--- title: "CLAUDE.md Template for Business Context: What Claude Code Should Read Before Work" description: "Create a business CLAUDE.md with source order, exclusions, permissions, approval rules, outputs, receipts, and a denied-action acceptance test." canonical: "https://scalewithsearch.com/articles/claude-md-template-business-context" date: "2026-08-23" modified: "2026-09-25" --- ## Site navigation - [Scale With Search](https://scalewithsearch.com/) - Real estate - Real estate - [Real estate](https://scalewithsearch.com/for/real-estate) - Work - Start here - [Send your brief](https://scalewithsearch.com/work#send-your-brief) - [Prepare your six-question brief](https://scalewithsearch.com/work#prepare-your-six-question-brief) - Build - [Site build, content library with SEO, signal desk](https://scalewithsearch.com/work) - For your business - Trades and home services - [Auto body and collision shops](https://scalewithsearch.com/for/auto-body-and-collision-shops) - [Foundation and home repair contractors](https://scalewithsearch.com/for/foundation-and-home-repair) - 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[The Complete Small-Business Guide to AI Agent Governance](https://scalewithsearch.com/articles/ai-agent-governance-guide-small-business) - [The Complete Guide to Leaving Vendor AI Memory](https://scalewithsearch.com/articles/leaving-vendor-ai-memory-guide) - Articles by cluster - [Business memory](https://scalewithsearch.com/articles/business-memory-for-ai-agents-guide) - [Agent governance](https://scalewithsearch.com/articles/ai-agent-governance-guide-small-business) - [Migration and ownership](https://scalewithsearch.com/articles/leaving-vendor-ai-memory-guide) - For machines - [llms.txt](https://scalewithsearch.com/llms.txt) - [llms-full.txt](https://scalewithsearch.com/llms-full.txt) - [Machine view](https://scalewithsearch.com/?view=machine) - Company - Evidence - [Proof](https://scalewithsearch.com/proof) - Company - [About](https://scalewithsearch.com/about) # CLAUDE.md Template for Business Context: What Claude Code Should Read Before Work. Claude Code opens a business folder, finds an old strategy note, and updates the wrong client draft. The root instructions named the company and preferred tone. They did not name the job, canonical sources, excluded paths, allowed outputs, or stopping point. A business `CLAUDE.md` should operate as a concise standing work contract. It tells Claude what role applies, what sources control the task, what must stay out, where output belongs, and when to stop. It does not enforce access by itself. Anthropic states that `CLAUDE.md` content is context rather than enforced configuration. Use permission rules, hooks, sandboxing, and operating-system controls for hard boundaries. [Claude Code: Memory](https://code.claude.com/docs/en/memory) ## Copy this complete business example ```markdown # Business Workspace Instructions ## Identity Business: ACME Operations Role: Draft weekly client account briefs. ## Job boundary Prepare one draft from the active job folder. Do not send, publish, update CRM, or change source records. ## Sources 1. `context/current-decisions.md` 2. `context/corrections.md` 3. `clients//approved-context.md` 4. `jobs//brief.md` Decisions override reference notes. Corrections override the older text they name. Stop when a required source is absent or conflicts remain unresolved. ## Exclusions Do not read `.env`, `private/`, `archive/`, or another client folder. Examples define format only unless labeled as approved facts. ## Output Write `output/drafts/.md`. Write `receipts/.json` with sources, conflicts, tests, output hash, and stopping state. ## Approval and stop Draft and receipt finish the job. Stop before any external or production action. ## Verification Run `./scripts/verify-account-brief `. Report an explicit no-work result when no eligible job exists. ``` Adapt paths and commands to the real workspace. Do not copy placeholder names into production. ## CLAUDE.md is the standing work contract Claude Code reads `CLAUDE.md` files at the start of a session. Files can exist at organization, user, project, and local scopes. Nested instructions can load when Claude works in a subdirectory. Use the root file for rules that apply to every job in that business workspace. Move job-specific detail into a task brief or scoped rule. Avoid turning `CLAUDE.md` into an encyclopedia. The file should answer: - Which business and role are active? - Which job is allowed? - Which sources are canonical? - Which paths are excluded? - What actions require approval? - Where may Claude write? - What result and receipt finish the job? This is a standing version of the [job, sources, and stopping-point contract](/articles/give-every-agent-a-job-sources-and-stopping-point). Use the [context-file versus CLAUDE.md routing guide](/articles/context-file-vs-claude-md-business-project) when prices or client facts have drifted into standing instructions. ## Know how Claude Code loads the files Claude Code loads the files before you type the first prompt. It treats their contents as established facts about the environment. Three levels are common: 1. The user file at `~/.claude/CLAUDE.md` applies to every project on that machine. 2. The project file at the project root applies to that project. 