I’ve been freelancing for almost 6 years now (gosh, time flies). Initially I didn’t formalize my agreements with purchasers — 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 an announcement of labor, working with purchasers 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 necessary it’s to arrange it correctly.
Belief me, scaling what you are promoting with no contract is tough, if not inconceivable, to do. So in right this moment’s submit I’m going to debate what an announcement of labor is and the way to create one.
Desk of Contents
What’s an announcement 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 akin 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.
Obtain this free undertaking proposal template from HubSpot.
SOW vs. Contract
A contract is a authorized settlement between two firms, or an employer and worker, that describes the completion of particular work for an agreed price.
Whereas each SOWs and contracts are essential in enterprise and undertaking administration, they serve totally different features.
Let’s take a extra detailed have a look at how these two paperwork differ.
Goal
An SOW acts as an in depth undertaking plan that explains what should be finished. It primarily focuses on duties and deliverables.
A contract, alternatively, creates a authorized framework for the connection between events. It units phrases and circumstances, which information the connection together with rights and obligations. It explains intimately what’s 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 simple to know language, with none jargon.
Contracts embody broader phrases and circumstances like legal responsibility, termination clauses, cost, and dispute decision procedures. They use formal authorized language to ensure enforceability.
Authorized Binding Nature
By itself a SOW will not be legally binding. It primarily acts as undertaking tips. 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 finished and when, and may embody technical specs. A contract is extra generic, providing a excessive stage overview of the connection. You need to use one contract for a number of initiatives.
Flexibility and Modifications
SOWs might be modified if wanted; if the scope of labor modifications or extra work is required, you’ll be able to merely add it to the SOW.
Simply keep in mind that you just may want approval from related stakeholders. It’s not as simple to change a contract. It normally requires formal amendments and adherence to authorized protocols. Additionally, modifications can solely be made via mutual settlement.
Use Instances
A SOW is commonly utilized in undertaking administration contexts, akin to advertising 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 helpful 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 an announcement of labor. Often, it may act as a standalone doc. It contains data on undertaking dimension, staff objectives, and steps required to finalize the undertaking. Whereas these two phrases are sometimes used interchangeably, they discuss with totally different undertaking administration ideas. Listed here are the principle variations.
Goal
The principle intention of an SOW is to present an in depth overview of the undertaking and ensure that everybody concerned understands their obligations 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 targets, roles and obligations, timeline, cost 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, akin to an outline of the work to be carried out, undertaking targets and objectives, key milestones, constraints, and exclusions.
Authorized Binding Nature
Each of them might 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 finished, and contains high-level timelines and deliverables with out going into depth on administration and execution.
Flexibility and Modifications
Modifying a complete SOW might be tougher, because it covers a number of points of the undertaking, and a single change can affect numerous elements. It may additionally require formal approval.
The scope of labor, alternatively, is less complicated to alter because it solely applies to the work concerned. Whereas it’d nonetheless require stakeholder approval, a change received’t essentially affect different elements of the undertaking.
Use Instances
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 activity.
Each of those paperwork are sometimes included inside a contract to offer a full overview of the settlement.
Goal of a Assertion of Work
The principle intention of the assertion of labor is to ensure that all events clearly perceive their roles and obligations. Every time I begin working with a brand new shopper, I signal a contract that features a assertion of labor.
I define once they should ship undertaking briefs, what number of revisions they’re entitled to, what’s going to occur in the event that they fail to offer 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 most likely figured it out by yourself. They record particular design-related duties, like analysis, prototyping, and testing.
The contractor’s position is to ship a design, which is according to shopper necessities. The SOW outlines milestones for design evaluations and approvals.
The web site design template beneath provides you an concept of what such a SOW might appear like.
Degree of Effort
In the event you’re uncertain how lengthy it’s going to take you to finalize the undertaking, or what sources you’ll want, it’s finest to go along with the extent of effort SOW.
Additionally known as time and materials, this method entails paying for the hours labored together with any supplies used to do the job.
One of these 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 targets that contractors are obliged to realize. Funds rely upon the achievement of the predefined metrics.
One of these SOW is finest used when you have got a particular goal in thoughts, for instance, rising on-line gross sales by 30%.
