Value Proposition: The intercompany agreement template establishes the “scope of service/transaction,” “pricing method,” “invoicing terms,” and “approval path” in a single archivable document: Agreement Template → Pricing & Invoicing Terms → Approval & Version Control → Evidence Index → Intercompany Agreements Pack instead of group transactions without a clear contract or without linking pricing, invoicing, and accounting.

In 20 Seconds: What Will You Get?

• Intercompany Agreement Template (contract structure) ready for the relevant parties within the group.
• Scope of Services / Deliverables: A clear clause on what is provided and what is not + method of measuring benefit (Usage basis).
• Pricing Clause: Pricing method (Cost plus/fee/markup) + definition of cost base + reference for the markup.
• Invoicing & Settlement Terms: Billing frequency, currency, tax if applicable, payment terms, settlement methods.
• Documentation & Support: What documents are attached to the invoice (charge-out schedule / calculator output).
• Approvals & Version Control: Approval page and effective dates + change log for appendices/prices.
• Agreements Pack Index: An index linking the contract to its appendices and pricing evidence within a single file.

CTA related to deliverables: Receive Agreement Template + Pricing/Invoicing Schedules + Approvals to document intercompany transactions and link them to pricing, invoicing, and archiving.

Suitable For

• Group Finance wants to standardize the format of service agreements within the group and establish invoicing terms.
• Tax/TP needs documents that support the pricing method and link it to appendices and charge-out.
• Legal / Corporate wants a standardized template that can be reviewed and approved, then replicated across entities.

Not Suitable For

• Those who want a “ready-to-sign legally” contract without local legal review (the template needs adaptation and legal approval).
• A company that does not engage in intercompany transactions or does not wish to document invoicing/pricing terms (no operational scope).

Without the Template / With the Template (Quick Comparison)

Before Use: 5 Symptoms Present in Intercompany Contracts

• Intercompany invoices issued without an agreement defining the scope, method, and markup.
• Pricing of services changes periodically without a change log or approval.
• No pricing appendices/charge-out schedule attached to invoices to explain value.
• Disputes between companies within the group regarding “what are we liable for?” and “how was it calculated?”.
• During TP documentation or audit: no file linking the agreement to the GL and transactions.

Intercompany Agreements: Implementation Method (3 Steps Without Gaps)

Step 1: Define Transaction Scope and Parties

• Identify the parties (Service provider / Service recipient) + legal entity + effective date.
• Define the scope of service/transaction: deliverables + SLAs (if any) + what is out of scope.
• Determine the measurement method: hours/usage/revenue/headcount/allocation rules.

Step 2: Pricing + Invoicing + Controls

• Establish Pricing method: Cost plus or Fee or Resale (according to your scope) and link it to the pricing appendix.
• Define Cost base and exclusions + allocation keys + frequency of data updates.
• Specify Invoicing terms: billing frequency, currency, payment terms, handling FX/Timing differences, and attach charge-out schedule.

Step 3: Approve Version + Archive + Operational Linkage

• Sign and approve the version (Approvals) + establish Version/Date + change log for appendices.
• Archive the agreement within the Agreements pack with pricing and invoicing appendices.
• Link the agreement to operational outputs: intercompany pricing calculator / monthly review pack / IC tracker (if applicable).

Product Components (Clear Inventory)

