How to Prepare Client Contract Agreements

Client contract agreements are legally binding agreements between you and the people you are offering your services to. It comprises the rights and responsibilities of both sides, set out expectations to achieve, and explains how issues are handled. These contracts are not meant to be traps to confuse people in a legal manner rather they are made to make the service's scope, deliverables, payment, and other contingencies clear.?

Freelancers usually do not prepare client contract agreements as the time for the service is shorter than in the formal work sector. But clients seek these contracts to have a guarantee of your services and to be able to hold you accountable if you don't fulfill the requirements. Due to that reason, you have to be able to familiarize yourself with the concept of contracts and be able to know how to formulate one.?

This article will guide you into the steps of how to prepare client contract agreements but before formulating one you need to know the contents of the contract briefly. Scope, payment terms, limitation on liability, ownership, and termination of the contract agreement are the basic ones. These clauses will be further discussed in the steps we put out for you on how to prepare a client contract agreement.?

1. Contact information

This contains the names, addresses, and phone numbers of both sides. This is where the credentials of the freelancer and the client are put. The names put have to be full names and avoid initials and to make the agreement more impersonal, you will have to use more generic terms like the client or service provider, in the next content of the contract. On here, you will have to put the exact date when you signed the contract to avoid any inconvenience created in the future.?

2. Scope of services

This is where the basics of your work are put. It is where you draw the line on what to do or not. This is very important as you can refer to this when you feel like things are out of your limit of work by saying "Hey, that's not in our contract.". This part should have a clear description of what your responsibilities are and although it might seem like a lot of work to break down each specific task you will do, it is very important for your relationship with your client. This section also determines your next section of the contract.

3. Payment terms

This section of the contract has to be written delicately without general terms on how, when, and how much the payment going to be. You can subsections to write your conditions on the payment. How your payment is going to be decided on how you agreed to do the work, by the hour or by the project when your payment has to be written very clearly so that the schedule for payment is respected very well, how much the payment is going to be can be discussed between you and your client but don't forget to write down the exact amount. In addition to all that, you can also specify your billing methods, if you prefer to get the money through a business check or direct deposit. This section must also contain the condition where your client fails to meet your payment terms and the consequences.?

4. Deadlines

This will be where your most responsibilities fall. Deadlines can be hard to meet for freelancers since there is no constant supervision on how the task is going but this section of the contract affirms you and your client when tasks are to be done and delivered. This is where your client holds you accountable. This will also create a sense of discipline in doing tasks on time to deliver them on time. Moreover, this is somewhat related to your previous section if the payment method depends on deadlines.?

5. Ownership

In a freelancing job, ownership of the product, especially in a designing job, is given to the client. As they are the ones paying you to do the job for them, it grants them full rights on how and where to use the product. But credits for your work will be given to you and it will look good on your portfolio. Additionally, you will need to identify work products and non-work products in the contract as well if need.?

6. Independent contractor terms

This is where you officially declare you are a freelancer. It is where you will specify that you are an independent and temporal (conditional) contractor for this task and you do not represent the client nor does the client represent you. Here you will also need to specify that the client will not supervise the day-to-day schedule and they will not provide any training for you.?

7. Termination of the agreement

This is written mostly at the end of the contract and it holds information as to how the termination of the contract will happen if both sides want a termination. You will have to specify the conditions where the termination comes from the client or you. It will also include if the termination comes from a breach in the agreement and must contain how it will be resolved. This will make your relationship with your client go smoothly even if inconveniences happen.?

These clauses are the common parts of the client contract agreement but they are not the only ones. There are examples and formats on how to write client contract agreements with more segments of the contract but understanding these basic ones is essential.

In conclusion, a freelancer must be able to provide a client contract agreement to be considered more professional and trustworthy. This skill will increase the confidence of the client in trusting you would accomplish the job very well. It also helps people perceive you as respectable and perceive your work as to be worthy of their time.?

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