What type of electronic signature do I need for my business processes?

Today, signing documents electronically is commonplace. But not all signature processes are the same, nor do they offer the same level of legal backing. Choosing the right type can help you protect your business without making life difficult for your customers.

In this article we explain, in a simple way, the types of electronic signature, their legal coverage and when it is convenient to use each one. In addition, we will give you some keys to avoid friction in the process and improve the signing experience. Let’s get to it!

According to the eIDAS Regulation (the European legal framework governing identification and trust services in electronic transactions), there are three main types of electronic signature. This regulation aims to provide legal and technical security for digital transactions throughout the European Union.

The types of signature are:

• Simple electronic signature:
  • Ideal for low risk processes.
  • It can be a click, an acceptance by mail, or signing with your finger on a screen.
  • It is legally valid, but offers fewer guarantees in case of dispute.
• Advanced electronic signature:
  • More secure. It is uniquely linked to the signatory.
  • It requires mechanisms such as SMS authentication (OTP) or biometric data capture (e.g., the way you sign with your finger).
  • Suitable for signing contracts and important documents that involve more responsibility.
• Qualified electronic signature:
  • The most legally robust. Equivalent to a handwritten signature before a notary.
  • Requires a qualified digital certificate issued by a recognized provider (e.g., the Fábrica Nacional de Moneda y Timbre in Spain).
  • Very useful for agreements of great economic or legal impact.

Although the qualified signature is the most secure, it can also be the most complicated to use. Why?

Because it requires things that many users do not have on hand: a digital certificate, a previous installation, or going through a video-identification process. This can slow down or even prevent the customer from signing.

Therefore, the key is to balance security and usability: choose the type of signature that offers sufficient legal backing, but without generating unnecessary friction.

Here’s a simple rule of thumb:

Always think: what would happen if this document is challenged before a judge? The greater the risk, the greater the legal coverage must be.

The biggest challenge of electronic signatures is to prove who actually signed. For that, there are different mechanisms:

• OTP (SMS code): Easy and quite secure.
• Video identification: Very reliable, although somewhat slower as it involves data collection and evaluation to avoid fraud.
• Digital certificates: Very secure, but not everyone has them.

The stricter the identification mechanism, the more probative value the signature has. But it can also complicate the user experience. The trick is not to demand more than necessary.

A signature process must be agile and accessible. Being able to send it by mail, SMS or even certified WhatsApp, allows your customers to sign from any device, without barriers.

The multichannel and channel switching based on the signer’s behavior, not only improves the experience, but increases the rates of completed signatures and reduces time.

Every business is different. Therefore, it is ideal to have a supplier that offers flexible solutions and helps you to adapt the signing process to each specific case.

Find an ally to help you:

• Choose the most appropriate type of firm according to the risk.
• Minimize friction in the user experience.
• Use different channels to facilitate the process.
• Comply with legal requirements in a simple way.

Choosing the right type of electronic signature is not just a technical decision, but a strategic one. It is a matter of finding the balance between the legal security you need and the ease of use your customers expect.

🔐 More security ≠ better experience
🎯 The best signature is the one that adapts to your business process.