Hiring a tradesperson or service provider?

Whether you’re booking a builder, plumber, electrician, cleaner or landscaper, a clear service contract helps protect both you and the business by setting out exactly what’s expected.

So, what should be included in a service contract?

A good service contract should clearly explain the work being carried out, the total price, payment terms, timescales, guarantees and what happens if something goes wrong.

Here’s everything you should check before signing.

1. Full details of both parties

The contract should include:

• Customer’s name and address
• Business name
• Business address
• Contact details

This ensures both parties are clearly identified.

2. Description of the work

One of the most important sections is the scope of work.

It should clearly explain:

• What work will be completed
• Materials being supplied
• Services included
• Any work specifically excluded

The more detailed the description, the less chance of misunderstandings.

3. Total price

The contract should clearly state:

• Total project cost
• VAT (if applicable)
• Material costs
• Labour costs
• Any optional extras

Avoid agreeing to vague estimates if possible.

4. Payment terms

The agreement should explain:

• Deposit amount
• Stage payments (if applicable)
• Final payment date
• Accepted payment methods

Never assume payment arrangements—make sure they’re written into the contract.

5. Start and completion dates

A professional contract should include:

• Expected start date
• Estimated completion date
• Working hours (if relevant)

While unexpected delays can happen, having an agreed schedule helps manage expectations.

6. Changes to the work

Sometimes additional work becomes necessary.

The contract should explain:

• How changes are approved
• How extra costs are calculated
• Whether written approval is required before extra work begins

This can help avoid unexpected invoices.

7. Guarantees and warranties

Check whether the business provides:

• Workmanship guarantees
• Product warranties
• Manufacturer guarantees

The contract should explain what’s covered and for how long.

8. Insurance

A professional contractor should confirm they hold appropriate insurance, such as:

• Public liability insurance
• Employer’s liability insurance (where required)

This protects both parties if something goes wrong.

9. Cancellation terms

The contract should explain:

• How either party can cancel
• Notice periods
• Cancellation fees (if any)
• Refund policy

Understanding this before work begins can prevent disputes later.

10. Signatures

Before any work starts, both parties should sign the agreement.

A signed contract provides evidence of what was agreed if a disagreement arises.

Common mistakes to avoid

Many homeowners run into problems because they:

• Accept verbal agreements.
• Don’t read the contract fully.
• Fail to check what’s excluded.
• Agree to unclear payment terms.
• Sign without understanding cancellation conditions.

Taking a few extra minutes to review the agreement can save significant time and money later.

Why is a service contract important?

A written contract helps to:

✔ Set clear expectations

✔ Reduce misunderstandings

✔ Protect both parties

✔ Clarify payment arrangements

✔ Provide evidence if disputes arise

Even for smaller jobs, having key details in writing is always good practice.

Frequently Asked Questions

Do I always need a written contract?

For larger or more expensive jobs, yes.

Even for smaller projects, having the main terms in writing helps avoid misunderstandings.

Can a quote act as a contract?

Sometimes.

If a written quote is accepted and includes all the key terms, it may form part of the agreement, but a detailed contract usually provides greater protection.

Should I pay before signing?

No.

Read the contract carefully before making any payments or agreeing to start the work.

Can a contract be changed after it’s signed?

Yes, but any changes should ideally be agreed in writing by both parties to avoid disputes.

Final thoughts

A clear service contract protects both you and the business by setting out exactly what has been agreed.

Before signing, make sure you understand the scope of work, the payment schedule, the timescales and any guarantees. Spending a few minutes reviewing the contract could prevent costly misunderstandings later.

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Author: manager

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