Contract template for software freelancers

Introduction is to explain the purpose of the contract as clearly as possible. Give also a brief description of the contract’s or project’s background, and explain the parties of the contract; who will work at which company. It may also make sense to describe all the designations used of the parties in the contract.

This paragraph is to prevent misunderstandings and disagreements. If the work to be done involves more tasks or you want to make the contract more open, you can use bullet points.

Describe in detail what you are expected to produce and deliver to the customer. This protects you from situations where the client suddenly asks you to do different tasks or more work than agreed. If the task is not specifically agreed in the contract, do not do it. All additional work must be agreed separately.

Explain what the contract means but also what it does not mean if there are some gray areas that could lead to misunderstandings.

Include a separate section for possible changes. You can use this section in the situation we just described, where the client asks you to do new tasks or more work than agreed.

In this section, describe how you’ll bill for changes and that you expect the customer to pay for work that has already been done.

You can put both your own notes and the customer’s comments to this part of the contract. Give the client a chance to tell what they expect from you and the work to be delivered. This way you’ll show that you are cooperative and take the customer’s needs and wishes into account.

When will the project start and when it is expected to end?

We also recommend writing down the number of hours the work is expected to take you. This is to avoid a situation where the project is taking longer than the customer has agreed to pay you. Also, writing down the time estimation will ensure that you’ll receive a reasonable compensation for your work, regardless if it’s a fixed amount for the entire project or hourly rate based.

As an entrepreneur, you should play safe and not take a risk with the customer misunderstanding the payment details and cost of your work.

Write down the hourly rate or a fixed amount for the entire project, how the payment will be carried out and when the invoice sent by you will be due (payment period). Also describe the rate of interest that will be charged if the invoice is not paid on time.

If you have agreed that the project will be paid for in several installments after each completed phase, describe in detail when you’ll invoice the customer and what the payment period is.

In this section, provide any other important information that affects your work or the collaboration between you and the client. Such information may be, for example, who owns the content that you produce, who has the rights to use the content, confidential content, responsibilities and insurance.

Define two parts to be signed; one for yourself and one for the customer. Contract is a written agreement between two or, in some cases, more parties, and it’s important that all parties sign it.

By including these eight points you’ll ensure that both parties understand the details of the work to be done and avoid disagreements about them during and after the project.