Do you operate a business that doesn’t sell any goods or products? Instead, you offer various services to a specific group of target customers such as body massages, aerobics fitness classes, or give expert advice through consultation, for example? Your business falls under providing service provisions to your customers. A service provision-based business doesn’t have any physical merchandise to sell. Oftentimes, if your business is under this category, you’re more likely to work with a particular client in a longer period compared to just selling a product and moving on after the transaction is finished. For example, if you’re giving cooking classes to your customers, you deal with them in a set schedule until the classes are done. To ensure that the business transaction is done legally between you and your client, you may want to sign up the client to an agreement that states they agree to the terms and conditions they need to observe to commence the cooking classes and to ensure that they will be paying for the classes they will be receiving. Making a service agreement is easy if you know what details to include. This article will guide you on how to make a service provision agreement.

10+ Service Provision Agreement Samples

1. Provision of Services Agreement

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Size: 64 KB

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2. Service Provision Agreement

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  • PDF

Size: 1 MB

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3. Provision Services Framework Agreement

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Size: 552 KB

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4. Application Service Provision Agreement

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Size: 47 KB

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5. General Service Provision Agreement

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Size: 217 KB

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6. Software Service Provision Agreement

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Size: 386 KB

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7. Sample Service Provision Agreement

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Size: 418 KB

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8. Electric Service Provision Agreement

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Size: 13 KB

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9. Legal Service Provision Agreement

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  • PDF

Size: 66 KB

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10. Service Engagement Provision Agreement

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Size: 319 KB

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11. Exchange Derivatives Service Provision Agreement

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Size: 67 KB

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What is a Service Provision Agreement?

A service provision agreement is a written document made between two or more parties that agrees to at least any of the parties will perform a service to another party in exchange for products or financial compensation. For example, a business that offers lawn care services to their client and in return, the client pays them for the services is a type of service provision agreement. The agreement is legally binding once both parties sign it.

How to Make a Service Provision Agreement

1. Identify the Involved Parties

The first part of the contract is to identify you and your client. Aside from putting your complete names and addresses, you should also point out who is the “vendor” or the “business entity” and who is the “client” or the “individual” to know who is who and this will help identify which party is responsible in following the provisions of the agreement.

 

2. Define the Services to Done

This section is where you provide a detailed and thorough description of all the services that you will be providing for your client. Let the client know what they are getting to avoid any misconceptions or expectations that may be met by you since it’s not included in the agreement. If you offer additional perks or services to the client, include them in the contract.

 

3.  Outline the Fees and Expenses of the Services

This section should outline all the costs of the services by creating a list of the services being ordered by the client and the price of each service. Don’t forget to include tax, discounts, and other miscellaneous fees (such as delivery fee, storage fee, etc.) also. It’s important to be transparent in the agreement to avoid any misunderstandings.

Don’t forget to explain your payment method terms to let the client know how and when they will pay the charges.

4. Define Other Important Terms of the Contract

You should also outline your terms regarding these clauses that should be present in the agreement:

  • Termination of the contract
  • Confidential information
  • Proprietary rights (if applicable)
  • Indemnification
  • Work order addendums
  • Any miscellaneous provisions and waivers (if applicable)

5. Include the Signature Lines

Agree by including signature lines where you and the client will sign it and include the date when you signed it, indicating that you both agree to the terms and conditions of the contract. Once the agreement is signed, it is considered to be a legally binding document where you and your client must adhere to follow your responsibilities for your transactions.

FAQs

What’s the difference between a service agreement and a contract?

Although a service agreement and a contract is similar, they have minimal differences from each other. A contract has a more formal outline compared to an agreement and a contract is legally binding while an agreement can be less rigid and formal.

Can you cancel a service agreement?

Yes, any party involved in the service agreement can cancel the agreement anytime. However, they are responsible for all the costs associated with the cancellation.

Once you’re done drafting the agreement, make sure to review it first by checking it to see if there are any errors in it. Discuss the agreement with your client first before you reach a mutual agreement with the contents of the contract by signing it. To help you get started making the contract, download our free sample templates above to use as your guide!

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