Project Charter Template: How to Write One (Examples)

Many projects begin with a verbal go ahead and nothing written down. Later, people disagree about what was approved, who the sponsor was or how much money there is. A project charter is the cure. It's not glamorous, but it turns a vague go ahead into something everyone can point to.

This guide covers what a project charter contains, a template you can copy, and a worked example. We'll also look at how it differs from a project plan and a requirements document, because people mix those up a lot.

What is a project charter?

A project charter is a short formal document that authorizes a project and sets out its basic terms. It names the sponsor, describes the goal and scope, lists the main deliverables and risks, and gives the project manager the authority to start. Once it's signed, the project officially exists.

It should be short. One or two pages is plenty. If it's longer, you're probably writing the project plan by mistake.

Project charter vs project plan vs PRD

In order, you normally write the charter first, then the plan and the requirements. If you need a structure for the last one, our free PRD template is a good place to start.

What goes into a project charter

Project title and purpose

A clear name and one or two sentences about why the project exists. What problem does it solve, or what opportunity does it chase?

Objectives and success measures

What the project aims to achieve, in terms you can check. "Reduce average support response time to under two hours" works. "Improve support" does not.

Scope

What's in and, just as important, what's out. People skip the out part and regret it.

Main deliverables and milestones

The key things the project will produce and the rough dates. No need for a full schedule yet.

Stakeholders and roles

The sponsor, the project manager, the core team and anyone who must be consulted or kept informed.

Budget and resources

A high level figure for money, people and time. Even a range is better than nothing.

Risks, assumptions and constraints

The big things that could go wrong, what you're assuming to be true, and the limits you're working within.

Approval

Names, roles and signatures or confirmation from the people with authority. Without this, it's just a proposal.

A free project charter template

A worked example

Here's a short illustrative charter for a customer portal project.

It fits on a page and answers the questions people tend to ask three months later. Who approved this? What did we promise? What did we say we wouldn't do?

How to write a project charter in five steps

• Talk to the sponsor first, so you understand the real reason for the project

• Draft the charter using the template, keeping every answer short

• Check the scope and objectives with the main stakeholders

• Fix disagreements now, before they turn into project problems

• Get the formal approval and share the signed version with everyone

Project charters for agile and small projects

Not every project needs a formal document with signatures. For a small project or an agile team, a lighter charter works just as well. A single page with the purpose, the goal, the sponsor, the team, the rough budget and the main risks is enough to avoid most misunderstandings.

A simple test works well. If somebody asked in six months who approved this and what they agreed to, could you show them something? If yes, you have a charter, however short.

A one page version

• Why are we doing this? One or two sentences

• What does success look like? One or two measures

• What's in and what's out?

• Who's the sponsor, who's the project manager and who's on the team?

• Roughly how much time and money?

• What are the top three risks?

Who should sign it

The sponsor is the one signature you can't skip, because they hold the budget and the authority. Beyond that, add the heads of any department that will lend people or be affected, such as engineering or operations. Keep the list short. Every extra signature adds a week.

A quick charter checklist

• Purpose is clear in two sentences

• Objectives can be measured

• In scope and out of scope are both written down

• Sponsor and project manager are named

• Budget and timeline are at least roughly stated

• Top risks are listed

• Approval is recorded with names and dates

What happens after approval

Once the charter is signed, the real planning begins. You'll write the project plan, break the work into deliverables, set up your tracking and hold a kick off with the team. Share the charter with everyone involved, and pin it somewhere easy to find. People refer back to it more than you'd expect, usually when they're about to disagree.

Where the charter fits in your project structure

The charter sets the top level of your project. Everything else hangs below it. If you're deciding how to break the work into levels, our guide to the 4-tier project management hierarchy shows one way to organize it.

If you plan to keep project charters inside a tool, the Sanplex project charter management (product docs) explain how it's done in Sanplex.

Common questions from sponsors

Sponsors usually ask the same few things when they read a charter, so it's worth answering them up front.

What exactly will I get?

That's your deliverables list. Keep it in plain language, with no jargon the sponsor would need to translate.

When will I get it?

Give rough milestones, and be honest that they'll firm up once planning is done. A range beats a date you can't keep.

What could go wrong?

Name the top risks and say what you'd do about each. Sponsors trust a manager who talks about risk early far more than one who says everything is fine.

What do you need from me?

Decisions, budget approval, access to people. Say it clearly in the charter, so it isn't a surprise later.

Mistakes to avoid

Writing a novel

A charter nobody reads is useless. Keep it to a page or two.

Vague objectives

If you can't measure it, you can't tell whether the project worked.

Skipping the out of scope list

It's the most useful part when someone asks for "just one more thing."

No real sponsor

Someone senior must own the project and be ready to make calls. Without that, decisions stall.

Treating it as untouchable

If the project changes a lot, update the charter and get the new version approved. A charter that no longer matches reality does more harm than none.

Keeping it hidden

A charter in a private folder protects nobody. Pin it in the project space, mention it in the kick off and link to it from your plan. When scope arguments start, the quickest way to end them is a shared document everyone already agreed to. Sharing it early also invites people to flag problems before they've signed their names to anything.

Frequently asked questions

What is a project charter?

A project charter is a short formal document that authorizes a project, describing its purpose, objectives, scope, stakeholders, deliverables, risks and who approves it.

What is the difference between a project charter and a project plan?

The charter authorizes the project and sets its basic terms, usually in one or two pages. The project plan describes how the work will be carried out, including schedule, tasks and resources.

Who writes the project charter?

Usually the project manager, with input from the sponsor and key stakeholders. The sponsor or an authorized leader approves it.

How long should a project charter be?

One to two pages for most projects. Larger or more complex projects may need more, but short is better.

Do agile projects need a project charter?

Many do, in a lighter form. Even an agile team benefits from a short document confirming the purpose, sponsor, budget and boundaries before work begins.