How can we help?

How to Manage Multi-year Contracts

Noga Tubi
Noga Tubi
  • Updated
In this article, you will learn how to create and manage a multi-year contract

Overview

IT and procurement teams use Torii to manage renewals.

If you have all your contracts in Torii and a renewal notification already set up, you can rest assured you'll never be caught unprepared for a renewal.

But how do you manage renewals for multi-year contracts?

There are two methods to add contracts to Torii:

  Single Contract  Separate Contracts
Pros
  • Total contract value available
  • Easier to upload and maintain
  • 1:1 relation to the original contract
  • You will enable you to track your annual cost accurately when the contract value is different per year
  • It can be used for chargebacks and to compare expenses to contract value.
  • You will get a notification before each contract expiration, enabling you to consider canceling the contract after one year
Cons
  • You can't see your contract value per year and will not get notified 
  • You will manually have to enter each contract separately 

Adding a single contract for the entire period

  1. To upload a single contract go to the Renewal tab and click on the "Add contract" tab
    mceclip0.png
  2. Enter the initial details like the Contract name, Status, Application type, and Start and End date.
  3. Though Torii has a wide range of field types assisting you in adding contract information, you can also add your own by clicking on +Add Field".
  4. Click on the edit icon to add information to the field
  5. Keep scrolling down to discover additional fields you can use under categories like Owner, Certification info, NDA, and more.
  6. Click Save when done.
    mceclip1.png
  7. The contract along with all contracts added to Torii, will be available under Renewals >> Contract tab 
    mceclip2.png

Adding & linking separate contracts

Here, you need to add each contract separately (contract per year) and link the contracts to each other.

How to link contracts

  1. Add contract 1
    Note, we recommend populating as many details as possible about the contract in the Add Contract window.
  2. Duplicate contract 1 by hovering over it and clicking the duplicate icon
  3. In the Add Contract window, update the duplicated contract (contract 2) name
  4. Update the Start and End dates and any additional details

  5. Create a link from contract 2 to contract 1 by selecting contract 1 from the "Previous Contracts" dropdown.
    In this dropdown, you will see all contracts whose End Date falls BEFORE the Start Date of the contract you are adding or editing.
    Example: When editing an Asana contract whose start date is Dec 12 2023 only contracts with an end date of Dec 11th, 2023, or prior will appear in the Previous Contracts dropdown.mceclip0.png
  6. Once linking contract 2 to the Previous Contract (Contract 1)
    Contract 1 will automatically set contract 2 as the Next Contract
    mceclip1.png
  7. Make sure to add the Next Contract & Previous Contract views to your contract table
    mceclip2.png

Renewal notifications for multi-year contracts

There are two notification types for contracts.

  • Torii out-of-the-box notification
  • Workflow notification

Torii out-of-the-box notification

  1. From your user, select Notification settings
  2. Notification Settings is displayed
    • The default notification will send an email to the Torii admin 2 months, 1 month, 2 weeks, and 1 week before the contract end date
    • When creating multi-year contracts, the Upcoming renewal notifications will not be sent for contracts that have a "Next contract" in place - Meaning the notice will be sent only to the last contract
  3. The Upcoming renewal notification can be manually disabled

Workflow notification

You can create a workflow that notifies you and the app owner when a contract is about to end.

  1. From the Workflow tab, click on Start from scratch
  2. Select Contract meets criteria
  3. In Criteria setup >> TRIGGER SETUP, set your triggers to
    Status > Active 
    End date > days from

  4. If you don't want to receive a notification email for the first year to which you defined "Next Contract," add a filter with Next contract >> is not set
  5. Click Next
  6. Click the + button to select an action. In this example Send email

  7. Select the Send email action

  8. Add the email details
  9. Set the workflow to Active

Was this article helpful?

0 out of 0 found this helpful

Have more questions? Submit a request