What this section covers
A contract-first checklist for US and UK firms drafting SLAs with offshore accounting partners. It includes exact, plain-language clauses for turnaround, accuracy, QA sampling, reviewer ratios, escalation, credits, and change control. Use these as copy-paste starting points and adjust numbers to your risk and volume.
1) Turnaround standards tied to priority and calendar
Define what “on time” means across time zones and close cycles.
What it covers
Response and completion times for P1, P2, and P3 work. Clear business hours. Month-end and busy-season cutoffs.
Sample clause
“Vendor will meet the following turnaround targets measured in the Client’s local time zone: P1 items (bank feed breaks, payroll blockers, tax e-file rejects) acknowledged within 60 minutes and resolved within 8 business hours. P2 items (reconciliations, JE reviews, AP exceptions) resolved within 2 business days. P3 items (documentation requests, backlog cleanup) resolved within 5 business days. Month-end tasks will meet the Close Calendar with final deliverables due by T+3 18:00 [Client TZ].”
How it is measured
Ticket timestamps and Close Calendar checkpoints.
2) Accuracy and first-pass yield with rework limits
Stop quality drift by fixing the target and the tolerance.
What it covers
Minimum accuracy, maximum rework, and the definition of an error.
Sample clause
“Vendor will maintain a monthly first-pass yield of ≥ 98.5% across reconciliations, JE preparation, AP coding, and workpapers. Rework will not exceed 1.0% of total items processed. An ‘error’ is any item that requires correction to meet stated SOPs or GAAP presentation. Client will sample outputs weekly to validate rates.”
How it is measured
Item counts, error log, and signed weekly QA sheets.
3) QA sampling rate and second-review rules
Bake consistent review into the SLA, not just into SOPs.
What it covers
Who reviews, how often, and what happens on failure.
Sample clause
“Vendor will apply a documented second-review to at least 20% of weekly outputs for the first 60 days, then ≥ 10% thereafter, with 100% review for P1 tasks. Reviews will use the Client QA checklist and record pass or fail per item. Any week with < 98.5% pass rate triggers a Corrective Action Plan within 2 business days.”
How it is measured
QA checklist artifacts and reviewer sign-offs.
4) Reviewer ratios and minimum staffing coverage
Protect quality during peak periods with the right mix of hands and eyes.
What it covers
Floor for staffing, seniority balance, and coverage hours across US and UK calendars.
Sample clause
“Vendor will staff the engagement with a minimum reviewer ratio of 1 senior reviewer per 6 processors, rising to 1 per 4 processors during month-end and tax season. Coverage will span 08:00–18:00 [Client TZ] on business days, with an on-call senior for P1 incidents until 22:00. Vendor will provide 14-day notice before any material staffing changes.”
How it is measured
Weekly roster, timesheets, and holiday calendar.
5) Escalation path and incident response timelines
Make the route to resolution explicit.
What it covers
Who gets called, when, and what artifacts follow.
Sample clause
“P1 incidents escalate within 15 minutes to the Engagement Manager and within 60 minutes to the Delivery Head. Vendor will issue a preliminary report within 4 hours and a root-cause analysis with corrective actions within 3 business days. Repeat incidents of the same class within 30 days trigger a process review with Client.”
How it is measured
Incident tickets, RCA documents, and follow-up action logs.
6) Service credits and fee holds linked to SLA misses
Create a financial signal without turning the relationship adversarial.
What it covers
Credits for systemic misses and the right to pause fees on undelivered scope.
Sample clause
“For any month in which first-pass yield falls below 98.0% or P1 resolution breaches occur on more than two occasions, Vendor will credit 10% of monthly fees. If on-time delivery against the Close Calendar falls below 95% in a month, Vendor will credit 5% of monthly fees. Credits are cumulative and apply to the next invoice. Client may hold payment for undelivered milestones until accepted.”
How it is measured
Monthly KPI pack with sign-off.
7) Change control, freeze windows, and audit rights
Prevent slippage introduced by uncontrolled change.
What it covers
How templates, SOPs, and systems change. What freezes during close. Client’s audit access.
Sample clause
“Changes to SOPs, templates, or systems require written approval via a Change Request with impact analysis. No non-urgent changes during freeze windows: T-2 to T+2 for month-end, and 10 days before statutory filing deadlines. Client retains the right to perform a desk audit of controls and access logs quarterly with 5 business days’ notice. Vendor will retain activity and access logs for 12 months.”
How it is measured
Change log, freeze calendar, and audit findings.
Putting it together in one page
Include a one-page “SLA Schedule” in the MSA or SOW with:
- Definitions for P1, P2, P3 and what counts as an error
- The Close Calendar with time zone and due times
- The seven clauses above with the exact targets you choose
- The monthly KPI pack format and sign-off owners
