In the era of modern digital technology, electronic signatures have become one of the essential business tools that facilitate our daily lives and make them smoother and more effective. It is considered a modern and secure replacement for traditional paper signatures, as it allows individuals and companies to sign official documents and contracts in a completely digital form without the need to print and sign manually.
Therefore, the electronic signature raises many questions and inquiries among entrepreneurs. What exactly is it? What are its benefits and challenges? Follow along with us in this article as we explore the concept of electronic signatures in detail, their various forms that have different levels of security, and discuss in detail the many benefits of their use, from facilitating the signing process and saving time to increasing security and reliability. We also talk about the challenges faced by electronic signatures. Finally, we show you the ease of adding an electronic signature to your facility’s documents with the Qoyod accounting system.
What is an electronic signature?
An electronic signature is simply a signature in electronic form and is considered a process of confirming or authenticating an electronic document, including the conditions it includes, just as is the case with a regular manual signature with pen and paper. The electronic signature is considered similar to a paper signature from a legal standpoint. In many countries, it is recognized as a binding means of documenting legal agreements, financial contracts, and commercial transactions. The electronic signature came in line with the technological developments that we are witnessing in our current era, as it is a process in computers that uses complex algorithms, certificate authorities (CAs), and trust service providers (TSPs) to verify the authenticity of the signatory and certify the integrity of the document, and thus individuals and companies can use it to confirm their identity. They approve a variety of electronic documents securely and efficiently.
Electronic signature forms
The forms of electronic signatures vary to suit different needs and requirements and include the following:
1-Pictorial electronic signature
In a photo electronic signature, an individual’s signature is photographed and included in the digital document using digital image technologies. It is considered the least secure as it can be easily counterfeited.
2-Simplified electronic signature
A simple electronic signature consists of entering the signer’s name, or writing the signer’s initials and last name, at the end of the message or document, often accompanying the date and time of transmission.
3-Advanced electronic signature
Advanced electronic signature involves the use of strong cryptographic techniques to ensure security and authenticity, such as digital certificates and public and private keys. This type relies on advanced technologies that ensure that the signature is not forged and provide the highest levels of security.
4-Biometric electronic signature
The biometric electronic signature relies on the use of human characteristics such as a handprint, voice, eye, or even an electronic pen signature, so that this information is stored in an encrypted manner in the computer’s memory until it is later matched to ensure the authenticity of the signature, which helps in achieving the highest levels of security in verifying the identity of the person signing it.
Benefits of using an electronic signature
Using an electronic signature provides many benefits to individuals and companies alike; here are the most notable.
1. Ease of use
Electronic signatures greatly simplify the process of signing official documents online. Once the appropriate electronic signature platform is accessed, the user can sign documents quickly and easily without having to wait for documents to be physically delivered or rely on traditional methods of signing.
2: Saving time and effort
An electronic signature is an ideal alternative to traditional signature processes that consume a lot of time and effort. Instead of having to print documents, manually sign them, then scan them and re-send them, individuals and businesses can easily and quickly complete signatures online without wasting time and effort.
3-Cost saving
An electronic signature is an economical option for individuals and businesses alike, as it reduces the costs associated with the printing, scanning, and paper storage of documents. In addition, the use of an electronic signature reduces postage and shipping costs that may result from the traditional delivery of paper documents.
4: Increased security and credibility
The use of an electronic signature ensures high levels of security and credibility through the use of encryption and digital authentication techniques. Thanks to these technologies, the authenticity and reliability of electronic signatures can be easily and effectively verified, reducing the risk of document tampering and forgery.
5: Preserving the environment
In addition to saving on printing and ink costs, using an electronic signature helps reduce paper use and thus reduces paper waste. Instead of relying on paper printing, individuals and institutions can rely on electronic documents and thus contribute to preserving the environment and reducing negative impacts on it.
6-Easy tracking and monitoring
The electronic signature provides ease of tracking and monitoring signed documents, as electronic documents can be stored and managed centrally and securely. Thus, users can track signature records and see who signed documents at what time.
Challenges of using an electronic signature
Despite the many benefits of using an electronic signature, it also faces several challenges, the most prominent of which are:
1: Security and counterfeiting
Security and reliability are among the most prominent challenges facing an electronic signature, as the signature must be secure and protected against forgery and electronic hacking, which are easy in many forms of electronic signatures that do not use advanced technologies to protect the signature.
2: Rules and Regulations
Local and international legislation may differ regarding the legality of electronic signatures, which represents a challenge for the recognition of an electronic signature in some dispute cases even if its authenticity is proven.
3-Technical compatibility
The electronic signature must be compatible with various systems, programs, and applications used by individuals or establishments, which requires the use of advanced and compatible technologies and programs that can be expensive, which may be an obstacle for some companies and individuals to benefit from this technology.
4: Cultural and legal challenges
The electronic signature may face cultural and legal challenges in some countries and societies, as it may not be accepted in the same way as traditional signatures, and thus it may face challenges in building trust among individuals and institutions, especially in areas that require high levels of security and assurance.
Add an electronic signature to all your facility’s documents easily with the Qoyod system.
The Qoyod accounting system provides you with an integrated set of professional accounting services that help you complete accounting and administrative operations in your facility. Among these distinctive services is the ability to add a seal or electronic signature to all commercial documents in your facility. Which include purchase invoices, quotations, purchase orders, bonds, and credit and debit notes.
You can do this easily through the general printing settings in the commercial document settings within the general settings menu in the Qoyod system, and then copy the images of the stamp and electronic signature from the Paint program and paste them at the bottom of the page while adjusting the size and alignment as you wish.
In addition, you can add terms and conditions that suit your facility’s policies to appear in the facility’s commercial documents. When you save the changes, the electronic signature appears on all sales and purchase invoices that you issue later in your facility. Thus, this feature saves you the time and effort spent customizing documents every time you create them and also ensures the correctness of the information and consistency between all documents and invoices.
You can benefit from Qoyod services completely free of charge by easily subscribing to the Qoyod program to begin a free trial period of 14 days during which you can try all the services provided by Qoyod without the need for a credit card. During this period, you can cancel the subscription at any time or upgrade it to a paid subscription.
Conclusion
The electronic signature shows that it is not just a technological development but rather a revolutionary advance in how documents and commercial and legal transactions are handled. Through electronic signatures, individuals and companies can save time and effort that were consumed in traditional paper signatures, in addition to enhancing security and reliability in business operations. Thanks to technological developments, electronic signatures have become key to simplifying and accelerating processes and enhancing business efficiency. As electronic signature technologies continue to develop, it is expected that their use and spread will increase in various sectors and fields, making them an essential tool for individuals and companies in the age of digitization.
Feel free to take a great step into the world of technology! Make a difference in your facility and join the Qoyod accounting system, the best accounting program in the Kingdom of Saudi Arabia, approved by the Zakat, Tax, and Customs Authority. Add an electronic signature to all your commercial and financial facility documents easily and in simple steps so that you can then enjoy reliable, correct, and consistent documents.
