You'd never renew an office lease without checking the market. You wouldn't let your landlord set the terms, skip the negotiation, and call it done. But that's exactly what most companies do with critical vendor contracts.
You have leverage right now that disappears the moment the contract auto-renews. The question is whether you use it.
Renewal date, notice deadline or quote in hand? Bring the contract and the date to a 30-minute call. We'll compare it against what companies your size pay across 967 providers and tell you where the number should land. Talk to us →
The Contract Renewal Calculator finds your notice deadline, and the IT Renewal Calendar puts every renewal date in one view.
Questions buyers ask before a renewal
Why did our contract auto-renew when we meant to renegotiate?
Most telecom, managed service and software contracts renew by default unless someone gives notice before a deadline, often 30 to 90 days before the end date, and often in a set form such as written notice to a named address. If nobody tracks that date, the contract renews on its renewal terms, sometimes at a higher rate. See auto-renewal clause and non-renewal notice period.
How early should we start?
Work back from the end date. The notice deadline comes first, then the time you need for approvals, then the time a replacement needs to be ordered and installed. A new internet circuit can take weeks to months to install, so the real decision date is often months before the contract ends. The Contract Renewal Calculator gives you the notice deadline and 120, 90 and 60-day review dates.
Should we renew, re-bid or bring it in-house?
Compare all three over the same number of years, counting the full cost (including one-time and transition costs), how the service performed against its SLA, and what leaving would take. A re-bid only creates leverage if the alternatives are real.
What should we negotiate at renewal?
The renewal price and any cap on increases (see price escalator clause), the length of the new term, the notice window, what happens at the end (another term or month-to-month), termination rights if the service falls short, and how you get your data and services out if you leave. Check what the vendor owes you if the service fails, too. Many contracts cap it at a few months of fees, far below the damage (see how a $400,000 problem can be capped at $36,000).