Want to get paid on time, avoid scope creep, and protect your work? Start with a solid freelance contract.
Here’s what a freelance contract does for you:
- Clarifies payment terms: Specifies when and how you’ll get paid.
- Defines the project scope: Outlines deliverables to avoid extra unpaid work.
- Protects intellectual property: Ensures you own your work until paid.
- Sets deadlines and milestones: Keeps the project organized and on track.
Skipping a contract? You risk late payments, stolen work, and endless revisions.
What to Include in Your Freelance Contract:
- Work Scope: Clearly describe deliverables, timelines, and exclusions.
- Payment Terms: Detail amounts, schedules, methods, and penalties for late payments.
- Ownership Rights: Specify when and how intellectual property transfers.
- Deadlines: Include start dates, milestones, and final delivery timelines.
- Termination Clauses: Cover exit terms in case the project ends early.
Use templates or contract tools to simplify the process and ensure legal compliance. A strong contract protects you and sets clear expectations for both you and your client.
How to Write a Freelance Contract [8 EASY steps]
Key Contract Elements
To protect yourself and your work, your freelance contract should cover essential components. These details ensure clarity and help avoid disputes down the line.
Work Scope Description
The scope of work spells out what you’re delivering, reducing the chances of miscommunication or unexpected tasks.
| Component | What to Include |
|---|---|
| Project Purpose | The overall goals and objectives of the project |
| Deliverables | Specific outputs with clear details |
| Timeline | Milestones and final deadlines |
| Communication | Review process and approval steps |
| Exclusions | Tasks or items that are not part of the project |
For example, a blog launch project might state: "Conducting keyword research, setting up WordPress CMS, writing and editing five cornerstone blog posts (1,500 words each), and performing SEO optimization for each post".
Payment Rules
Be upfront about payment terms to avoid confusion or delays:
- Payment Schedule: Specify when payments are due. For example, request a deposit upfront and the rest upon delivery.
- Payment Methods: List acceptable payment options and any associated fees. Payment experts highlight: "Making it easy for clients to pay through multiple payment options is crucial".
- Late Payment Penalties: Outline penalties for overdue payments, such as a small monthly fee for late balances.
Project Deadlines
Your contract should include:
- Start date
- Key milestones
- Final delivery date
- Time for reviews
- Revision periods
Work Ownership Rights
Sara Horowitz, founder of Freelancers Union, advises:
"Freelancers should always try to grant the minimum rights possible".
Ownership terms to include:
- Clearly state that intellectual property (IP) transfers only after full payment.
- Define how the client can use the work and any restrictions.
- Address ownership of work-in-progress.
- Include licensing terms if relevant.
- Specify whether attribution is required.
These elements are the foundation of a strong freelance contract. Up next, explore how to structure these clauses using helpful templates and tools.
Writing Your Contract
Finding the Right Template
SBLD offers a variety of contract templates that are reviewed by lawyers and tailored to specific industries.
| Feature | Benefit |
|---|---|
| Jurisdiction Selection | Aligns with local legal requirements |
| Industry-Specific Terms | Includes clauses tailored to your field |
| Customization Options | Easily adjustable to suit your project |
| Legal Review | Templates are reviewed by experienced attorneys |
Adjusting Contract Terms
Once you’ve chosen a template, make it work for your project by customizing key details.
Focus on these areas:
- Project-Specific Details: Add descriptions of milestones, deliverables, and formats. Clearly outline the payment structure.
- Additional Protection: Include clauses for confidentiality, non-compete agreements, dispute resolution, and termination to safeguard your interests.
Contract Writing Mistakes
Even with a customized contract, some common errors can lead to problems. Here’s what to watch out for:
Language Issues:
- Avoid using overly complex legal jargon.
- Steer clear of vague terms or inconsistent wording.
- Ensure all essential definitions are included.
Structural Problems:
- Don’t forget signature blocks or clear payment terms.
- Define the project scope in detail.
- Include clauses for intellectual property (IP) rights.
| Common Mistake | How to Fix It |
|---|---|
| Unclear Deliverables | Specify outputs with measurable criteria. |
| Vague Timeline | Use exact dates for milestones. |
| Incomplete Payment Details | Clearly state amounts, methods, and deadlines. |
| Missing Kill Fee | Add a clause for early termination compensation. |
For those who need frequent access, SBLD’s Unlimited Membership is available for $99/year, providing full access to their template library and advanced customization features.
