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In this video, Matthew explains how to create a plumbing contract using a legal template. Viewers should click on the provided link to access legaltemplates.net. Once there, they can navigate to "business forms" and search for "plumbing" to find the plumbing contract and invoice. Matthew guides viewers through creating the document, starting by defining the transaction as a service. He advises users to input their name and information as the service provider, followed by customer details. Additionally, he emphasizes the importance of describing the service provided and accurately noting the price, especially if multiple projects are involved, providing an example of pricing for two projects.