Statement of Work Template
for Indian Freelancers

Proposal vs. SOW — What's the Difference?

A proposal is a sales document — it's persuasive, high-level, and designed to win work. A Statement of Work is a technical and legal document — it's precise, detailed, and designed to govern the engagement once agreed.

For projects over ₹50,000 or spanning more than 4 weeks, you should send both: a proposal to win the business, and a SOW (or contract) to formalise the scope. For enterprise clients and IT/tech projects, a SOW is often mandatory.

The 8 Sections of a Professional SOW

1. Project Overview

One paragraph stating the project name, the parties involved, the start date, and the high-level objective. This gives both parties the same frame of reference before diving into technical details.

2. Scope of Work

The most critical section. List every deliverable with its format, specifications, and completion criteria. Use numbered lists for clarity. Explicitly state what is OUT of scope (exclusions) — this prevents "but I thought it included..." arguments later.

In scope: User authentication module (login, registration, password reset), admin dashboard with user management, API integration with Razorpay, responsive UI for mobile and desktop.

Out of scope: Mobile app, multi-language support, advanced analytics, third-party integrations not listed above.

3. Deliverables and Acceptance Criteria

For each deliverable, define what "done" means. This prevents disputes about whether work is complete.

4. Project Timeline and Milestones

Break the project into phases. Each phase should have a start date, end date, deliverables, and payment tied to it. This creates natural payment checkpoints and keeps the project on track.

5. Client Responsibilities

The most often overlooked section. List what the client must provide: content, brand assets, credentials, access, timely feedback, domain/hosting. Include a timeline dependency clause: "Delays in client-provided materials may result in proportional delays in delivery dates."

6. Change Management

Any scope changes beyond what's defined must go through a written change order, signed by both parties, specifying additional fee and timeline impact. This is how scope creep is stopped before it starts.

7. Technical Specifications (for IT/Dev projects)

State: technology stack, hosting environment, supported browsers/devices, performance requirements (page load under 3s, 99.9% uptime), security requirements (HTTPS, data encryption), and hand-off requirements (source code, documentation, credentials).

8. Payment Schedule

Tie payment to milestones, not calendar dates. This aligns financial incentives — you get paid when you deliver, the client pays when they receive value. Include penalties for late payment (1.5–2% per month).

SOW Checklist

• Project overview — parties, objective, start date
• Detailed scope with explicit inclusions and exclusions
• Per-deliverable acceptance criteria
• Phase-based timeline with milestone dates
• Client responsibilities and asset delivery deadlines
• Change order process for scope modifications
• Technical specifications (stack, hosting, performance)
• Payment schedule tied to milestones
• GST breakdown (SAC code for your service)
• TDS clause for corporate clients
• IP ownership — transfers on final payment
• Warranty period (if applicable) after launch
• Both parties' signatures

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