I’ve been freelancing for practically 6 years now (gosh, time flies). Initially I didn’t formalize my agreements with shoppers — no signed paperwork or contracts.
However as I gained extra expertise, I noticed that if I wished to develop my enterprise I needed to set floor guidelines and put them in writing. As soon as I launched contracts, which included a press release of labor, working with shoppers grew to become a lot simpler.
There’s something about contracts that encourages (most) individuals to observe the principles. The extra work you tackle, the extra essential it’s to prepare it correctly.
Belief me, scaling your enterprise and not using a contract is tough, if not unimaginable, to do. So in immediately’s put up I’m going to debate what a press release of labor is and create one.
Desk of Contents
What’s a press release of labor?
The assertion of labor (SOW) is a doc that describes intimately the scope of labor to be accomplished inside a undertaking. It’s legally binding if integrated inside a contract. It contains data similar to actions, deliverables, deadlines, and remuneration. This units the principles and expectations for future cooperation. Earlier than making a undertaking plan and agreeing to execute it, you’ll first create and signal the SOW.
Download this free project proposal template from HubSpot.
SOW vs. Contract
A contract is a authorized settlement between two corporations, or an employer and worker, that describes the completion of particular work for an agreed charge.
Whereas each SOWs and contracts are essential in enterprise and undertaking administration, they serve completely different capabilities.
Let’s take a extra detailed take a look at how these two paperwork differ.
Goal
An SOW acts as an in depth undertaking plan that explains what have to be completed. It primarily focuses on duties and deliverables.
A contract, however, creates a authorized framework for the connection between events. It units phrases and situations, which information the connection together with rights and tasks. It explains intimately what is going to occur if one of many events fails to ship on the agreed phrases.
Content material and Construction
An SOW covers undertaking particulars, together with instruments, methodologies, timelines, acceptance standards, and so on. In contrast to a contract, it’s written in straightforward to grasp language, with none jargon.
Contracts embody broader phrases and situations like legal responsibility, termination clauses, fee, and dispute decision procedures. They use formal authorized language to ensure enforceability.
Authorized Binding Nature
By itself a SOW is just not legally binding. It primarily acts as undertaking pointers. A contract is a standalone authorized settlement, which if breached can draw authorized penalties.
Degree of Element
An SOW is undertaking particular and subsequently very detailed. It describes what must be completed and when, and may embody technical specs. A contract is extra generic, providing a excessive degree overview of the connection. You need to use one contract for a number of initiatives.
Flexibility and Adjustments
SOWs will be modified if wanted; if the scope of labor adjustments or extra work is required, you may merely add it to the SOW.
Simply keep in mind that you simply would possibly want approval from related stakeholders. It’s not as straightforward to change a contract. It normally requires formal amendments and adherence to authorized protocols. Additionally, adjustments can solely be made by means of mutual settlement.
Use Circumstances
A SOW is commonly utilized in undertaking administration contexts, similar to advertising and marketing campaigns or IT initiatives that decision for particular deliverables and timelines. They’re notably helpful when a number of stakeholders are concerned.
A contract can be utilized nearly in any context, together with vendor contracts, employment, and repair agreements. It’s particularly useful to have one in place for long-term collaborations.
Assertion of Work vs. Scope of Work
A scope of labor is normally a part of a press release of labor. Sometimes, it may act as a standalone doc. It contains data on undertaking dimension, crew objectives, and steps required to finalize the undertaking. Whereas these two phrases are sometimes used interchangeably, they discuss with completely different undertaking administration ideas. Listed below are the principle variations.
Goal
The principle goal of an SOW is to offer an in depth overview of the undertaking and make it possible for everybody concerned understands their tasks and expectations.
The scope of labor, because the identify suggests, defines what a undertaking contains — what’s lined and what’s not. Defining particular duties and deliverables prevents scope creep.
Content material and Construction
An SOW covers undertaking goals, roles and tasks, timeline, fee phrases, and so on. It focuses on each the “what” and “how” (i.e., the methodology).