Parts of an SOW
Let’s check out what needs to be included in an announcement of labor. Since I’m a contract content material marketer, I’ll use examples from my very own initiatives associated to Website positioning weblog writing.
Introduction
This part explains the work that shall be finished and offers basic details about the undertaking, together with who shall be concerned.
In my case, the introduction could possibly be:
“This Assertion of Work outlines the Website positioning weblog writing providers to be supplied by Anna Rubkiewicz for HubSpot. The undertaking entails creating optimized weblog content material to enhance natural search rankings, drive site visitors, and interact 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 targets, covers deliverables, and defines what success seems to be like for various stakeholders.
Right here is an instance:
“The aim of this undertaking is to reinforce HubSpot‘s on-line presence via Website positioning-focused weblog content material. The important thing targets embody rising web site site visitors, enhancing search engine rankings, and offering precious 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 shopper’s content material technique.”
Scope of Work
This part lists all of the duties which needs to be accomplished on the undertaking. It gives an in depth overview of the processes, together with time frames (they are often estimated), and a undertaking scope which incorporates all of the very important data.
“Anna Rubkiewicz will present the next providers:
- Analysis and establish related matters primarily based on Website positioning key phrases supplied by the shopper.
- Write 12 weblog posts (roughly 1,500 phrases every) optimized for search engines like google.
- Embrace inside and exterior hyperlinks the place applicable.
- Present meta titles and descriptions for every weblog submit.
- Embrace graphics with alt textual content.”
I full initiatives on a month-to-month foundation so if I conform to ship three articles per thirty days, I state within the SOW that I’ll ship all articles by the tip of the month.
The place the Work Will Be Achieved
This half explains the place the work shall be finished, remotely or at a particular location.
It additionally particulars all of the gear and software program that shall be used. I work remotely and talk with my purchasers through e 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 shopper to establish goal key phrases and matters.
- Analysis and Define Section. Analysis the subject and create an overview.
- Writing Section. Draft and submit the weblog submit for shopper assessment.
- Revisions. Implement suggestions and finalize the weblog posts.
Milestones
That is the place you embody the undertaking timeline, akin to the beginning and end dates, billable hours, and every other scheduling specifics.
Since I normally work with purchasers 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 Website positioning-optimized weblog posts per thirty days (roughly 1,500 phrases every).
- Meta titles and descriptions for every weblog submit.
- A report summarizing key phrase analysis and matter choices.
Schedule
Within the schedule part, you’ll be able to embody an in depth timeline for every deliverable.
Personally, I don’t embody actual dates. As an alternative, I inform my purchasers how a lot time they’ve to finish a given step.
For instance, I give them three days to offer suggestions on the define and three days to assessment the draft. From my perspective, setting a time restrict is the one technique to assure well timed undertaking completion.
Undertaking Success
This a part of the SOW defines the success metrics. It could possibly be the supply of high-quality weblog posts which might be well-written and Website positioning optimized and generate natural site visitors after publication.
Undertaking Necessities
Record every part it’s worthwhile to efficiently ship the undertaking, together with instruments and gear.
Every time the undertaking entails key phrase analysis, I ask the shopper to grant me entry to Google Analytics and export the key phrases they’re at the moment rating for.
I additionally put a powerful emphasis on common communication and well timed suggestions.
Fee Phrases
That is most likely one of the necessary 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 shopper has to settle the bill.
I concern all my invoices on the finish of the month and provides my purchasers two weeks to pay through financial institution switch.
Here’s a prepared work-order template from HubSpot which you can obtain to doc the work you’ve carried out and ask for cost.
Closure
The closure half explains how deliverables shall be accepted and signed off. My purchasers merely should e mail me to substantiate that the ultimate draft has been accepted and no additional revisions are vital.
If I submit the ultimate draft and don’t hear again inside 5 days, I assume the article requires no further revisions and shut the duty. Naturally, that is one thing that my purchasers are conscious of and have agreed to.
Begin each undertaking with an announcement of labor.
At first, you may assume that making a SOW is a number of effort.
However when you think about all the advantages — akin to avoiding misunderstandings, setting clear expectations, dividing duties effectively, and guaranteeing well timed funds, it rapidly proves to be value it.
Consider me, you can not develop what you are promoting or ship work on time with out creating some floor guidelines. And if you happen to put these guidelines in writing, they’re going to have much more affect.
