Why you need a Software as a Services Agreement
If you provide Software as a Service (SaaS), then you'll need to create an agreement between you and your clients to define the rules, responsibilities and financial terms for the use of your services in a legally binding document.
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What is a Software as a Services Agreement?
The perfect SaaS agreement will be one that you can use for all your clients, so it needs to be thorough and concise. The agreement should determine the terms and conditions of the use of your software, including subscription, payment, liabilities maintenance and termination.
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Frequently Asked Questions
Q: What is the best definition for SaaS software?
A: SaaS software are cloud-based apps that are licensed and distributed to users via the internet. Commonly used SaaS software includes Zoom, Microsoft 365 Cloud and many Content Management Systems. The global Software as a Service market was valued at $157 billion in 2020.
Q: Why is the SaaS model better than traditional software licencing?
A: The answer is all about retaining control over the product. With the SaaS model, the product does not reside with the end user, they access it via the cloud. This means you as the developer can constantly improve your product, fix bugs, install upgrades and have better security with an oversite of who is using your product, and how.
Q: What are the services included in a SaaS Agreement?
This varies company to company. The basic service is hosting the software and customer data on the supplier’s servers. Some companies might work with a “there is the product, have fun!” approach, while others may offer additional services like customer support, training and maintenance.
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