Electronic signature: what it is, its advantages and uses

In this post, discover what electronic signatures are, the types available in the market, their legal validity and regulation in Brazil, as well as the benefits and examples of uses.

Gone are the days when you had to send documents to clients and request them over and over again for your signature.

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With the development of digital technologies, it became convenient to sign documents remotely using electronic signatures. Nowadays, electronic signatures help companies improve and accelerate their activities.

The electronic signature has established itself as a technology that is increasingly present in our lives, bringing advantages and facilities to various sectors.

According to the Statista, the global electronic signature market was valued at around 4 billion dollars in 2022 and it should grow to more than 35 billion by 2029. But, after all, what is an electronic signature?

What is an electronic signature?

Electronic signatures are a vital part of many organizations' daily operations. It is faster, more secure, and cheaper than the traditional paper signature and has mechanisms to ensure that the document has not been altered and that the person who signed it is who they say they are, ensuring its authenticity, integrity and legal validity.

Broadly speaking, it can be defined as an agile, secure and auditable electronic record, which makes it possible to identify and certify the authorship of the statement and, in addition, guarantees that the content of the signed document is not modified after the signatures are finalized.

It can be performed using an electronic device, from anywhere and at any time, such as a computer or smartphone, without the need for travel or printing.

Clicksign is the first and only Brazilian company in the electronic signature market certified by ISO 27001 and 27701, which attest to the highest standards of Information Security and Personal Data Protection.

What are the types of electronic signatures?

A Provisional Measure No. 2,200-2/2001, the legal framework for electronic signatures in Brazil, established, in its 10th article, two types of electronic signatures: (i) the one that is carried out through the use of a Digital Certificate issued by an entity accredited by ICP-Brazil; and (ii) the one that uses other methods of electronic authentication of the signer, provided that they are accepted by the parties or accepted by the person to whom the document is opposed.

The standard privileged private autonomy by not establishing any hierarchy between types of electronic signatures. In other words, signatures made using an ICP-Brazil Digital Certificate, provided for in paragraph 1 of article 10, and signatures using other means of authenticating the signer, as provided for in paragraph 2 of the same article, are equally valid.

Years later, the Law no. 14.063/2020 electronic signature of documents came to be regulated in the context of “interactions with public entities, in acts of legal entities and in health matters, and regarding software licenses developed by public entities”.

The standard classified electronic signatures into three types: qualified electronic signature, advanced electronic signature, and simple electronic signature:

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Clicksign, a pioneering and leading platform in the Brazilian electronic signature market, provides its users with the possibility of making any type of electronic signature required by law, in a convenient, secure and legally valid manner.

Does electronic signature have legal validity?

Yes! In Brazil, the validity and legality of digital signatures have been consolidated over time and today there are no doubts about their acceptance in the legal world.

Take a look at the timeline of the evolution of legislation regarding electronic signatures over the past 25 years:

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According to Provisional Measure No. 2,200-2/2001, in private contractual instruments, for example, the parties exercise their freedom to choose the most appropriate signature to sign their documents.

If you are looking for greater security in authenticating signers, you can choose to use more refined authentication methods, such as facial biometrics, the PIX or even an ICP-Brazil digital certificate. On the other hand, if they are known parties with an existing relationship, they can choose to use simpler authentication methods, such as an email or telephone, for example.

Law No. 14,063/2020, on the other hand, provides that, unless expressly determined by law, any document that is not protected by secrecy can be signed with any type of electronic signature.

If there is a need to present an electronically signed document to a registry office or public agency, it is important to verify that there is legislation that determines the use of a specific type of electronic signature.

In acts of transfer and registration of immovable property, for example, Law No. 14,063/2020 requires the use of qualified signatures, or, in the case of the registration of private instruments for the purchase and sale of property as a public title, the use of advanced signatures is possible.

What are the advantages of using electronic signatures?

The electronic signature is a secure and efficient way of authenticating digital documents that has been gaining more and more space in contemporary society. Among its numerous advantages, both for companies and individuals, it is worth highlighting:

1. Agility: electronic signatures allow documents to be signed and validated in a matter of minutes, instead of days or even weeks, as with traditional signatures. This means less time spent on administrative tasks and more time to focus on strategic tasks.
2. Cost reduction: the use of electronic signatures can also help reduce companies' costs, since it is not necessary to print, scan, or send documents physically. In addition, electronic signatures also eliminate the need to spend money on stamps, stamps, and other stationery.
3. Safety: this is a secure form of document authentication, as it uses cryptography and digital certification techniques to guarantee the integrity and authenticity of electronically signed documents, ensuring that documents cannot be altered or falsified without this being detected.
4. Convenience: it allows individuals to sign documents from anywhere and at any time, as long as they have access to the internet. This is especially useful for people who travel frequently or who need to sign documents outside the office.
5. Responsibility: electronic signatures allow greater traceability of signed documents, which makes it easier to identify those responsible and carry out audits, ensuring greater transparency and reliability in your transactions.

Examples of uses of electronic signatures

The electronic signature is a valuable tool for both small entrepreneurs and large corporations.

For entrepreneurs, electronic signatures can be used to sign contracts with customers, suppliers, and partners.

In the enterprise sector, on the other hand, it can be used to accelerate hiring processes, such as the signing of employment contracts, business agreements, and other legal documents, such as:

• Signing purchase orders: accelerating the process of acquiring materials and equipment, improving the company's efficiency.
• Invoice signing: avoiding delays in the payment of suppliers.
• Subscription of financial reports: streamlines the account closing process and guarantees the accuracy of the reports.

In addition, the electronic signature can also be used to manage internal approval processes, such as approval of budgets, projects, and other critical documents for the operation of a company.

How to make an electronic signature?

There are several ways to make an electronic signature, but here are the key points for making your first signature.

1. Choose an electronic signature platform: there are several options available on the market. Clicksign, in addition to being a pioneer, is the only Brazilian company in the electronic signature market certified by ISO 27001 and 27701, which attest to the highest standards of Information Security and Personal Data Protection.
2. Create an account in the chosen system: you'll need to provide some basic information, such as your name, email address, and password.
3. Upload the document you want to sign: most software allows you to upload files in various formats, such as PDF, Word, and others.
4. Add the signers: choose the people who should sign the document.
5. Send the document or “envelope”: depending on the platform chosen, you can send the document or group of documents in numerous ways, such as e-mail, SMS and even WhatsApp.
6. Store the signed document: save a copy of the signed document for your own reference and file.

Finally, if you want to digitize your processes, as the main companies in the market do, in an applicable and legally valid manner, don't waste time and Try our platform now for 14 days free.