{"head":{"title":"What Goes in a Statement of Work for Software? | OceanLab","description":"A software statement of work sets out scope, deliverables, milestones, acceptance, roles, pricing and change handling. The sections to include and why.","canonical":"https://oceanlab.in/questions/what-goes-in-a-statement-of-work"},"crumbs":[{"name":"Home","path":"/"},{"name":"Questions","path":"/questions"},{"name":"What goes in a statement of work?","path":"/questions/what-goes-in-a-statement-of-work"}],"question":"What goes in a statement of work?","answer":["A statement of work (SOW) says what will be delivered, by when, how it will be accepted and how it will be paid for. For software that means scope and deliverables, milestones, acceptance criteria, who does what on each side, the pricing model and how changes are handled."],"sections":[{"heading":"The sections to include","body":[],"bullets":[["Goals and background, in a few lines."],["Scope: what is in, and just as important, what is out."],["Deliverables: code, designs, documentation, environments, access."],["Milestones and dates, each with its own deliverables."],["Acceptance criteria and the review period for each milestone."],["Roles and responsibilities, including what the client must provide and when."],["Pricing model, rates or milestone payments, and invoicing terms."],["Change process: how a change is requested, priced and approved."],["Assumptions, dependencies and risks."],["Ownership, handover and warranty, or a reference to the master agreement that covers them."]]},{"heading":"Make acceptance concrete","body":[["Most disputes come from vague acceptance. Tie each milestone to criteria anyone can check, such as \"a user can complete checkout with a test card on staging\", and agree how long the client has to review. A ",{"href":"/glossary/clickable-prototype","text":"clickable prototype"}," attached to the SOW makes scope much harder to misread."]],"bullets":[]}],"faqs":[{"question":"What is the difference between an SOW and an MSA?","answer":"The master services agreement holds the long-term legal terms. Each SOW under it covers one piece of work: scope, dates and price."},{"question":"Does an hourly project need an SOW?","answer":"Yes, a lighter one: goals, team, rates, budget cap, reporting and how priorities are set."},{"question":"Who writes the SOW?","answer":"Usually the vendor drafts it and the client edits it. Read the out-of-scope and assumptions sections closely."}],"terms":[{"href":"/glossary/fixed-price","label":"fixed-price contract"},{"href":"/glossary/time-and-materials","label":"time and materials"},{"href":"/glossary/clickable-prototype","label":"clickable prototype"},{"href":"/glossary/mvp","label":"MVP"}],"tools":[{"href":"/tools/sow-template","label":"SOW template","detail":"Free tool"},{"href":"/tools/change-request-template","label":"Change request template","detail":"Free tool"}],"links":[{"href":"/glossary/statement-of-work","label":"Statement of work","detail":"Glossary"},{"href":"/glossary/acceptance-criteria","label":"Acceptance criteria","detail":"Glossary"},{"href":"/glossary/milestone","label":"Milestone","detail":"Glossary"},{"href":"/glossary/change-request","label":"Change request","detail":"Glossary"}],"related":[{"href":"/questions/fixed-price-or-hourly","label":"Should I pay fixed price or hourly for software?","detail":"Question"},{"href":"/questions/who-owns-the-code","label":"Who owns the code when you hire a software agency?","detail":"Question"},{"href":"/questions/how-to-write-a-software-rfp","label":"How do I write a software RFP?","detail":"Question"},{"href":"/compare/ai-agent-vs-workflow-automation","label":"AI agent vs workflow automation","detail":"Comparison"},{"href":"/compare/rag-vs-fine-tuning","label":"RAG vs fine-tuning","detail":"Comparison"},{"href":"/glossary","label":"Glossary","detail":"Every term, in plain words."}],"sources":[],"legal":false,"updatedAt":"2026-10-25"}