POC SaaS: why is a specific contract essential?
Offering a POC (proof of concept) is a common commercial strategy for SaaS publishers. What to check in a POC agreement.
Offering a POC (proof of concept) is a common commercial strategy for SaaS publishers. It makes it possible to convince a prospect through a demonstration, without asking for a firm commitment from the start. This trial period is often decisive in winning the deal. But for it to be really beneficial, it must be legally well regulated.
Some publishers use a classic SaaS contract with a free or discounted first period. If the customer does not cancel at the end of this period, the contract automatically continues. It is a trial period, integrated into the main contract.
But the POC works differently. It is limited in time, without automatic renewal, and does not yet engage the parties in a long-term commercial relationship. It is a specific agreement, which deserves a specific contractual framework.
The POC does not have the same purpose as a traditional SaaS contract. Its objective is evaluation, not commercial exploitation. The functional scope is often restricted. The customer does not benefit from the same level of service, nor the same guarantees. The contract should therefore reflect this.
A standard SaaS contract imposes strong obligations on the service provider: availability, support, maintenance, security... These commitments are unsuitable for a test phase. A POC contract allows limit the scope of commitments And of reduce legal exposure.
Here are the key points to include in a POC contract to effectively manage the test phase:
A POC is a limited phase, often lasting 15 to 60 days. It must end automatically, unless expressly agreed otherwise. This avoids any ambiguity about an implicit commitment by the service provider.
The customer should only have access to the functionalities needed to evaluate the solution. The contract may provide for:
This makes it possible to limit technical, competitive or contractual risks.
By default, the provider does not have any guarantee of availability, support, or security. These benefits may remain optional. If some are provided on an exceptional basis, they should be specifically mentioned.
The contract must exclude any obligation of result. The provider does not guarantee the success of the test, only that it will provide the necessary means to carry it out.
A POC is not an operating contract. It is therefore legitimate to drastically reduce liability : low ceiling, extended exclusions, lack of compensation for indirect losses. The aim is to protect the SaaS company during this low engagement phase.
The POC is often free or offered at preferential terms. If fees are invoiced (implementation, customization, training...), they must be clearly defined. The contract must also specify that they do not prejudge the cost of the future subscription.
A well-written POC contract shows the prospect that you are structured and professional. It sets the rules of the game from the start, while avoiding prematurely engaging both parties in a long relationship.
If successful, it will serve as a springboard to a classic SaaS contract. In case of failure, it protects your interests. It limits the risks of litigation and prevents abuses (prolonged access, unauthorized reuse, etc.).
Offering a POC is an excellent commercial approach, but it requires a clear, precise and adapted contract. Don't use a traditional SaaS contract in an independent testing context. A dedicated contract makes it possible to secure this phase while maintaining your margin of maneuver. If you want to manage your POCs effectively, I can help you design a contractual model adapted to your business.
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