Partners · The agreement · Component
The commercial terms
Price, payment and how both change over the term — including the mechanisms nobody looks at until they trigger.
The deliverable
What it is
The price at signature is the least important commercial term. How it changes, what triggers a change, and what happens at renewal all matter more over a multi-year arrangement.
Automatic escalation clauses compound quietly and are frequently discovered years later during a cost review.
One level in
What it is made of
Each element is a constituent part of the component. Follow one to see the attributes it carries.
The pricing basis
What is charged and on what basis.
3 attributes: Price · Basis · What it covers
LearnThe payment terms
When money moves, and what conditions attach.
3 attributes: Payment terms · Trigger · Conditions
LearnThe change mechanism
How price changes over the term, and how scope changes are handled.
3 attributes: Escalation · Review point · Change control
Learn
Model the escalation clause over the full term at signature. Compounding is discovered years later otherwise.
The other components in the agreement
The obligations
What each side commits to deliver, by when, to what standard — written as observable commitments rather than as intentions.
LearnThe exit terms
How the arrangement ends — notice, transition, and what each side keeps. Negotiated while everyone is optimistic, or not at all.
Learn