The scope of labor accommodates detailed data on the duties and deliverables, similar to an outline of the work to be carried out, undertaking goals and objectives, key milestones, constraints, and exclusions.
Authorized Binding Nature
Each of them will be legally binding in the event that they’re included within the contract. As standalone paperwork, they don’t have any authorized energy.
Degree of Element
Since an SOW covers many undertaking particulars past the scope, it’s extra complete.
The scope of labor focuses particularly on the work to be completed, and contains high-level timelines and deliverables with out going into depth on administration and execution.
Flexibility and Adjustments
Modifying a complete SOW will be tougher, because it covers a number of facets of the undertaking, and a single change can impression varied parts. It may additionally require formal approval.
The scope of labor, however, is simpler to alter because it solely applies to the work concerned. Whereas it’d nonetheless require stakeholder approval, a change gained’t essentially impression different components of the undertaking.
Use Circumstances
The scope of labor is a part of an SOW, and each are utilized in advanced initiatives that want detailed data to ensure profitable supply. For easier initiatives, the scope of labor can be utilized as a separate doc to outline a process.
Each of those paperwork are sometimes included inside a contract to supply a full overview of the settlement.
Goal of a Assertion of Work
The principle goal of the assertion of labor is to make it possible for all events clearly perceive their roles and tasks. Every time I begin working with a brand new consumer, I signal a contract that features a assertion of labor.
I define after they need to ship undertaking briefs, what number of revisions they’re entitled to, what is going to occur in the event that they fail to supply suggestions on time, and so forth.
Together with such particulars not solely helps me ship initiatives on time, but in addition helps keep away from misunderstandings. It additionally permits for some flexibility in how we work collectively.
Forms of SOWs
Design
Design SOWs revolve across the design and growth of providers or merchandise, however you’ve in all probability figured it out by yourself. They record particular design-related duties, like analysis, prototyping, and testing.
The contractor’s function is to ship a design, which is in step with consumer necessities. The SOW outlines milestones for design evaluations and approvals.
The website design template beneath offers you an thought of what the sort of SOW might appear like.
Degree of Effort
Should you’re not sure how lengthy it would take you to finalize the undertaking, or what assets you’ll want, it’s greatest to go along with the extent of effort SOW.
Additionally known as time and materials, this method includes paying for the hours labored together with any supplies used to do the job.
This sort of assertion of labor is normally utilized in consulting providers or agile initiatives, that are vulnerable to altering necessities.
Efficiency-Primarily based
Efficiency-based SOWs prioritize undertaking outcomes over the method. They supply an summary of the objectives and goals that contractors are obliged to realize. Funds rely upon the achievement of the predefined metrics.
This sort of SOW is greatest used when you will have a particular goal in thoughts, for instance, rising on-line gross sales by 30%.
Elements of an SOW
Let’s check out what ought to be included in a press release of labor. Since I’m a contract content material marketer, I’ll use examples from my very own initiatives associated to Search engine optimization weblog writing.
Introduction
This part explains the work that will likely be completed and offers common details about the undertaking, together with who will likely be concerned.
In my case, the introduction may very well be:
“This Assertion of Work outlines the Search engine optimization weblog writing providers to be offered by Anna Rubkiewicz for HubSpot. The undertaking includes creating optimized weblog content material to enhance natural search rankings, drive visitors, and have interaction goal audiences. Each events conform to the phrases outlined on this doc.”
Goal Assertion
The aim assertion addresses the explanations for beginning the undertaking. It discusses the principle goals, covers deliverables, and defines what success appears to be like like for various stakeholders.
Right here is an instance:
“The aim of this undertaking is to boost HubSpot‘s on-line presence by means of Search engine optimization-focused weblog content material. The important thing goals embody rising web site visitors, enhancing search engine rankings, and offering helpful data to the target market. The undertaking goals to ship 12 high-quality weblog posts over the course of 4 months that align with the consumer’s content material technique.”
