TC
ToolCompared
Glossary

SLA (Service Level Agreement)

A contract defining the expected level of service between a provider and a customer.

A Service Level Agreement (SLA) is a formal contract between a service provider and a customer that defines the expected level of service, including uptime guarantees, response times, and remediation procedures. For software and SaaS products, SLAs typically express uptime as a percentage (e.g., 99.9%) and specify financial penalties — often called service credits — if the provider fails to meet those targets.