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Contract Review and Storage
Final Review Steps
Before signing off on your contract, go through this checklist to ensure everything is in order:
| Review Area | Key Checks |
|---|---|
| Basic Details | Verify names, dates, and contact information are accurate. |
| Project Scope | Confirm deliverables, milestones, and specifications are clearly stated. |
| Payment Terms | Check payment amounts, schedules, and any late payment penalties. |
| Legal Elements | Ensure jurisdiction, termination clauses, and liability limits are clear. |
| Technical Details | Double-check file formats, revision limits, and quality standards. |
Address any discrepancies during this review stage, as making changes after signing can be challenging. Once complete, go over these points with your client to confirm mutual understanding.
Client Discussion Guide
When discussing the contract with your client, focus on these critical areas:
-
Payment Structure
- Explain payment amounts and schedules.
- Highlight any penalties for late payments.
-
Project Timeline
- Outline start and end dates.
- Review milestone deadlines and final delivery expectations.
-
Scope Definition
- Break down project phases and milestones.
- Provide a detailed description of deliverables.
Contract Filing System
After finalizing the agreement, store your contracts securely using these methods:
| Storage Feature | Implementation |
|---|---|
| Cloud Backup | Use encrypted cloud storage with automatic backup features. |
| Version Control | Keep a detailed history of changes and revisions. |
| Access Control | Assign user permissions to restrict access to authorized team members only. |
| Organization | Sort contracts into folders by client, project type, and year. |
| Retention | Retain contracts for at least seven years after the project is completed. |
Contract Tools and Templates
Small Business Legal Documents
SBLD provides over 2,000 contract templates, all drafted or reviewed by seasoned lawyers familiar with common law jurisdictions.
Here’s what you get with SBLD:
| Feature | Description |
|---|---|
| Template Library | Access to 2,000+ legal documents for various freelance industries |
| Customization | Interactive survey system for easy document personalization |
| Legal Compliance | A tool to select the right jurisdiction for governing laws |
| Document Types | Includes contracts, agreements, invoices, and complaint letters |
| Support | Option to request custom templates for unique business needs |
Membership options are straightforward:
- Annual Unlimited Access: $99 per year
- Lifetime Membership: $149 one-time fee
Contract Creation Tools
In addition to its extensive template library, SBLD offers tools that simplify the contract creation process:
| Tool | Features | Best For |
|---|---|---|
| SBLD Survey Tool | Automatically completes documents based on user input | New users needing step-by-step assistance |
| Document Builder | Guides you through contract creation with legal checks | Tailored agreements |
| Template Library | Pre-built frameworks for specific industries | Quick and efficient contract setup |
These tools help freelancers create contracts that are both specific to their industry and easy to customize.
Industry-Specific Resources
Freelancers in different fields often require contracts with specialized clauses. SBLD’s library includes templates such as:
- Creative Industry Contracts: Designed for designers, writers, and artists, including intellectual property clauses.
- Consulting Agreements: Focused on detailed scope-of-work clauses for consultants.
- Technical Service Contracts: Templates emphasizing deliverables and technical requirements.
The templates are written in general terms to suit various common law jurisdictions. With the jurisdiction selection tool, freelancers can ensure their contracts align with the governing laws most relevant to their clients, whether they’re local or international.
These tools and resources make it easier to create well-structured, legally sound contracts tailored to your freelance niche.
Summary
A well-written freelance contract safeguards both the freelancer and the client while establishing clear expectations. It helps avoid common problems like scope creep, late payments, and disputes over intellectual property – issues that many freelancers encounter.
"A solid freelance contract is like a good insurance policy – you hope you never need it, but you’re really glad it’s there when you do." – christinemaillet
Skipping a contract can lead to serious challenges. Take freelancer Luciano Viterale, for example – he had to wait months for payment because he relied on a simple handshake agreement.
Here’s a breakdown of the key elements that make a freelance contract effective:
| Element | Purpose | Impact |
|---|---|---|
| Scope Definition | Prevents project creep | Keeps deliverables clear and manageable |
| Payment Terms | Ensures timely compensation | Minimizes disputes and payment delays |
| IP Rights | Protects creative work | Clarifies ownership after project ends |
| Termination Clauses | Outlines exit conditions | Provides a clear process to end engagement |
Contracts should grow with your business. Regular reviews ensure they stay relevant. For complex projects or specific legal concerns, consulting with a legal expert can add an extra layer of protection.
"Having a freelance contract is good, but having the right clauses in your freelance contract is better. Those clauses limit clients’ irresponsibilities." – Dana Nicole
Tailor your contracts to suit each project, communicate terms clearly, and keep them updated to protect your freelance work effectively.