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Professional Services Agreement

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Contract for Computer Consultant Services with Regard to Website Design

Agreement made on the , between of , referred to herein as Consultant, and , a corporation organized and existing under the laws of the state of , with its principal office located at , referred to herein as Consultant.

Whereas, Company wishes to contract with Consultant for the services of Consultant in the field of website design; and

Whereas, Consultant is willing and qualified to perform such services;

Now, therefore, for and in consideration of the mutual covenants contained in this Agreement, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows:

1. Services

Company authorizes the following services (collectively, the service) to be performed by Consultant:

A. The design of a Homepage for the World Wide Web. Consultant agrees, based on information and data supplied by Company, to design and draft a Homepage, in HTML format, suitable to be placed by Company with an Internet Service Provider (ISP). Consultant will provide assistance in selecting a suitable company (the Provider) to host the Homepage, but makes no representation or warranty concerning the Provider. Company is responsible to reach an agreement for price and terms for hosting the website and is solely responsible for all costs, including activation and monthly fees. Consultant makes no representations or warranties concerning the potential "downtime" or interruption of service of the computers maintained by the Provider.

B. Consultant agrees it will provide any information necessary to complete the Homepage, including updating of any Universal Resource Locator (URL) addresses located in the Homepage.

C. Consultant agrees to take reasonable steps to register Company's Homepage with Internet search engines, including , and assist in obtaining links to the Homepage from other homepages.

2. Consultation Services

Consultant agrees to act as Consultant and to advise Company with respect to the development of the service. The parties agree that any written or oral consultation provided by Consultant is advisory, involving Consultant's judgment based on education and experience, and that there is no guarantee of any particular result from consultation.

3. Independent Contractor Status

Consultant is an independent contractor and is not an employee, servant, partner or joint venturer of Company. Company shall determine the services to be provided by Consultant, but Consultant shall determine the legal means by which it accomplishes the services in accordance with this Agreement. Company is not responsible for withholding, and shall not withhold or deduct from the commissions FICA or taxes of any kind, unless such withholding becomes legally required. Consultant is not entitled to receive the benefits which employees of Company are entitled to receive and shall not be entitled to workers compensation, unemployment compensation, medical insurance, life insurance, paid vacations, paid holidays, pension, profit sharing, or Social Security on account of his services to Company.

4. Materials

Except for services that must be performed on or with Company's computers or service, Consultant shall provide data and information used in performing the services described in this Agreement. Company is responsible for supplying any textual materials to Consultant to be included on the Homepage. Text is to be on a diskette and in editable format such as (specify, such as: Word or WordPerfect) .

5. Compensation

Consultant shall be payable at the rate of $ per hour for all services rendered during the term of this Agreement. Billing shall be by invoice prepared by Consultant by the first of each month following the performance of the duties described in this Agreement. Company agrees to make payment on each invoice, and payments are due upon receipt. The failure of Company to make payment on any invoice within days after its receipt by Company shall be cause for Consultant to terminate this Agreement. Consultant shall receive no royalty or other remuneration on the production or sale of the service.

6. Expenses

Company shall reimburse Consultant for expenses that are reasonably incurred by Consultant in the performance of this Agreement.

7. Confidentiality

Consultant agrees that all confidential information communicated to Consultant with respect to the services, including any confidential information gained by Consultant or his representatives by reason of association or employment with Company or its associates, is confidential. Company shall make reasonable efforts to mark as confidential any materials to be protected pursuant to this Section. Consultant agrees that Consultant shall not disclose any confidential information to any other person unless specifically authorized in writing by Company to do so, except to the extent disclosure is required by subpoena or an order from a court of competent jurisdiction. Consultant shall use his best efforts to prevent inadvertent disclosure of any confidential information to any third party. Company agrees that Consultant may use the Homepage in its promotional materials and brochures, and may but is not required to include a link to Company's page in Consultant's Homepage or in any other page designed by Consultant.

8. Ownership of Work Product

Consultant agrees that the Homepage or any literature or illustrations that are conceived, developed, written, or contributed by Consultant pursuant to this Agreement, either individually or in collaboration with others, shall belong to and be the sole property of Company and shall constitute works made for hire. Company agrees that its Homepage will at all times prominently display the legend: "Designed by (Name of Consultant). Company agrees to use Consultant for any updates or changes to the Homepage at the hourly rates stated in this agreement. Consultant agrees to provide updated links to other homepages and to obtain any necessary consent or notice in order to obtain permission to link to any third party homepage.

9. Use of Copyrighted Materials

Consultant warrants that any materials provided by Consultant for use by Company pursuant to this Agreement shall not contain any proprietary material owned by any other party that is protected under the Copyright Act or any other similar law. Consultant shall be solely responsible for ensuring that any materials provided by Consultant pursuant to this Agreement satisfy this requirement and Consultant agrees to hold Company harmless from all liability or loss to which Company is exposed on account of Consultant's failure to perform this duty.

10. Termination of Contract

This Agreement is terminable by either party with or without cause.

