What Is an HVAC Service Agreement?

First things first, HVAC stands for heating, ventilation, and air conditioning systems. And they are known as technologies responsible for controlling humidity, temperature, and air quality in an enclosed area. A service agreement, on the other hand, is a form of maintenance agreement where specific services must be conducted regularly and should align according to the stipulations in the agreement. Combine these terms together and you have an HVAC service agreement, which is the official agreement used to have an individual or company perform HVAC services to the clients’ HVACs in a specified amount of time and fee.

According to Terry’s A/C & Heating’s research survey, 85% of customers with well-maintained HVAC equipment infrequently experience a breakdown.

Also, the US Bureau of Labor Statistics (BLS) reported that the heating, air conditioning, and refrigeration mechanics have an annual salary of $47,610 or an hourly rate of $22.89.

Why Are HVAC Service Agreements Important?

It is a no-brainer that maintenance services are beneficial to ensure products and equipment stay in top shape all the time. And the same can be said towards HVAC equipment where specific services are necessary to increase their efficiency, continue operations well, and prevent expensive repair costs in the long run. And with the HVAC service agreement itself, why is it important? Here is a list of reasons that prove just how essential HVAC service agreements are:

Scheduled Services

The HVAC service agreement is where you can set out a scheduled maintenance plan for clients. So when the HVAC services are already scheduled whether it is a daily, weekly, monthly, quarterly, or annual maintenance, HVAC systems rarely receive breakdowns or heavy issues. Thanks to the HVAC service agreement, you have an actual detailed plan of what is meant to happen from the start until the end of a transaction.

Extended Services

It is through HVAC service agreements that services can be extended. Instead of just offering HVAC services for a year, it can be continued for the next few months and may go on a regular basis. Besides extending the time of operations, services can also be extended such as offering more than just repair services but also HVAC installation and upgrades. Nonetheless, there are more savings to an extended service rather than buying a brand new HVAC system.

Provides Options

Just like a price list or invoice template, the HVAC service agreement also provides different options of prices and services for clients. For example, a client may opt for a bundled service of paying for both HVAC maintenance and upgrades to save, or a client simply selects one type of service for the whole service plan. The point is that HVAC services are too extensive so it helps a lot to determine what specific services, costs, and terms are observed in an organized sheet known as the HVAC service agreement form.

Follows an HVAC Service Proposal

It is proper to pitch a heating, ventilation, or air conditioner maintenance service proposal first until you can submit the HVAC service agreement. It is through the service proposal that you give clients an idea of what the general HVAC service plan looks like while you curate and specify things further in the HVAC service agreement to close a deal. Hence, you need the agreement to push through with the proposal.

Legal Documentation

HVAC service agreements are important as they are legal documents in the first place. Any form of contract or agreement should not be taken lightly because it can be used for court evidence when disputes arise. With that said, it only makes sense for HVAC service agreements to be written meticulously as any error found there could be used against you in the long run. As much as possible, keep your very own copy of the agreement in case it will be needed.

Standard Components of an HVAC Service Agreement

While it is clear what an HVAC service agreement is and why it is essential, the next concern is to familiarize what makes up this said agreement in the first place. While HVAC service agreements may look different from one example to another, there is actually a common format. And they consist of the following basic components:

HVAC Equipment Description: Indeed, the mission of the agreement is to perform HVAC services. But which specific equipment requires maintenance? Be sure that the HVAC service agreement names the HVAC system to be serviced as well as a detailed description of it for clarification. Sometimes, it is not only the equipment as a whole but specific parts that require services from the minor parts such as fuses and screws down to the major parts. The equipment list may include supplies to be utilized by mechanics too.Number of Visits: How many visits should HVAC specialists make? Jot it down in the HVAC service agreement. There are instances where a service contract or agreement offers quarterly visits, yearly visits, or just twice a year. Also, the result can be according to the HVAC technicians as they know best about the recommended dates and the reasons behind the suggested number of visits.Service Tasks: Another crucial component of an HVAC service agreement is the service or task list. The tasks to be performed by technicians should be enumerated such as changing air filters, lubricating minor or major parts, maintaining the thermostat’s condition, monitoring the equipment’s wear and tear, inspecting for leaks, and evaluating the fan. And it serves as the guide in terms of what the expected services are. Complaints would be expected if any service mentioned did not happen.Service Schedule: A list of service tasks without any schedule is merely a to-do list. So be sure to insert an HVAC service or maintenance schedule too. That way, there is a deadline set on when to actually establish each task. Also, the schedule helps clients and technicians know when to expect the HVAC services. Hence, everyone will be on the same page as of the service time and prevent any problem until the service is done.Payment Terms: Of course, you cannot forget about the payment details in the agreement. How much would be the service costs? Also, state the expected payment schedule and the allowable options for the payment method. This part also clarifies if the payment plan is covered per hour or per service. What matters the most is that the who, what, when, where, why, and how of the HVAC service costs are answered in this part of the agreement.General Terms and Conditions: Any agreement would not be complete without the general terms and conditions. But this time, aim to mention HVAC maintenance contract terms and conditions. That means the agreement party information, liabilities, termination of contract or agreement, and other general stipulations would be present in this section.Others: Other inclusions not yet mentioned in the agreement can be inserted in the “Others” segment. You may need to insert an addendum to agreement focusing on emergency operations, rebates, priority scheduling, and other concerns. Just be sure those add-ons are relevant to the HVAC service agreement so they still serve a great purpose.

