Client contracts are as crucial as other agreements a business gets into. These contracts are not only for established companies, startups with a few customers or freelancers should also have client contracts.
Like any other agreement, conflict can arise from this contract type. Thus, you need to draft a binding one.
In addition to the usual information to include in any agreement, such as involved parties and contact details, below are three elements of a client contract:
A description of your services or products
You should have a clause in your contract clearly stating what you will offer the client. If you are offering a product, describe it (its size, color, quality, the number of items to deliver and so on). If it’s a service, define the exact service, to what extent you will offer it and so forth.
Consider also listing what you will not offer. For example, if you are a cleaning company but don’t clean windows or carpets, state so in your agreement. Assuming that your client won’t expect you to clean their window or carpet because they are not listed among your services may lead to misunderstandings.
Timeline
Your client contract should state the timeline to deliver a product or service. This can help the client manage their expectations and plan their business operations effectively. Ensure you are realistic about timelines.
Payment
Payment terms (when and how to pay) are other crucial details to include in your client contract. It’s vital to make your payment system simple. You should also specify the expenses a client may be responsible for outside the particular period or service they ordered.
Whether you are an established business or a freelancer, client contracts can save you a lot of hassle. If you believe your client has breached your contract, learn more to determine the best way forward.