Write your own freelance contract

Make it official

The gig monetary system in India has started to flourish, significantly after COVID-19 hit. The pandemic led to many misplaced jobs, thus kindling many people to take up freelancing full-time or as a side-hustle for further financial stability. There’s an excellent motive for this: just about 23% of freelancers in India earn as a lot as Rs 60 lakhs every year! In this put up, we make clear how one can create your own freelance contract.

Freelancing in India is expected to grow to between $20 and $30 billion by the highest of 2025.

So, it is evident that freelancing has gained recognition over time. But why do many people nonetheless actually really feel hesitant to take up freelancing? It’s as a result of character of freelancing.

When you freelance, you’re totally on your own. This leaves room for exploitation by customers you can work with. Some may get extra work accomplished from you for the same pay, or may even ghost you.

To forestall from all these troubles, it is extremely necessary create a freelance contract that acts as an settlement between you and your customers.

In this data on freelance contracts, let’s check out a couple of of the components that should be a part of your contract — along with some contract templates for freelancers.

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What is a freelance contract?

A freelance contract is a legally binding settlement that is signed between you and your client. It lists down the small print of your:

  • Scope of labor
  • Payment phrases
  • Ownerships
  • Timelines

You may embrace the remaining that is associated to your work with the buyer.

Why is it important to sign a freelance contract?

Close-up of someone signing a contract

Starting out as a freelancer is likely to be difficult and intimidating. As talked about sooner than, it requires you to get all of the issues accomplished on your own.

Right from discovering the perfect customers, discussing the scope of labor, negotiation, signing contracts, and sending invoices — you want to take care of all of the issues. This may put you in a inclined place if points don’t go as anticipated.

Here are some issues which is able to go improper when you freelance:

  •     You couldn’t receives a fee on time.
  •     Your client may develop the scope of labor with out rising the pay.
  •     Your client may ghost with out paying you as agreed.
  •     Or the buyer couldn’t maintain with a lot of ensures that they made initially.

Clients that you just simply work with may have a few apprehensions about working with a freelancer:

  •     Your work might be lower than velocity.
  •     You may be late on deadlines.
  •     You may ghost the buyer.
  •     You couldn’t ship the work that you just simply initially promised.

To have a look at on all the above points and assure that there is licensed binding for the phrases which might be initially agreed between you and your customers, a freelance contract is a ought to.

If you or your client strays from the freelance contract, then each get collectively may take licensed movement in the direction of the alternative. Thus, a freelance contract provides a method of security for every you and your client.

Related: Where to hunt out your subsequent web design enterprise

What do it’s a must to embrace in a freelance contract?

Now that you just already know the importance of signing a freelance contract sooner than beginning work, let’s check out a couple of of the important components that it’s a must to ponder along with in your freelance contract.

1. Introductory assertion

Your freelance contract ought to begin with an introductory statement that clearly states the overall names of you and your client. These is likely to be your full names and/or the company’s full determine.

The introductory assertion additionally must arrange the designations “Client” and “Contractor” for the buyer and in addition you respectively. You additionally must embrace the date from which the contract might be environment friendly.

2. Scope of labor

Scope of labor is the next important half to be included in a freelance contract.

Scope of labor should embody precise and proper definitions of the work that you just simply’ve agreed with the buyer.

It is important to be explicit with the scope of labor. Being obscure proper right here may put you into hassle. Scope is among the many commonest points confronted by freelancers the place the buyer will improve the amount of labor to be accomplished for the same payment phrases.

Binoculars sitting on ledge during sunset

Therefore, you want to be sure that the scope of labor is extraordinarily explicit and you do not go away any room for scope creep.

In this half, you’ll be able to even embrace phrases for further work and revisions. In case there is a change inside the scope of labor, you are going to receives a commission for the extra work.

3. Deliverables

Apart from the scope of labor, it’s a must to moreover level out the deliverables that is likely to be a part of this freelance enterprise. You might even divide the whole enterprise into utterly totally different deliverables and level out the timelines for each deliverable.

A deliverable may probably be a model, a weblog article or a product equivalent to a hand-crafted piece of furnishings.

Adding deliverables to your freelance contract, as soon as extra, helps you steer clear of uncertainty. It moreover helps the buyer to have a clear considered exactly what they may anticipate to acquire on the end of the freelance enterprise.

Related: Finding freelance work you’ll be able to do from residence

4. Timelines

Timelines are moreover a major part of any freelance contract. Timelines allow you to set the perfect expectations with your customers and be sure that the deliverables are completed all through the desired time.

Before deciding on the timeline and together with them to the contract, be sure that you just’re optimistic about them. Instead of overpromising and struggling to ship on the given timelines, you want to try so as to add enough buffer to the timeline so that points are normally not left hanging on the ultimate minute.

5. Payment data

You should embrace payment data in your freelance contract, along with every potential factor about how, when, and the best way so much payment is agreed as a part of the enterprise.

As a freelancer, you probably can price by the enterprise, hourly, or dynamically primarily based totally on the scale of the enterprise.


Based on the payment model that you just simply’ve agreed upon, you probably can add these particulars to the freelance contract. For occasion, you probably can add your entire amount you’d be charging for the enterprise or the velocity that you just simply’d be charging per hour.

Apart from the payment model, you additionally must level out the payment change mode and the timelines for payment. If you’re charging advance funds, then this could even be included inside the freelance contract.

6. Ownership

Sometimes the buyer wishes to have full possession of the deliverables. Other events, as a freelancer, you can want to take credit score rating for the work that you just simply’ve delivered.

Based on these phrases, you probably can add acceptable clauses to the freelance contract so that there’s no room for pointless questions shortly.

Related: How to begin out a freelance writing enterprise in India

7. Late payment phrases

As an extension of the payment phrases, you’ll be able to even ponder along with clauses for delayed funds. Though you’d have talked about timelines for receipt of payment, you’ll be able to even add a clause for late funds.

For event, you probably can embrace an extra 5% late payment fee for day-to-day previous the ultimate date of payment. This will probably be sure that even when payment is obtained late, you proceed to might be sure that you just’re compensated successfully.

8. Termination clause

If you’re engaged on an ongoing or retainer freelance enterprise, it’s a must to moreover embrace a termination clause inside the freelance contract. In the termination clause, you probably can guidelines down the phrases and conditions about how each get collectively can terminate the contract.

The termination clause additionally must embrace the timelines for intimation of termination.

9. Signatures

Finally, it is extremely necessary get the freelance contract signed by every you and the buyer. You can do this through digital signature generator devices. Having the signature of every occasions will probably be sure that the contract is validated and finalized.

Contract templates for freelancers

By now, you have gotten an considered the necessary components that should be a part of your freelance contract. In this half, you will discover hyperlinks to some contract templates for freelancers. You can edit these templates to swimsuit your requirements exactly.

  1. PandaDoc
  2. eStartIndia
  3. Kansas Press Association
  4. Columbia Law School
  5. Cleartax
  6. Documatica Legal Forms

Summing it up

Freelancing is rising as one of many important worthwhile occupation selections for lots of in India, significantly after the outbreak of COVID-19. Freelancing supplies you various freedom and suppleness, however it could be intimidating at first.

To be sure that you just receive the perfect funds on time and have an excellent relationship with your customers, it is extremely necessary sign freelance contracts.

Freelance contracts will legally bind every you and customers to guarantee that there’s no room for exploitation.

Elements equivalent to payment phrases, the scope of labor, deliverables, timelines, late payment phrases, possession particulars, and so forth., must be a part of your freelance contract. The contract templates for freelancers supplied on this data will allow you to get started with your first freelance contract.