Creating a contract
There are two ways to create a contract:From a closed deal
When a deal moves to Closed Won, you can create a contract directly from the deal page. The contract inherits the deal’s company, value, and contact, and its status is set to Active automatically.Standalone
Go to Contracts in the sidebar (under CRM) and click New Contract. Fill in the details manually.Contract fields
| Field | Description |
|---|---|
| Name | A descriptive name for the contract |
| Company | The company the contract is with |
| Primary contact | The main contact for this contract |
| Owner | The team member responsible |
| ARR | Annual Recurring Revenue |
| MRR | Monthly Recurring Revenue (auto-calculated from ARR) |
| Billing frequency | Monthly, quarterly, annual, biannual, or custom |
| Contract start date | When the contract begins |
| Contract end date | When the contract expires (if applicable) |
| Auto-renew | Whether the contract renews automatically |
| Service level | The tier or level of service |
| Notes | Any additional context |
Contract statuses
| Status | What it means |
|---|---|
| Active | The contract is live and generating revenue |
| Pending | The contract is agreed but not yet started (e.g. linked to a deal that hasn’t closed) |
| Cancelled | The customer cancelled the contract |
| Expired | The contract end date has passed |
| Suspended | The contract is temporarily on hold |
Revenue tracking
ARR and MRR
When you set the ARR (Annual Recurring Revenue), the MRR (Monthly Recurring Revenue) is calculated automatically by dividing by 12.Expansion and contraction
You can record revenue changes on a contract:- Expansion — the customer increased their spend (upsell, more seats, higher tier)
- Contraction — the customer reduced their spend (downgrade, fewer seats)
Renewals
The next renewal date is set to the contract end date by default. If auto-renew is enabled, the contract continues automatically; if not, you’ll want to track the renewal and create a new deal for the renewal negotiation.Searching and filtering
The Contracts page supports:- Search — by contract name or company name
- Filter by status — show only active, pending, cancelled, etc.
Linking deals to contracts
When a contract is created from a deal, the deal is automatically linked. This means:- The deal’s type is set to “subscription_initial”
- The deal page shows the linked contract
- The contract page shows the originating deal