How to Build a Proper HVAC Service Agreement

Creating the HVAC service agreement is not that difficult but it doesn’t mean you just write it carelessly. It is still an agreement so its content cannot be taken for granted. And with everything you learned about the HVAC service agreement’s definition, importance, and components, you are more than ready to apply what you learned by making the agreement itself. Here are the steps on how to make the HVAC service agreement:

Step 1: Review Your HVAC Service Business as a Whole

If you are to pitch your HVAC services and write every single detail about it in an agreement form, it only makes sense to review your business in its entirety first. It will help you be reminded of your company’s goals and objectives, terms and conditions, costs and packages, and other data to input into the agreement. The last thing you want to make is an agreement with outdated or incorrect details. So once you are sure of your background, it is easier to make the HVAC service agreement your own.

Step 2: Download a Sample HVAC Service Agreement Template

Things get easier when you have a sample template used for your reference in creating the agreement. Using premade, editable, and printable HVAC service agreement samples, rest assured, you never have to start from the very beginning. Just choose a template, be guided by its format and data, then customize your agreement according to preference. Loads of options are available anyway such as a printable HVAC contract template, HVAC preventive maintenance agreement template, and so much more.

Step 3: Add the Basic Components of an HVAC Service Agreement

Can you still remember the standard components of an HVAC service agreement? Insert every element from the HVAC equipment description down to others. Besides those important parts, you can also add more stipulations that you think are essential to your agreement. However, adding one detail to another means you should observe your content’s organization. Know how to arrange each element you insert and the flow of the details must run in an easy-to-follow structure.

Step 4: Compel Your Audience

An important way to make sure clients would be driven to sign the HVAC service agreement is when you compel them to do so effectively. Don’t just directly put your services and their corresponding costs; state the benefits and reasons why customers would benefit from the service too. Mind your audience as the content of the HVAC service agreement should be customer-centric. An example is to state facts like how 85% of customers with maintained HVACs infrequently get system breakdowns.

Step 5: Market Your Business

Most importantly, don’t forget to incorporate a mini-marketing plan for your business in the agreement form itself. You can include your company name, business address, contact information, company logo, and other branding details to promote your enterprise. Another idea to both compel audiences and market your brand is to state that your company is licensed, certified, and experienced. You can be as creative as you can be as long as everything you stated is true. When you’re done, submit the agreement to the client.


Why should I sign an HVAC service agreement?

Clients receive a bunch of benefits after they sign an HVAC service agreement. Obviously, your HVAC systems would be in excellent condition as they are maintained as promised. Also, you need not remember when the HVAC service should happen since technicians themselves are scheduled already, especially if they conduct regular maintenance. And, expect peace of mind that you will be comforted by HVACs for a long time, thanks to the professional services done to those systems.

How much does regular AC maintenance service cost?

On average, regular air conditioning maintenance service costs around $75–$200. And some extended services could reach from $150–$500, especially if both heating and cooling systems are concerned, aka HVAC systems. Just be sure to review the HVAC service company’s cost sheet as the price may vary from one company to another.

How much do HVAC mechanics earn?

BLS reported that heating, air conditioning, and refrigeration mechanics receive a yearly salary of $47,610 or an hourly rate of $22.89.

Whether you run a business that offers HVAC services or a customer in need of HVAC maintenance, one thing is sure—you both want the HVAC equipment to always work properly. And adding an HVAC service agreement to the picture is a spectacular idea between contractors and clients for the sake of keeping heating, ventilation, and air conditioning systems in top-tier condition no matter what. So set a binding agreement by downloading and optimizing a sample HVAC service agreement template now!