Australians have always had a soft spot for the handshake. It’s personal, it’s honourable, it’s a nod that says, “I trust you, and I’ll do right by you.” But in the world of business, relying solely on a handshake can land you in hot water.

I’ve seen it more times than I can count—business owners shaking on a deal, everyone smiling, thinking, “Yeah, that’s sorted.” But weeks later, deadlines are missed, payments go astray, budgets blow out, and suddenly that handshake feels like a ticking time bomb.

It’s not that Australians are untrustworthy—far from it. It’s just that memory fades, priorities shift, and human error happens. And when it does, that simple handshake can become a costly mistake.

This is where written agreements and the right insurance coverage come into play. And, if you’re running a martial arts school, gym, or fitness business, Martial Arts Australia Insurance Services (MAAIS) can be a game-changer.

Why Handshakes Alone Are Risky

Let’s break it down. You get a quote, nod in agreement, and shake hands. Feels easy. Feels friendly. But here’s the kicker:

• Scope creep: What was supposed to be a simple agreement expands, and there’s no record to show limits.
• Payment disputes: “You said you’d pay me this much.” “No, we agreed on that plus extras.” Memories differ, and now you’re in a legal grey zone.
• Delivery problems: If one party underdelivers, there’s no written proof to back your claim.
• Legal costs: Resolving disagreements can be expensive, and lawyers don’t come cheap.
• Relationship strain: Even the best relationships can sour when expectations aren’t documented.
  
  

Now, imagine you’re a martial arts instructor arranging a big tournament or running a gym. One slip-up could be more than inconvenient—it could put your business at risk. This is where MAAIS steps in, offering specialist guidance to ensure your operations are legally and financially protected.

Are Handshakes Even Legally Binding in Australia?

Technically, yes. Oral agreements are usually enforceable. Land deals aside, a handshake can sometimes stand in court. But just because it can work doesn’t mean it should.

The biggest challenge? Proving the terms of an oral agreement. Your recollection might differ from your client’s, and suddenly a simple verbal promise spirals into a stressful legal battle. And that’s not just about money—it’s about wasted time, stress, and potentially broken relationships.

Contracts Don’t Have to Be Complicated

Contracts get a bad rap. Long, boring, and intimidating. But here’s a secret: they don’t have to be.

A simple written agreement can be as straightforward as a quote or a short email. The key is to make sure it clearly outlines:

• Responsibilities of each party
• Payment terms and deadlines
• Risks and mitigation plans
• Scope of work
  

Even basic contracts provide a roadmap for relationships and expectations. And if your business involves events, fitness classes, or martial arts tournaments, having the right coverage arranged through MAAIS can mean the difference between a smooth operation and a financial disaster.

Understanding Contract Basics

A well-structured contract should cover:

• Parties involved: Names, roles, and subcontractors
• Duration: Start and end dates, or ongoing terms
• Definitions: Clear meaning of key terms to avoid confusion
• Deliverables: What’s expected, when, and how
• Payment details: Deadlines, late fees, and conditions
• Insurance & indemnities: Clarify responsibilities for potential losses
• Guarantees: Any director or personal guarantees
• Dispute resolution: How conflicts will be handled
• Termination clauses: How either party can end the agreement
• Special conditions: Unique requirements for your business

With a clear contract and support from a specialist broker like MAAIS, even the most complex agreements become manageable. They help identify where coverage gaps exist, what’s over-insured, and ensure you’re not paying more than you should.

The Value of Insurance in Business Deals

Contracts define responsibilities, but insurance protects your business if something goes wrong. For fitness and martial arts businesses, MAAIS provides tailored insurance solutions such as:

• Public Liability Insurance: Covers claims if someone is injured at your gym or martial arts school.
• Professional Indemnity Insurance: Protects you if coaching advice leads to financial loss.
• Event Insurance: Ensures tournaments, seminars, or fitness events are protected against cancellation, weather, or unforeseen disruptions.
• Cyber Insurance: Safeguards client data and digital operations.

For instance, a dojo hosting a tournament might face unexpected costs if a venue cancels or equipment is damaged. MAAIS can quickly arrange event insurance, so you’re not left paying out of pocket.

Real-Life Lessons From Handshake Deals

I’ve seen it first-hand:

1. Payment disputes: A service provider delivered work but had no documentation. When the client challenged costs, legal fees piled up.
2. Event chaos: A tournament organiser relied on a verbal deal. The vendor didn’t show. Replacement costs and client frustration followed.
3. Scope confusion: Fitness instructors were asked to add extra services mid-contract. Without clear terms, disputes arose.

All of these situations could have been mitigated with proper contracts—and the right insurance. MAAIS can review your operations, identify risks, and tailor policies to ensure coverage matches the actual activities in your gym or school.

How MAAIS Supports Martial Arts and Fitness Businesses

MAAIS isn’t just an insurance provider—they’re partners in protecting your business. Here’s how:

• Industry Expertise: Graham Slater brings 50+ years of experience in martial arts and fitness, and over 25 years in insurance. He understands the unique risks each school or gym faces.
• Policies: Whether it’s sparring, obstacle courses, gyms-within-gyms, or additional services like cafes and child-minding, MAAIS ensures your activities are covered.
• After-Hours Support: Claims, incident reporting, or new business? MAAIS is available when you need them.
• Quick Response for Events: Combat sports tournaments, seminars, or fitness expos? They arrange cover fast.
• Insurance Health Checks: Identify gaps or redundancies in your policies to save money and avoid exposure.

In short, MAAIS ensures that the right insurance is in place before anything goes wrong—so handshakes are a gesture of trust, not a gamble.

Tips for Creating Effective Contracts

Even simple contracts help prevent disputes. Keep these in mind:

1. Clarity is king: Avoid jargon; spell out responsibilities.
2. Define scope: Clearly outline included and excluded work.
3. Payment terms: Deadlines, penalties, and conditions.
4. Insurance details: Specify minimum coverage and responsibilities.
5. Termination clauses: How can either party end the contract?
6. Dispute resolution: Agree on mediation, arbitration, or court.
7. Special conditions: Highlight anything unique to your business.

Paired with MAAIS insurance, these contracts form a strong protective layer.

Peace of Mind Is Priceless

Business owners who combine written agreements with specialist insurance gain:

• Predictable cash flow
• Clear expectations with clients
• Reduced legal headaches
• Protection against unexpected events

Whether you operate a single martial arts school or a chain of gyms, MAAIS can design insurance packages that fit your business like a glove—covering public liability, professional indemnity, event risk, and more.

Final Thoughts

Handshakes are wonderful—they signal trust, friendship, and the celebration of a deal done well. But in business, they should never replace written agreements and proper insurance.

By documenting responsibilities, clarifying payment terms, and arranging the right coverage through MAAIS, business owners protect themselves from common risks. It’s the smart, professional approach that ensures you can focus on growth, not on what could go wrong.

So next time you’re tempted to seal a deal with just a handshake, remember: put it in writing, secure the right insurance, and let MAAIS help you sleep easy.