Client Service Agreements: What Is It and Why Does Your Business Need It?
Your business name is your brand. That’s why if there’s anything you need to protect first and foremost when it comes to running a business, that’s it. Protecting your brand name entails ensuring a good reputation for your company. Primarily, you earn this by having a good relationship with your clients, especially when you can satisfy them by providing the service they need.
Because providing service as a business requires close coordination with the client, it is crucial that you communicate clearly with them the terms and conditions of the job. It’s not like the type of business where you sell products or items, because the client can simply buy it off the shelf, and the transaction would be complete.
With service businesses, however, you need to be able to deliver exactly what the client asks for so you can get paid. It’s not as straightforward as retail shopping, and so creating a client service agreement (CSA) with the help of Provo business attorneys becomes necessary.
What Type of Businesses can Benefit from CSA
A client service agreement or CSA is a written contract between the company and client, outlining the specifics and nitty-gritty of the service that will be provided. It may be a service that can be done in one working session, or it could be an ongoing project.
A CSA can be very helpful for a wide variety of business and service types, including but not limited to:
- Legal services
- Construction work
- Architecture consultation
- Interior design services
- Web designing
- Landscaping design and maintenance services
- Health and fitness
- Life coaching
- Web and Tech support
Why do they benefit those businesses?
Client service agreements benefit these businesses by ensuring that for every action or situation that will arise, there is proper management of reasonable expectations set. Especially because many of these are ongoing projects, they become open and vulnerable to unexpected occurrences, such as issues arising from the project, or delays brought about by external factors.
The more specific the terms are in the CSA, the fewer chances of growing a misunderstanding, which can lead to heavy losses or even lawsuits. This document, therefore, serves as proof of the terms that both parties agreed to, specifically in case of unexpected issues.
What should be covered?
Client service agreements should cover the basics of the transaction, such as the name of the parties involved, their specific roles pertaining to the transaction, coverage dates of the service, and an outline of the services that will be paid, as well as the agreed-upon payment.
Again, the more detailed a CSA is, the better and safer it will be for the parties involved. For example, the services list must be thoroughly itemized, as well as the expectations for the delivery of service. Your business lawyer in Provo can help you have a comprehensive list.
If it’s a web design service, for example, a full list of pages and elements that need to be created must be identified. Further stipulations on the corresponding expectations for each page or element must be provided, as well as any anticipated issues and expected recourse for resolution.
Payment methods must also be clearly fleshed out, including a schedule of payments, currency to be used (set applicable conversion rate if foreign currency is involved), accepted alternative modes of payment, and when they will be allowed. Refunds, payment for additional service and change of orders, and other payment-related instances must also be laid out clearly.
How it protects your business client relationships
A client services agreement shows your clients that you are serious about giving them the best possible service and experience. You show that you’re not only about protecting your interests, but also theirs as well. After all, it is both in your best interests to have a seamless transaction.
Provo business lawyers like Howard Lewis & Petersen can help your business by drafting a comprehensive client service agreement. Get your business covered and protected by getting everything in writing by business lawyers, starting with this agreement.