1. Intercompany Agreement Template (Agreement Structure)
   • Practical Purpose: A standardized template that includes key clauses: parties, scope, pricing, invoicing, documentation, termination/renewal.
   • When to Use: When signing a new agreement or standardizing existing agreements.
   • Resulting Evidence: A draft agreement ready for legal review and approval.
2. Pricing Schedule Annex
   • Practical Purpose: Documenting the method (Cost plus) + markup + definition of cost base + allocation keys.
   • When to Use: With every agreement + when updating markup or cost pools.
   • Resulting Evidence: An approved pricing annex linking the agreement to the calculator and monthly results.
3. Invoicing & Settlement Schedule
   • Practical Purpose: Defining billing frequency, currency, payment terms, handling rejections/disputes, and required attachments.
   • When to Use: During monthly operations and whenever there is a billing discrepancy between entities.
   • Resulting Evidence: A billing annex that reduces disputes over “method” between parties.
4. Documentation & Attachments Checklist
   • Practical Purpose: Specifying what should be attached to the agreement/invoices: calculator output, cost pools, allocation key reports.
   • When to Use: When issuing the invoice/intercompany entry and when preparing the Year-End pack.
   • Resulting Evidence: An attachments checklist that reduces “lack of evidence” during review.
5. Approvals & Version Control
   • Practical Purpose: Documenting who approved the agreement, when, and what the current reference version is.
   • When to Use: Upon final approval or whenever there is a change in appendices.
   • Resulting Evidence: An approval log + change log preventing multiple unknown copies.
6. Agreements Pack Index
   • Practical Purpose: Compiling agreements and their appendices in an indexed pack that can be linked to the TP documentation file.
   • When to Use: Annually or during audits or when delivering the group file.
   • Resulting Evidence: An index linking each agreement to its appendices and related transactions.

CTA related to deliverables: Agreement template + pricing annex + invoicing schedule + approvals to document and operationalize intercompany transactions.

What Should Be Included in the Delivery?

• 01 – Agreement (Word): The main agreement with all clauses + parties + effective date.
• 02 – Pricing Annex: Pricing method + cost base rules + markup + allocation keys + approval date.
• 03 – Invoicing Schedule: Billing frequency, currency, payment terms, handling disputes, attachments.
• 04 – Attachments Checklist: List of what to attach to the invoice/entry (calculator outputs / cost pool reports).
• 05 – Approvals & Version: Internal approvals/minutes + change log + reference version.
• 06 – Agreements Pack Index: An index linking agreements to appendices and related entities.
• 07 – Link to Operations (Optional): Link to the intercompany pricing calculator or monthly review pack if within your system.

After Implementation (Two Points Only)

• Operational Outcome for the Team: Intercompany billing becomes based on a clear agreement and appendices (scope + pricing + invoicing), reducing internal disputes.
• Control/Audit Outcome (Evidence & Traceability): Any intercompany amount can be linked to a valid contract and pricing annex with supporting documentation, facilitating TP documentation and audits.

FAQ — Questions Before Purchase

Is this a legal contract ready for signature?

It is a template organized for intercompany clauses and requires local legal/tax review and approval before signing according to your country and the required contract language.

Does it cover only intra-group service agreements?

It primarily covers services and can be adapted for fees/goods/loans by adding appropriate appendices (pricing/invoicing). The goal is to standardize “documentation and operational” clauses.

Does it support Cost plus and Management fees?

Yes, through the Pricing clause + Pricing annex (cost base + allocation key + markup) with the ability to specify the type of service for each clause.

Does it specify final markups?

It provides a space to document the approved markup and link it to an internal matrix or decision. Specifying the final percentage may require benchmarking or group policy.

What is the minimum information required to fill out the agreement?

The parties + type of service/transaction + pricing method + billing frequency + currency + allocation/measurement keys if applicable + approval path.

Does it help reduce intercompany discrepancies?

Yes, because the agreement specifies billing rules and required attachments, making reconciliation easier and reducing timing and rejection discrepancies.

Can it be included in the TP Documentation Pack?

Yes. The Agreements pack is one of the key attachments of the Master/Local file and can be indexed within the Evidence index.

Does it include tax terms (VAT/WHT)?

A “Tax treatment” clause can be included generally (according to your system), but details vary by country and should be reviewed tax-wise before final text approval.

Ready to Document Intercompany Transactions with a Contract and Appendices?

You will receive: Agreement template + pricing annex + invoicing schedule + approvals + pack index to document intercompany transactions and link them to pricing and invoicing.