Freelancer Contract Template for SaaS Businesses (UK 2025)
Last updated: February 2025
Why SaaS Businesses Need a Freelancer Contract
SaaS companies frequently engage freelance developers, designers, and product specialists for sprint-based work, feature builds, and specialist integrations. Freelancer contracts must address code repository access, deployment permissions, and comprehensive IP assignment for all contributions to the codebase. Without clear contractual terms, freelancers may retain IP rights to critical features or modules they build, creating serious commercial and legal risk if the relationship deteriorates.
Key Clauses for SaaS
- IP assignment for all code contributions and related documentation
- Repository access protocols and security requirements
- Milestone-based payment tied to sprint deliveries or deployments
- Post-delivery bug fix and warranty obligations
Common Mistakes
- Not revoking repository access and credentials immediately when the contract ends
- Failing to include explicit IP assignment covering all code committed to the product
Template Sections
- IP assignment and code ownership clause
- Access credentials and security obligations
- Milestone definitions and acceptance criteria
FAQ
Does a freelance developer automatically own the code they write for my SaaS product?
Without a written contract explicitly assigning IP, the freelancer likely retains ownership under UK copyright law as the original author. Always include an explicit IP assignment clause transferring all rights in code, designs, documentation, and related work product to your company upon creation or payment.
Should I use a freelancer contract or employment contract for a long-term developer?
If the developer works set hours, uses your equipment, and you control how and when they work, HMRC may classify them as an employee regardless of the contract label. Conduct an IR35 status assessment to determine the correct arrangement, as misclassification carries significant tax penalties and backdated NIC liability for the engaging company.
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Get Started FreeThis is guidance for UK businesses, not legal advice. Templates are illustrative. Consult a solicitor for complex matters.
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