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Service Level Agreement (SLA) Template - Free Download & Example

Download our free SLA template. Includes uptime guarantees, response times, escalation procedures and penalty clauses. Ready to use for IT service providers and SaaS companies.

A Service Level Agreement (SLA) is a formal contract that defines the expected service levels between a provider and a customer. This template provides a comprehensive framework for defining availability guarantees, response times, performance thresholds, escalation procedures and compensation arrangements. It includes measurable KPIs so both parties can objectively determine whether commitments are being met. A well-drafted SLA prevents misunderstandings, protects both parties and establishes the foundation for a transparent business relationship.

Variations

Enterprise SLA

Comprehensive SLA for large enterprise clients with 99.99% uptime guarantee, 24/7 support with response times under 15 minutes for critical incidents, dedicated account manager and financial compensation clauses.

Best for: Intended for enterprise contracts where the client is mission-critically dependent on the service and expects maximum availability and support.

SaaS SLA

Standardized SLA for SaaS products with 99.9% uptime guarantee, service credits on breach, scheduled maintenance windows and transparent status page communication.

Best for: Suitable for SaaS companies offering a uniform SLA to all customers, with clear terms that scale as the business grows.

Internal SLA

Internal SLA between departments within the same organization. Contains agreements on response times for internal tickets, priority matrix, responsibilities and periodic reviews.

Best for: Ideal for IT departments that want to formalize internal service delivery to other business units, without legal compensation clauses.

How to use

Step 1: Download the SLA template and identify the services covered by the SLA, including a clear scope of what is and is not included. Step 2: Define the availability guarantee (e.g. 99.9% uptime on a monthly basis) and specify how uptime is measured and which periods are excluded (scheduled maintenance, force majeure). Step 3: Establish response times and resolution times per priority level (P1 critical to P4 low), with clear definitions of what each level entails. Step 4: Describe the escalation process with contact persons, time limits and communication channels for each escalation step. Step 5: Define the compensation arrangement for non-compliance, such as service credits calculated as a percentage of monthly costs. Step 6: Include measurement methods and reporting frequency, including which tools are used for monitoring and how reports are shared. Step 7: Add a review clause that determines how often the SLA is reviewed and under which conditions it may be adjusted. Step 8: Have the SLA legally reviewed and signed by both parties.

Further reading

TemplatesStakeholder Report Template - Free Download & ExampleSoftware Cost Estimation Template - Free Download & ExampleWhat is an SLA? - Definition & MeaningWhat is an API? - Definition & Meaning

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Frequently asked questions

An SLA is a formal contract between provider and customer with legal consequences for non-compliance. An SLO (Service Level Objective) is an internal target that is more ambitious than the SLA threshold, ensuring you always have a safety margin before breaching the SLA.
Calculate uptime as: (total minutes in the period - unplanned downtime minutes) / total minutes × 100%. Exclude scheduled maintenance. The difference between 99.9% and 99.99% is significant: 99.9% allows 43 minutes of downtime per month, 99.99% only 4.3 minutes.
Review your SLA at least annually or when significant changes occur in service delivery. Include a review clause that triggers automatic revision upon major incidents, contract renewals or architecture changes.

What is the difference between an SLA and an SLO?

An SLA is a formal contract between provider and customer with legal consequences for non-compliance. An SLO (Service Level Objective) is an internal target that is more ambitious than the SLA threshold, ensuring you always have a safety margin before breaching the SLA.

How do you calculate the correct uptime percentage?

Calculate uptime as: (total minutes in the period - unplanned downtime minutes) / total minutes × 100%. Exclude scheduled maintenance. The difference between 99.9% and 99.99% is significant: 99.9% allows 43 minutes of downtime per month, 99.99% only 4.3 minutes.

How often should an SLA be reviewed?

Review your SLA at least annually or when significant changes occur in service delivery. Include a review clause that triggers automatic revision upon major incidents, contract renewals or architecture changes.

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