11. Force Majeure

If performance by Consultant of any of its obligations under the terms of this Agreement shall be interrupted or delayed by an act of God, by acts of war, riot, or civil commotion, by failure of computer equipment, including loss of data, or by an act of State, by strikes, fire, flood, or by the occurrence of any other event beyond the control of the parties to this agreement, then that party shall be excused from such performance for the same amount of time as such occurrence shall have lasted or such period of time as is reasonably necessary after such occurrence abates for the effect of the occurrence to have dissipated.

12. Severability

The invalidity of any portion of this Agreement will not and shall not be deemed to affect the validity of any other provision. If any provision of this Agreement is held to be invalid, the parties agree that the remaining provisions shall be deemed to be in full force and effect as if they had been executed by both parties subsequent to the expungement of the invalid provision.

13. No Waiver

The failure of either party to this Agreement to insist upon the performance of any of the terms and conditions of this Agreement, or the waiver of any breach of any of the terms and conditions of this Agreement, shall not be construed as subsequently waiving any such terms and conditions, but the same shall continue and remain in full force and effect as if no such forbearance or waiver had occurred.

14. Governing Law

This Agreement shall be governed by, construed, and enforced in accordance with the laws of the State of .

15. Notices

Any notice provided for or concerning this Agreement shall be in writing and shall be deemed sufficiently given when sent by certified or registered mail if sent to the respective address of each party as set forth at the beginning of this Agreement.

16. Attorney’s Fees

In the event that any lawsuit is filed in relation to this Agreement, the unsuccessful party in the action shall pay to the successful party, in addition to all the sums that either party may be called on to pay, a reasonable sum for the successful party's attorney fees.

17. Mandatory Arbitration

Any dispute under this Agreement shall be required to be resolved by binding arbitration of the parties hereto. If the parties cannot agree on an arbitrator, each party shall select one arbitrator and both arbitrators shall then select a third. The third arbitrator so selected shall arbitrate said dispute. The arbitration shall be governed by the rules of the American Arbitration Association then in force and effect.

18. Entire Agreement

This Agreement shall constitute the entire agreement between the parties and any prior understanding or representation of any kind preceding the date of this Agreement shall not be binding upon either party except to the extent incorporated in this Agreement.

19. Modification of Agreement

Any modification of this Agreement or additional obligation assumed by either party in connection with this Agreement shall be binding only if placed in writing and signed by each party or an authorized representative of each party.

20. Assignment of Rights

The rights of each party under this Agreement are personal to that party and may not be assigned or transferred to any other person, firm, corporation, or other entity without the prior, express, and written consent of the other party.

21.

In this Agreement, any reference to a party includes that party's heirs, executors, administrators, successors and assigns, singular includes plural and masculine includes feminine.

WITNESS our signatures as of the day and date first above stated.

By:

Enter text✕

What the Professional Services Agreement Is and When it Applies

A Professional Services Agreement (PSA) is a written contract that sets the terms under which one party provides professional, advisory, or technical services to another. It identifies the parties, scope of work, deliverables, timelines, payment terms, intellectual property allocation, confidentiality obligations, and termination rights. PSAs can be fixed-fee, time-and-materials, or milestone-based and often include change-order procedures, indemnities, and limitation of liability clauses. These agreements are commonly used by consultants, agencies, independent contractors, and vendors to establish predictable expectations and reduce dispute risk.

Why a Clear PSA Matters for Risk and Performance

A well-drafted PSA reduces ambiguity about deliverables, payment timing, and ownership of work product while documenting remedies and dispute resolution. It aligns commercial expectations and creates evidence of consent, which supports enforceability under federal and state e-signature laws such as the ESIGN Act (15 U.S.C. ch. 96) and state UETA statutes.

Why a Clear PSA Matters for Risk and Performance

Who Commonly Uses Professional Services Agreements

Professional Services Agreements are used across business sizes and sectors whenever services, not goods, are being purchased or provided.

  • Consulting firms and independent consultants providing strategic, IT, or management services to corporate clients.
  • Agencies and creative vendors supplying design, marketing, or development work under defined milestones.
  • Corporate procurement teams engaging subject-matter experts, subcontractors, or specialized contractors for project work.

Choose a PSA format that reflects risk allocation appropriate to the parties' bargaining power, industry norms, and regulatory constraints.

Core Sections to Include in Every Professional Services Agreement

A standard PSA organizes business and legal terms so each party understands obligations, timing, cost, and remedies. The following components form the agreement's backbone and help prevent disputes.

Scope

Precise description of services, deliverables, acceptance criteria, and excluded tasks to avoid scope creep and clarify billing triggers.

Payment

Fees, invoicing schedule, expense reimbursement, late-payment interest, and any milestone-based or retainage arrangements.

Term

Effective date, project schedule, renewal or extension mechanics, and conditions for termination for convenience or cause.

IP and Ownership

Allocation of intellectual property rights, license grants, work-for-hire language, and post-termination use rights.

Confidentiality

Non‑disclosure terms, permitted disclosures, duration of confidentiality obligations, and carve-outs for required disclosures.

