Service Agreement Template

1. Enter your company and customer details. Fill in your company name, license number, and contact info. Then add the customer's name, address, and contact information. The agreement number auto-generates but you can customize it to match your numbering system.

2. Add the covered systems. List every piece of equipment the agreement covers. Include the equipment type, make, model, serial number, and install date. Click "Add Another System" for homes with multiple units. More systems means more revenue per agreement.

3. Select and customize a coverage tier. Choose Basic, Standard, or Premium. Each tier comes pre-loaded with industry-standard pricing and benefits. Adjust the price, tune-up count, repair discount, and included perks to match what your company offers.

4. Generate and print. Click Generate to create a professional, printable service agreement. It includes all the details you entered, the selected coverage tier, payment terms, cancellation policy, and signature lines for both parties.

Service agreements transform an HVAC business from a reactive, seasonal operation into one with predictable recurring revenue. Instead of waiting for the phone to ring when something breaks, agreements guarantee scheduled work throughout the year and build a backlog of committed revenue before the season even starts.

Customer retention skyrockets. A customer with an active agreement is 5 to 8 times more likely to call you for their next repair or replacement than a one-time service customer. They are already paying you, they know your technicians, and they trust your company. That loyalty means fewer leads you need to buy and a lower cost of acquisition for every job.

Agreements increase business value. When buyers or investors evaluate an HVAC company, recurring revenue from maintenance agreements is valued at a significantly higher multiple than one-time service revenue. A company with 500 active agreements is worth materially more than one without — even if total revenue is similar. Agreements also smooth out seasonal cash flow, making it easier to manage payroll, inventory, and growth investments year-round.

Every tune-up visit is also a sales opportunity. Technicians identify aging capacitors, corroded coils, and inefficient systems during routine maintenance. Agreement customers trust your recommendations because they already have a relationship with your company, leading to higher close rates on repairs and replacements.

Launching a maintenance agreement program. You know you need recurring revenue but have never offered agreements before. Use this template to design your tier structure, set competitive pricing, and generate professional contracts. The profitability calculator helps you price tiers that actually make money after accounting for technician labor and materials.

Closing new installs. After completing a system installation, present the customer with a service agreement before you leave the job site. Offer a first-year discount or include the first year with the installation. This is the highest-conversion moment — the customer just invested thousands of dollars and wants to protect their new equipment.

Renewing and upgrading existing agreements. At renewal time, generate an updated agreement with the customer's current equipment details. Use the tier comparison to show customers the value of upgrading from Basic to Standard or Standard to Premium. The incremental revenue from tier upgrades adds up fast across your entire agreement base.