Are they compulsory?

It is not compulsory to adopt a set of general terms and conditions - also known as delivery and payment conditions - but it is useful to do so. It means that you do not have to negotiate conditions every time you enter into a contract. It also avoids any misunderstandings which might otherwise arise between you and your business clients. For example, if anything goes wrong you might be held liable if you do not have any general terms and conditions.