How Freshworks Reduced Contract Negotiations by 60% Using Contract Certification

Most companies think about contracts as legal documents.
Freshworks discovered something different.

A contract certification became a sales enablement tool.

When Justin Widlund joined Freshworks in 2020, he inherited customer agreements that were lengthy, difficult to negotiate, and misaligned with the company's goal of creating a modern buying experience.

His mandate was simple:
Make contracts easier to understand. Make deals easier to close.

After simplifying Freshworks' primary customer agreement from approximately 30 pages to 8 pages, Justin submitted the contract for independent review through TermScout Certify™.

What started as a contract improvement exercise quickly became something much more valuable.

A trust signal.

Turning Contract Quality Into Sales Leverage

Rather than relying on legal teams to defend every clause, Freshworks began using its certification badge as independent proof that its agreements were fair, balanced, and customer-friendly.

Sales teams incorporated the certification into conversations with prospective customers, particularly in the SMB market.

"I told the sales team, anytime somebody says they want to negotiate,
show them our TrustMark and explain that we're best in class."

The result was immediate:

Negotiation volume dropped.
Legal friction decreased.
Sales cycles moved faster.

And customers gained confidence that Freshworks wasn't asking them to sign unreasonable terms.

Building Trust Before Negotiations Begin

According to Justin, the value of certification isn't just the contract review itself.

It's the credibility that comes from independent validation.

"The thing that brings me the most value with my
SMB customers to avoid negotiations is TrustMark."

For enterprise customers, negotiations still happen.

But for SMB buyers evaluating a significant purchase, certification creates confidence early in the process and reduces the need for contract discussions altogether.

As Justin explains, customers simply want reassurance that they're working with a company that treats customers fairly.

Why Freshworks Still Uses Certification Five Years Later

Five years after first adopting TermScout, certification remains embedded in Freshworks' contracting process.

Whenever major contract updates are proposed, the legal team considers how those changes will impact certification and customer perception.

Even as the legal technology market becomes increasingly crowded with AI tools, Justin continues to see unique value in independent contract certification.

Because while AI can review contracts, it can't create trust.

The Freshworks Takeaway

Most organizations assume contract intelligence helps lawyers review contracts faster.

Freshworks found value somewhere else.

The greatest impact came from transforming contract quality into customer confidence. By giving sales teams a credible third-party validation of their terms, Freshworks reduced negotiation friction, accelerated deals, and created a more efficient contracting process.

Because the most valuable contract intelligence doesn't just analyze contracts.

It helps customers trust them.