Business Contract Template Generator - Free Service Agreement (Plain Text)

Fill eleven fields and get a twelve-section plain-text service agreement: payments, late fee, revisions, kill fee, IP choice, termination notice and signatures.

Quick answer: Free business contract template: a plain-text service agreement with payment schedule, late fee, kill fee, IP choice and termination. Not legal advice.

Template output only - not legal advice. Edit the bracketed examples and have an attorney review contracts that matter.

How to use

  1. Enter the Provider name and Client name.
  2. Describe the Services in the Services description box: deliverables, scope limits and exclusions.
  3. Set the Start date and the End date or ongoing, then the Payment amount ($) and Payment schedule.
  4. Adjust the Late fee % per month, Termination notice (days) and Governing state as needed.
  5. Choose the IP ownership rule and press Generate to build the twelve-section service agreement.
  6. Use Copy or Download .txt, then edit the bracketed examples (revision rounds, net days, hourly rate) and have an attorney review before signing. Where the older freelance starter covers six clauses on one screen, this document adds schedules, kill fee, liability cap and an IP selector.

General information only โ€” not medical, financial or legal advice. Figures cross-checked against public official sources (IRS / HMRC / NHS / WHO guidance) as of 2026-08. For decisions that matter, confirm with a licensed professional in your country.

About this tool

Freelancers and small agencies lose more money to missing paper than to scope creep. This generator assembles a twelve-section plain-text service agreement skeleton from eleven fields: services description, start and end dates, payment amount with on-completion, milestone or monthly schedules, late-fee percentage, termination notice days, governing state and an IP choice between client ownership on payment and provider retention with a license. Revision rounds, client responsibilities, light mutual confidentiality, a pro-rata kill fee, independent-contractor status and a liability cap at fees paid are included as editable example language. It is a structured starting draft, not legal advice: edit the brackets and have an attorney review what matters.

The economics live in Sections 3, 4 and 8. The payment schedule changes behavior: on-completion concentrates risk on the provider, 50-50 milestones split it, and monthly billing suits retainers. The late-fee line gives invoices teeth, but keep the percentage modest, because courts can refuse to enforce punitive rates. The kill fee exists because a client canceling mid-project still consumed scheduled capacity, and pro-rata payment for work performed is the fairest standard formula. Edit every bracket: the two revision rounds and the hourly rate for extra work are examples, not recommendations.

Section 6 decides who owns the work, and it matters more than any other clause. Assignment on full payment is the client-friendly default; provider retention with a license suits productized or template-style work. The cap at fees paid in Section 10 is example language many freelancers accept, while clients on larger budgets often negotiate it upward. The light mutual confidentiality clause covers everyday exchanges without the weight of a full NDA; pair this agreement with the Toolfyra NDA template when a project warrants heavier protection. Your inputs never leave the browser: the text exists only on your device until you copy or download it.

FAQ

What makes a contract valid?
Generally three elements: an offer, an acceptance and consideration, meaning something of value exchanged on both sides, such as services for payment. Signatures and dates make intent clear, and precise wording helps enforceability. Rules vary by jurisdiction; this is general information, not legal advice.
What is a kill fee?
Payment for work already performed when a client cancels mid-project. Here it is written as pro-rata compensation: the Client pays for the portion of Services completed through termination. It compensates the provider for capacity already scheduled and delivered and discourages casual cancellations. Edit the wording if your deal needs a flat percentage instead.
Who owns the work I create?
Whatever Section 6 says. Choose client ownership and the final deliverables are assigned to the Client upon full payment; choose provider retention and the Client receives a license to use them. Without clear assignment language, ownership of commissioned work can be murky, which is exactly why the section exists.
What do net payment terms mean?
Net 15 or Net 30 means an invoice is due 15 or 30 days after it is issued. The template leaves the number as a bracketed placeholder; fill it in before signing, because the late fee in Section 3 only starts running once that payment window closes.
Can either party end the contract early?
Yes. Section 8 lets either party terminate for convenience with the written notice you set here, fourteen days by default, or immediately for uncured material breach. Termination does not erase money owed: work performed through the termination date is paid pro-rata, plus approved expenses, and key clauses survive.
Is this contract enforceable?
A clear, signed, mutually agreed document is far easier to enforce than a handshake, but enforceability always depends on your jurisdiction, the exact wording and the facts, and courts can strike unconscionable or illegal terms. Treat this as a starting draft and have an attorney review any contract that materially matters.

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