Employment and HRAgreement
Non-compete agreement template
A non-compete holds up only when it is narrow: specific competing work, a limited area, a short time, and a real business reason. This template is built that way, with the limits in plain view.
Opens in the Salsox editor with 7 signing fields already placed for Company and Employee. Add their emails and send. The free plan sends 3 documents a month.
Who signs
- Company (you)
- Employee
Preview
Non-Compete Agreement
This agreement is made on 24 October 2026 between Ledgerwise GmbH, of Friedrichstrasse 120, 10117 Berlin, Germany (the "Company"), and Lena Hoffmann (the "Employee"), employed as Head of Enterprise Sales.
1. Why this restriction exists
In this role the Employee has access to the company's enterprise client relationships and its unpublished pricing and product roadmap, to which the employee has full access. The restriction below is limited to what is needed to protect that interest.
2. The restriction
For six months after employment ends, the Employee will not, within Germany, Austria and Switzerland, directly or indirectly carry on selling or leading sales of accounting automation software to companies with more than 500 employees, whether as an employee, contractor, consultant, director or owner, for themselves or for any of the following: Taxlyst AG, Bookstream SE and Clearfile GmbH.
Nothing in this agreement stops the Employee from working in any other role or industry, from holding up to 3% of the shares of a listed company, or from doing anything the restriction does not describe.
3. Compensation
In return for accepting the restriction, the Company will pay the Employee 50% of the employee's last monthly base salary for each month of the restricted period, paid monthly. If the Company does not pay, the restriction ends.
4. Release
The Company may release the Employee from the restriction at any time by written notice. Any notice period required by the governing law applies, and payment under section 3 continues until the release takes effect.
5. Informing a new employer
During the restricted period, the Employee will tell any prospective employer in the restricted activity about this agreement before accepting an offer.
6. Reasonableness
Both parties consider the restriction reasonable. If a court finds any part of it wider than the law allows, the parties intend it to apply in the narrower form the court will enforce.
7. Governing law
This agreement is governed by the law of the Federal Republic of Germany.
Employee initials: Initials · Employee
Signatures
For the Company: Signature · Company Date: Date · Company Name: Name · Company
Employee: Signature · Employee Date: Date · Employee Name: Name · Employee
These templates are general starting points, not legal advice. Laws differ between countries and states: check that a template suits your situation, or ask a lawyer, before you rely on it.
About the Non-compete agreement template
A non-compete agreement stops a departing employee from working for a competitor, or setting up as one, for a period after they leave. Courts and legislatures treat them with suspicion, because they limit a person's ability to earn a living. Some places ban them for most workers, others cap their length, and many require the employer to pay the employee during the restriction for it to be valid.
This template is drafted to be as narrow as the business reason allows. It names the interest being protected, the specific activity and competitors, the area and the period, and it states what the employee is paid for accepting the restriction. It also allows the company to release the employee from the restriction early, which some laws require to be done with notice.
Before using it, check the rules where the employee works: the maximum period, whether payment is required and at what level, and whether the employee's salary or role makes a non-compete lawful at all. A narrow confidentiality or non-solicitation agreement often protects the same interest with far less risk.
- Signers
- 2
- Signing fields placed
- 7
- Details to fill in
- 12
How to use this template
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Used in
Questions
Are non-compete agreements enforceable?
It depends heavily on where the employee works. Some jurisdictions ban them for most employees; others enforce them only if they are narrow, short, protect a real business interest and, in some countries, are paid for. Check local law before relying on one.
How long can a non-compete last?
Commonly between three and twelve months, and some laws set a maximum, such as two years. The shorter and narrower it is, the more likely it is to be upheld.
Is there an alternative?
Often, yes. A confidentiality agreement protects information and a non-solicitation agreement protects clients and staff, without stopping someone from working in their field.
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