Scope of Work
This part lists all of the duties which ought to be accomplished on the undertaking. It offers an in depth overview of the processes, together with time frames (they are often estimated), and a project scope which incorporates all of the important data.
“Anna Rubkiewicz will present the next providers:
- Analysis and determine related matters based mostly on Search engine optimization key phrases offered by the consumer.
- Write 12 weblog posts (roughly 1,500 phrases every) optimized for search engines like google.
- Embody inner and exterior hyperlinks the place acceptable.
- Present meta titles and descriptions for every weblog put up.
- Embody graphics with alt textual content.”
I full initiatives on a month-to-month foundation so if I conform to ship three articles monthly, I state within the SOW that I’ll ship all articles by the tip of the month.
The place the Work Will Be Executed
This half explains the place the work will likely be completed, remotely or at a particular location.
It additionally particulars all of the gear and software program that will likely be used. I work remotely and talk with my shoppers by way of electronic mail or Slack, and ship all articles in Google Docs.
Duties
This part breaks down all of the steps you included within the scope of labor into extra detailed duties. Right here is an instance:
- Key phrase Analysis. Collaborate with the consumer to determine goal key phrases and matters.
- Analysis and Define Part. Analysis the subject and create a top level view.
- Writing Part. Draft and submit the weblog put up for consumer evaluate.
- Revisions. Implement suggestions and finalize the weblog posts.
Milestones
That is the place you embody the undertaking timeline, similar to the beginning and end dates, billable hours, and another scheduling specifics.
Since I normally work with shoppers long run, as an alternative of together with a end date, I ask them for one month’s discover in the event that they want to finish our cooperation.
Deliverables
This part lists undertaking deliverables with their due dates and detailed descriptions. It helps set expectations for all of the stakeholders. My deliverables would come with:
- 3 Search engine optimization-optimized weblog posts monthly (roughly 1,500 phrases every).
- Meta titles and descriptions for every weblog put up.
- A report summarizing key phrase analysis and matter choices.
Schedule
Within the schedule part, you may embody an in depth timeline for every deliverable.
Personally, I don’t embody precise dates. As a substitute, I inform my shoppers how a lot time they’ve to finish a given step.
For instance, I give them three days to supply suggestions on the define and three days to evaluate the draft. From my perspective, setting a time restrict is the one method to assure well timed undertaking completion.
Challenge Success
This a part of the SOW defines the success metrics. It may very well be the supply of high-quality weblog posts which might be well-written and Search engine optimization optimized and generate natural visitors after publication.
Challenge Necessities
Listing every thing it is advisable successfully deliver the project, together with instruments and gear.
Every time the undertaking includes key phrase analysis, I ask the consumer to grant me entry to Google Analytics and export the key phrases they’re at the moment rating for.
I additionally put a robust emphasis on common communication and well timed suggestions.
Fee Phrases
That is in all probability one of the essential sections for any freelancer or enterprise proprietor. It outlines the way you’ll receives a commission — upfront or after delivering the undertaking — and particulars how a lot time the consumer has to settle the bill.
I subject all my invoices on the finish of the month and provides my shoppers two weeks to pay by way of financial institution switch.
Here’s a prepared work-order template from HubSpot that you may obtain to doc the work you’ve carried out and ask for fee.
Closure
The closure half explains how deliverables will likely be accepted and signed off. My shoppers merely need to electronic mail me to substantiate that the ultimate draft has been accepted and no additional revisions are essential.
If I submit the ultimate draft and don’t hear again inside 5 days, I assume the article requires no extra revisions and shut the duty. Naturally, that is one thing that my shoppers are conscious of and have agreed to.
Begin each undertaking with a press release of labor.
At first, you would possibly suppose that making a SOW is plenty of effort.
However when you think about all the advantages — similar to avoiding misunderstandings, setting clear expectations, dividing duties effectively, and making certain well timed funds, it rapidly proves to be value it.
Imagine me, you can not develop your enterprise or ship work on time with out creating some floor guidelines. And when you put these guidelines in writing, they will have much more impression.
