancing, it still relies on human oversight for more complex tasks.?

Why PoseidonCM Stands Out: PoseidonCM takes a straightforward and honest approach to AI. We offer tools that assist with practical tasks, such as extracting metadata and identifying contract terms, without exaggerating their capabilities. We also prioritize your data privacy by not using client data to improve our AI.?

3. Implementation Times – How Long Will It Really Take??

Long implementation times can disrupt your entire contract management plan. Vendors serving large businesses often require 5-8 months or more for full setup. Getting caught in a lengthy process can hurt your team's morale, slow down productivity, and hinder overall system adoption.?

Questions to Consider:?

• “What is the usual timeframe for implementing your CLM solution?”?

• “What kind of support do you offer during the setup process?”?

• “Can you share examples of customers who finished implementation on time?”?

The Reality: A lengthy and complicated implementation can delay the benefits of the CLM solution, wasting resources and causing frustration. Knowing the expected timeline upfront can help you avoid unnecessary delays.?

Why PoseidonCM Stands Out: PoseidonCM’s implementation process usually takes just 2-4 weeks. Our dedicated team provides support for a smooth rollout, helping you start using the system quickly.?

4. Data Security and Compliance – Are You Meeting Standards??

Data security and compliance are essential, especially in industries with strict regulations. Many providers might claim to meet compliance standards but may not have the necessary certifications to protect your business from legal and financial risks.?

Questions to Consider:?

• “What compliance standards does your platform meet?”?

• “Where are your data centers located, and can clients choose their storage locations?”?

• “How do you handle data security and privacy at the application level?”?

The Reality: Some vendors may lack critical certifications, putting your organization at risk of fines and data breaches. Without proper standards, their solutions may not offer the security you need.?

Why PoseidonCM Stands Out: PoseidonCM is committed to data security and compliance. We allow clients to choose where their data is stored, providing strong protection at every level.?

?

Final Thoughts: Important Questions to Consider?

Choosing the right contract management solution involves more than just comparing features and prices. It's about asking the right questions to uncover potential traps, hidden costs, and inflated claims. Use this guide to dig deeper during your demos and get the clarity you need to make a smarter decision.?

Ready to see how PoseidonCM can help? Schedule a demo today to learn how our clear pricing, practical AI, and quick setup can help your team work efficiently.?