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The disadvantages to a Statement of Work, include: If deliverables are not met, the liability will fall on the agency/freelancer. The responsibility for entering into contracts with suppliers and providing the necessary labour also falls on you as the agency/freelancer.

Each project requires a unique SOW that outlines the specifics of that engagement. That said, almost all SOWs will include seven elements: the Scope of Work, deliverables, time and resources, payment terms, client services, changes, and terms and conditions.

A statement of work should include all elements necessary for successful project completion, including the scope of the work to be done and what is not included; the timeline of when the work is to be completed; and any applicable legal or regulatory requirements.

Purpose of the project. Scope of work being performed. Location of the project, project length, and any work requirements. Expected deadlines and deliverables.

There are three main types of statement of work: Functional SOW. Performance SOW. Design SOW.

A statement of work is a document that defines all the components of a project. It tends to be highly detailed and discusses tasks, deliverables, milestones and schedules. It also clarifies the purpose of the project and the indicators of success. Statements of work generally fit into one of three major categories.

SoWs are a critical part of project planning. Although they may be updated throughout the project lifecycle to reflect changing requirements, they are not the focus of project execution. As such, project SoWs typically do not contain: Risks and risk mitigation plans.