Liability

Warranties, disclaimers, limitation of liability caps, indemnification responsibilities, and insurance requirements.

Step-by-Step: Executing a Professional Services Agreement

Follow a consistent sequence to prepare, review, and sign the PSA to ensure completeness and legal sufficiency.

  • 01
    Draft: Populate parties, scope, fees, and term; attach exhibits.
  • 02
    Internal Review: Legal and finance confirm risk, budget, and insurance coverage.
  • 03
    Negotiate: Agree on changes, document amendments, and finalize SOW.
  • 04
    Execute: Collect signatures, dates, and retain the executed copy.

How to Configure an Online Signing Workflow

An efficient e-signing workflow reduces friction while preserving evidence of consent and attribution.

Field Configuration
Signer Order Set sequential or parallel signing to match approval flow
Authentication Choose email link, SMS code, or stronger ID verification
Required Fields Mark signature, date, and key checkbox fields as mandatory
Audit Trail Enable certificate capture of IP, timestamp, and actions

Where to Send and How Signed PSAs Are Routed

Designate recipients and decide whether copies go to internal systems, external counsel, or an archive to ensure accessibility after signing.

  • Primary Recipient: Send the executed agreement to the counterparty's contracting contact
  • Internal Archive: Store a PDF in procurement or legal document repository
  • Accounting: Forward invoice and signed PSA to AP for payment processing
  • Integration: Push final PDF and metadata to CRM or ERP as needed

Technical Considerations for eSigning and Delivery

Choose an eSignature platform that captures a complete audit trail, supports required authentication, and integrates with your storage systems.

  • File Formats: PDF | DOCX
  • Integrations: CRM, ERP, cloud storage connectors
  • Authentication: Email token, SMS, or advanced ID verification

Ensure the chosen configuration preserves timestamps, signer attribution, and a tamper-evident final document for audit and retention purposes.

Timing: Common PSA Deadlines and Milestones

Establish clear dates for performance, invoicing, acceptance, and renewal to avoid ambiguity and trigger rights or obligations.

Effective Date:

Date when obligations begin; enter as MM/DD/YYYY

Deliverable Due Dates:

Specify calendar dates or measurable criteria per milestone

Invoice Due Date:

Commonly Net 30 from invoice receipt

Acceptance Period:

Define review period for deliverable acceptance

Renewal Notice:

State required notice period to renew or terminate automatically

Key Milestones in a PSA Lifecycle

Track major stages from negotiation to closeout to ensure compliance with performance and billing obligations.

01

Proposal and SOW

Agree scope, milestones, and pricing before drafting the PSA

02

Contract Review

Legal and finance sign off on risk allocation and payment terms

03

Execution

All authorized signers sign and date the agreement

04

Project Closeout

Final delivery, acceptance, and any final invoice or warranty period

Common Mistakes to Avoid When Preparing a PSA

  • Vague scope language that invites differing expectations and leads to scope disputes or unplanned change orders.
  • Missing authorization: signatures by individuals without signing authority can render the contract unenforceable or delay payments.
  • Unclear IP terms that fail to address ownership of deliverables, derivative works, or pre-existing materials.
  • Absent or inadequate acceptance criteria and testing provisions that create disputes about whether deliverables meet obligations.

Consequences of Errors or Missing Terms

Payment Delays: Disputed invoices can postpone payment
Enforcement Risk: Ambiguity can complicate litigation
Regulatory Exposure: Noncompliance in regulated industries
Intellectual Property Loss: Unclear assignment risks ownership claims
Contract Voidance: Unauthorized signatory may void agreement
Increased Costs: Remediation and legal fees escalate

Security and Compliance Features to Record When Using eSignatures

Encryption: TLS 1.2/1.3 in transit; AES-256 at rest
Audit Trail: IP, timestamp, action log captured
Certifications: SOC 2 Type II; ISO 27001
Regulatory Support: ESIGN and UETA compliance
Healthcare: HIPAA-compliant with BAA required
FDA Records: Supports 21 CFR Part 11 controls

eSignature Pricing and Plan Comparison for Contract Execution

Below is a concise comparison of entry-level pricing and feature availability among common eSignature vendors; signNow is listed first per vendor ordering conventions.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies by plan Varies by plan Varies by plan Varies by plan
Bulk Send Yes (Business Premium) Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

Real-World Examples of Professional Services Agreements

These examples illustrate typical PSA use across organizations and how digital workflows supported execution and compliance.

Optica Ventures (COO)

The interface is simple and easy-to-use for our team; more importantly, it is just as easy for our customers.

  • Ease of customer execution reduced delays by days.
  • The result was fewer signature-related hold-ups and more predictable project starts across portfolio companies.

Tech Data (CEO)

We use electronic signing to improve internal and external customer service and accelerate revenue recognition.

  • Integration with back-office systems automated routing.
  • This cut administrative overhead, improved visibility for finance, and shortened the time from agreement to invoicing.

FAQs: Common Questions When Preparing or Signing a PSA

Answers to frequent practical and legal questions about preparing, executing, and storing Professional Services Agreements.


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