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In this video tutorial, Matthew explains how to create a daycare contract using Legal Templates. Viewers are instructed to scroll down to find a link to legaltemplates.net, where they can access business forms. After navigating to the business forms section, they should click "view all business forms" and use the search function to locate the daycare contract. Matthew demonstrates how to preview the PDF of the contract before proceeding to create the document. He highlights that the transaction involves the sale of services and guides viewers through entering the provider's information, such as address and location.