Guidelines for a Letter of Agreement

There is no set format for a letter of agreement. However, most typically cover the following areas:

  • Nature of the Project
    This includes what the freelancer will be responsible for, such as writing a newsletter or designing an organizational logo, and what the client will be responsible for, such as providing background materials and arranging for printing services.
  • Description of the Specific Product the Freelancer Will Deliver
    This can be very simple, such as a four-page newsletter containing 1,800-2,200 words. If the freelancer will be responsible for any other project-related products or services, such as photography, this should be specified.
  • Project Costs
    The cost of a project is usually based on the estimated number of hours a writer or other freelancer will work. Sometimes the project cost is a range (such as $1,200-$1,500) and includes a maximum amount the client will pay. Other projects, especially those that are less concrete in nature, are open-ended, meaning the freelancer will be paid a specified hourly rate for every hour he/she works. Be sure to include any other expenses, such as mileage or long-distance phone costs, that the client will pay in addition to the freelancer's fee.
  • Timeline
    This should list specific dates, such as when the first draft is due and when the final draft is due.
  • Terms of Payment
    This should outline how the freelancer will be paid. In a new professional relationship, it is common for the client to pay up to half down at the beginning of the project and the balance within 15-30 days after the final product is delivered. (This is another good reason to check references.)
  • Other Potential Considerations
    If there are copyright concerns, consult an attorney.
Every letter of agreement is different, depending on the needs of the client and the work requirements of the freelancer. These guidelines and the sample letter of agreement that follows are intended to serve only as a guide. They are not intended to cover all possible issues. Consult with an attorney for more specific information.