On this channel we talk a lot about how to sell
and how to get those initial meeting, but in this
video I want to run through our exact
sales and service agreement. The exact
contract, the legalese that we hand to
our clients. Why each of those lines is in
there? And stick around for the end of the
video because I will give you this
contract as an editable document. So
let's jump into it.
This is the exact contract we use to
close business. The point where this
comes in in the sales process is they've
seen the price. They've seen the proposal
or the bullet points or whatever we sent
them over, the examples, they talked to the
references and this is right before the
deal is sealed.
They have to sign this document for it
to be officially closed.
So here's the sales and service agreement.
The sales and service agreement is dated
this 9th day.
This took me about a thousand dollars by
the way. I had to hire a lawyer to write
this. So here's some free thousand
dollars at least worth the value for you.
There are few sections in this dock and I'll
just run through them one by one. One is
the Sale of Services where we list out
what they're buying. Here we list out every
service and we say that it could include
a mix of any of the following. So
basically what they're buying. And then
the cost. The client agrees to pay for
the services for $14,000 a
month. Of this amount $10,000 will be
marketing, $4,000 will be passed through
related to remarketing, PPC that sort of thing.
The reason this is in here is because
people need to know what you're selling
and what things are costing very
straightforwardly. This is what
contracts are for. And then the next one is
the payment services. So payment method
will be built on signing and
automatically billed 30 days after the
previous billing period.
Payment shall be made via credit card using
the card on file. This is in here because
we use chargebee and stripe to collect
payments most of the time. And this
basically says when they're gonna pay us.
The point of a contract, a good contract
will spell out everything you guys
already talked about and do it in a way
that actually has it point by point. The
reason contracts exist
are if there's any problems with a client or
you have any problems with them you need
to have some kind of structure. Some place
where things are written down and agreed
to so that you're not just relying on
things you said or things that
were written in emails, puts it all in
one spot. And then the other one is the
delivery of the services section which
outlines exactly when we'll deliver.
The company shall commence services on
2/09. Company shall complete services by a
date mutually agreed upon with 30 days
notice. This agreement shall be effective
on the date hereof and shall continue,
unless terminated. And then we have the
out clause, this is how we terminate the
agreement. Either party may terminate
with 30 days written notice. Any
termination of this agreement shall not
affect any accrued rights or
liabilities of the party. So some NDA
type stuff in here. Then we've got the
warranty. So the company represents and
warrants that it will provide services
with reasonable care and skill. Company
guarantees that if halfway through its
engagement the company does not satisfy
the goal of 80 meetings
the company will cease billing and perform
services for free up until the client is
back on track to hit projected goals. So
this is our guarantee that we use at
Experiment 27. Basically halfway through
the agreement if we're not on track
we'll works for free until we get back
on track and that's written in here.
That's written into the contract. The
other one is relationship of the parties.
This is some legal stuff, I think
it's for taxes. I'm not actually sure why
it's in here, but the lawyer made me put it in
here. So we are independent contractors
nothing in this agreement is a
partnership, or joint venture, an agency,
relationship, or otherwise between the
parties. I think it's for taxes who can
really tell. Confidentiality, we've got
our NDA in here. And then the final one
is notice. This is another one that our
lawyer made us put in here. And what this
means is it goes over how client
communication works. So it defines what a
client communication is which means that
they can basically cancel or make
changes to the agreement with
first class mail, with the fax or
hand-delivered thing or email.
That's that. Then you've got this entire
agreement clause which says it's covered
by our mutual NDA and it's our entire
understanding of everything we talked about.
More legalese stuff. Any and all
amendments must be in writing and signed
by all members. All questions with
respect say that we're governed by the laws of
Wyoming which is where LLC is set up and
then you've got the severability clause
in here which is again a legal thing
which says if any of these points in the
contract are not legal or you throw out, it
doesn't
throw out the entire contract just
throws out that one point. And then
we've got the signatures and that's the
client contract. Feel free to check out
the google doc, we're gonna link it down
below that has all this. Use this in your
own deals. I also recommend hiring a
lawyer to write this out, but if you're
just starting it doesn't really matter. I
used to use a one-page contract when I was first starting
that I just kind of wrote by hand and
it's fine until you get sued. And that's
our entire contract point-by-point why
we have everything in here. Feel free to
rip this off and use it in your own
client work. I also recommend hiring a
lawyer if you need one.
The other thing worth touching on if
you're interested in this kind of
point-by-point breakdown of stuff that is
super boring but it's necessary we also
have insurance, liability insurance and I
can talk about how we pick that.
I could do one on
entrepreneurship taxes as well if you're
into any of this like gritty stuff so
feel free to like this video to
encourage this type of content. Comment
below if you have any questions on what
we talked about here.
Subscribe to this channel for more b2b
sales training and if you need marketing
support for your digital agency check out
Experiment27.com ! Thanks.