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Construction contracts are agreements between two parties, typically involving an exchange of money for services, like building a house. While verbal agreements are legally binding, they are difficult to prove, making it crucial to get everything in writing. This is a vital rule to follow in business. The speaker shares a personal experience from their first six months in business, where failing to use written contracts resulted in a loss of about three thousand dollars, which significantly impacted their finances and took several months to recover from.
