Service Agreement for Startups
Your first customer contract, without the legal-fee delay.
A B2B service agreement built for startups closing their first paying customers — clear scope, sensible liability caps, and the structure your future enterprise customers will expect.
Free to start — No credit card required
The first ten customer contracts are usually the worst — every one is a snowflake, every one takes a week of legal back-and-forth, and every one you'll wish you could rewrite later. This template gives you a defensible starting point that closes deals without painting your future self into corners on liability, IP, or scope.
Why startups need a service agreement
- Defined scope and SLAs match what enterprise customers will scrutinize during procurement.
- Liability cap (typically fees paid in the prior 12 months) protects against existential customer risk.
- Payment terms with late fees keep early-stage cash flow predictable.
- Clear data and confidentiality language preempts the customer's security questionnaire.
Common scenarios
First B2B SaaS contracts
Subscription terms, uptime SLA, support response, and renewal — sized for self-serve and mid-market customers.
Implementation or services engagements
Statement-of-work style contracts for one-time setup, integration, or migration work tied to a SaaS subscription.
Pilot or trial agreements
Short-form version covering a 30/60/90-day evaluation with conversion terms and clean exit if the pilot doesn't convert.
Clauses to pay attention to
Common questions
- How big a liability cap should we accept?
- Industry standard for B2B SaaS is fees paid in the prior 12 months (sometimes 24). Larger enterprise customers will push for higher caps or carve-outs (data breach, IP indemnity). For early-stage startups, holding the line at 12-month fees + carve-outs for gross negligence is reasonable.
- Should we use this as a click-through or a signed agreement?
- Click-through (online ToS) works for self-serve and small customers. Signed master service agreements come into play above a certain deal size — usually $25K+ ARR or any enterprise/regulated customer. Many startups use both: click-through for self-serve, MSA for sales-led deals.
- What about the customer's paper?
- Below a certain deal size, hold the line on your paper — every redline cycle costs more than the deal is worth. Above that size, expect to negotiate. Have your top three negotiable issues clear (cap, indemnity, data) and your hard "no" list (auto-renewal of unlimited liability, audit rights for non-financial data, etc.).
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