How to Write Contracts

Behind every great project, is a great contract.

Last week, we talked about the number one freelancer mistake to avoid: scope creep. By managing expectations, you can ensure you and your clients have the best experience.

Now that you know what to avoid, how do you get the actual service contract together? 

During initial conversations with a prospective client, you should ask them questions about what they want, what value it brings them, when they want it by, and what their budget is.

Proposal

After organizing all that information together, you should set out to create the proposal. The proposal serves to list out everything that will be done, when it will be done by, and how much you will charge the client. 

It's important to note that this proposal isn't a final or legally binding document. It's the first step in a negotiation. You're basically saying, "Hey, you asked for this, I will do this, and I will charge this much. How does that sound?"

The proposal is acrucial step in the freelance experience. It shows the client that you understand their problem and are willing and able to provide a solution to them.

If the client doesn't accept the proposal, it's time to negotiate. 

Remember: don't lower your prices just because the client asks. Have a conversation to discover what items in the proposal are worth more to them, and which ones be removed. Provide the highest amount of value, for the biggest bang for their buck. When it goes well, they'll come back to you for future work.

If the client accepts the proposal, congrats! Time to move on to the contract phase. 

Contract

The contract is the legally binding agreement between the client and the freelancer. This document re-iterates what was in the proposal, but also declares when the work will start, when it will finish by, and how payments should be handled. 

All that is wrapped together with service contract legalese, and a signature from both parties.

Once signed, and any deposits paid, work starts on the date listed in the contract.

That's it! From the initial conversation to the proposal to the contract, you've now got a legally bound working relationship.

Speeding it all up

Here's the kicker: I hate writing proposals and contracts. In all the work I do, it's the one area I'd rather spend less time in.

To make this whole thing easier, I use AND.CO (starts at $0/month).

With AND.CO, I write my proposal, it generates the contract, and also includes the necessary legal documents. These legal documents cover the service agreement, confidentiality and non-disclosure agreements, and even a harassment clause.

The client receives an email copy of the proposal, where they can read it, accept it, digitally sign, and then pay the deposit. All within a few clicks.

AND.CO has saved me hours of work, so I gladly recommend it to any new freelancer.

Bringing it Home

Proposals and contracts are the "not fun" parts of being a freelancer. It took me a long time to find a rhythm that worked for me. Once I did, I was able to send them out the same day, and get the deposit paid within hours of a client call.

And who wouldn't love that?

PS: Thank you so much for signing up for the newsletter. I feel honored that you'd want me in your inbox and even luckier that you want to read what I have to say. 

Do you have any questions about starting a small business or freelancing life? Feel free to reply to this email, DM me on Instagram, or hit me up on Twitter!

PPS: I’m going to start adding an App and Website of the Week section at the bottom of each email. Let me know what you think!

App of the Week

This week’s app, SelfControl (free, macOS), lets you block distracting websites for up to 24 hours at a time. This is god-send on the days I keep finding myself on Reddit or YouTube.

Website of the Week

This week’s site is Dynamite Jobs, my absolute favorite remote job board site. What makes Dynamite Jobs stand out is their ability to filter roles by timezones, salary, and experience requirements.

If you’re new to the remote work world, take a look at the Admin/Virtual Assistant and Customer Service categories.

Note: Links shared here may be affiliate links which allow me to earn a small commission at no cost to you. These commissions allow me to keep the newsletter operational. Only buy what you feel will truly benefit your life. Either way, I appreciate you 🙂.