Business Contract is a legally binding agreement that outlines the terms and conditions between UCLA and a single External Customer for a specific Sales and Service Activity for a limited time and generally produce net income. Examples include, but are not limited to, Olympic Analytical Lab Business Contracts, educational exchange programs, training programs, workshops, and incubators.
Prior to establishing a new Business Contract, the department will consider the following criteria:
- The goods and/or services do not constitute research activities
- There is a demand for the goods and/or services by a single External Customer
- There is a beneficial relationship with a single External Customer for the goods and/or services
- The cost of goods and/or services can be clearly identified
- The timeline to deliver the goods and/or services can be clearly defined
- Price can be set high enough to generate a net income after costs and the Overhead Recovery
- Any potential or actual financial conflicts of interest and/or other conflicts of interest with External Customers have been reviewed and managed in compliance with applicable regulations and UC/UCLA policies
Submission
For application submission, please see instructions on the Business Contracts website.
Approval
Once the application form(s) and the Business Contract pricing is approved by BFS, the necessary fund(s) will be assigned to the department to track the Business Contract’s revenue and expense. Business Contracts will typically involve academic programs that are also governed by other UCLA policies and require additional review and approval processes beyond UCLA Policy 340 (see UCLA Policy 970 and Policy 980).
Amendments to Business Contracts
Amendments to Business Contracts must be reviewed and approved by BFS prior to execution of the amendment.
Closure
Closure of a Business Contract is subject to the terms and conditions of the specific contract. When performance under the Business Contract is complete, BFS will conduct a financial reconciliation and complete the fund closure process.
Questions
For questions related to Business Contracts, please contact businesscontracts@finance.ucla.edu.
