Tom Melhuish 5 min read

Business Broadband service-level agreements (SLAs): Who uses them and why?

The service-level agreement (SLA) defines the benchmark broadband performance you’re signing up for and is a key support document if you ever have any issues with your business broadband provider.

In this post, we take a deep dive into SLAs so you are in the best possible position if you ever need to claim or complain.

Contents

What is a business broadband service-level agreement?
Why do I need an SLA?
What should be included in an SLA?
Who provides the SLA?
What to look for in a service-level agreement?
What broadband products do we compare that offer service-level agreements?

What is a business broadband service-level agreement?

A business broadband service-level agreement (SLA) is a formal contract between a business and its broadband provider that defines the expected standard of internet service.

It defines performance metrics like connection speed, uptime, and latency and details the procedures for handling disruptions, including response times for resolving issues and potential compensations for service failures.

Why do I need an SLA?

Running a business is hard enough without worrying about your broadband connection.

An SLA will set clear expectations between you and your provider, ensuring that you get the broadband performance you need while providing a measure of recourse if services fail to meet standards.

It provides the certainty and guarantees you need to concentrate on the hard stuff.

What should be included in an SLA?

The following should be included in your business broadband providers SLA:

Installation: Providers will commit to an installation date in the SLA and must comply before or on the date confirmed. A course of action and compensation should also be included if the installation doesn’t happen on time.

Service availability (Uptime): This is the % amount of time your broadband service is up and operational over a specified period. SLAs typically commit to 99.9% availability for business broadband but will vary depending on location, service and provider. For clarity, 99.9% availability on a year-long period allows for about 9 hours of downtime.

Network latency: This refers to the delay in data transmission over a network. High latency results in noticeable delays in communication, while low latency indicates a fast, responsive network. Latencies below 20ms may be guaranteed for fibre connections near an exchange and may go down to below 10ms for leased-line broadband. The SLA will also define how any delays will be rectified and compensated.

Getting you back online: The service-level agreement should also guarantee a maximum resolution time frame for any issues causing downtime and any compensation if this isn’t achieved.

Excellent customer service: The SLA will include support availability hours, response time guarantees, outline communication channels (e.g. phone, email or live chat), and outline procedures for escalating issues if the initial response is inadequate.

Who provides the SLA?

The SLA is provided by the business broadband provider of your choice, who will commit to providing the outlined service level.

What to look for in a service-level agreement?

Your broadband service-level agreement should meet your specific business needs. Here are a few examples to illustrate this point:

E-commerce Businesses: Any downtime can result in lost sales and a damaged reputation; 24/7 support is essential.
Financial Services: Banks and investment firms need reliable networks for secure transactions and real-time data.
Streaming Businesses: Live streaming content creators rely heavily on high-quality, uninterrupted, low-latency streaming.
Small Retailers: Downtime can lead to PoS disconnection and sales losses.