3. A file in a subdirectory adds context for that part of the workspace. The files stack. A project file adds to the user file; it does not replace it. That lets you keep personal preferences in one place and add project detail per workspace. Claude Code looks for `CLAUDE.md` in the working directory and in each parent directory. A file in a subdirectory loads when Claude works in that subdirectory. Keep the business contract at the project root, so it loads in every session there. The file stays on your machine, but Claude Code sends its contents to Anthropic as part of each session. Whether Anthropic may use that content for model training depends on the account type and its privacy settings. Keep secrets and regulated records out of the file for that reason as well as for access control. ## Name one business role and one class of work Do not say, "Help with the business." Name a bounded role. Examples: - prepare draft weekly account briefs from approved account packets; - review accepted content against a named checklist; - reconcile a project register from source records; - generate read-only audit reports from current configuration. State what the role does not include. Drafting does not include sending. Reconciliation does not include changing the CRM. Audit does not include repair. When several roles share a workspace, create separate job briefs or directories. Resolve the active business and client before retrieval. ## Set canonical sources and reading order List the smallest stable sources by path and role. Define which source wins when records conflict. ```markdown ## Sources Read in this order: 1. `context/current-decisions.md` for approved decisions. 2. `context/corrections.md` for accepted corrections. 3. `context/client-register.md` for current client facts. 4. `jobs/.md` for the task and acceptance checks. Treat `reference/` as supporting evidence only. Treat `archive/` as excluded unless the task names one file. If required sources conflict or are missing, stop and report the conflict. ``` Do not describe a source as current when nobody owns its review. Add effective dates and owners inside consequential files. The [AI context manifest template](/articles/ai-context-manifest-template) provides a more structured route when several tools consume the same packet. ## Exclude stale, sensitive, and cross-client paths Instructions should name excluded content, but enforcement belongs in permissions and storage boundaries. Typical exclusions include: - `.env` and credential stores; - personal or HR folders; - former-client records; - unrelated client directories; - archives and superseded drafts; - raw exports with broad sensitive content; - production write targets. Anthropic documents `Read` and `Edit` deny rules for paths. It also warns that arbitrary subprocesses may bypass file-tool path rules, so operating-system sandboxing is required when every process must be blocked. [Claude Code: Permissions](https://code.claude.com/docs/en/permissions) Use separate directories and accounts where a prompt-level mix-up would carry serious consequences. ## Define allowed tools, writes, approvals, and stops Write capability rules in direct language: ```markdown ## Actions Allowed without a new decision: - Read files under `context/` and the active `jobs//` folder. - Write drafts under `output/drafts/`. - Run the documented validation command. - Write a receipt under `receipts/`. Stop before: - external sends or posts; - CRM, calendar, billing, or production writes; - permission or retention changes; - deletion or movement of source records; - reading another client folder; - installing software or connecting a new service. ``` Pair these instructions with permission configuration that blocks denied tools and paths. Anthropic states that permission rules are enforced by Claude Code, while instructions shape what Claude tries to do. ## Name outputs, receipts, and correction paths Define one output location and acceptance line. A draft is incomplete when nobody can tell which sources produced it. Require a receipt containing: - job ID; - active business and client ID; - source paths or identifiers; - source versions or hashes where needed; - conflicts and missing inputs; - output path and hash; - tests run; - stopping state; - correction route. Route accepted corrections to one maintained file. Do not let corrections remain only in chat or auto memory. The [brief versus prompt guide](/articles/brief-vs-prompt) explains why the job contract should live outside the current conversation. ## Test one stale file and one forbidden action Create a synthetic fixture with: - one current approved decision; - one conflicting archived decision; - one accepted correction; - one second-client canary; - one output target; - one request to send the draft. Start from a fresh session. Confirm the correct files load. Confirm the archive and canary do not appear. Confirm the draft lands only in the approved output path. Confirm the send request is blocked by both the instruction and the capability control. Then remove a required file. The result should be a blocked receipt, not an invented brief. Run `/context` to inspect loaded memory files when diagnosing instruction scope. Review every loaded `CLAUDE.md`, local file, and rule for conflicts. ## Add working context beyond the job contract A solo owner or a project lead often keeps personal working context in the user or project file as well. Order it from broad to narrow: who you are, what is active now, then the rules. Keep each block short. The identity block states the role, the business, any side work, the location, and relevant experience in four or five lines. The current-state block lists active projects with due dates and recent decisions: ```markdown # Now **Active Projects:** - Q1 roadmap finalization (due Feb 15) - Customer research synthesis (interviewing 12 users) - Pricing model revision **Recent Decisions:** - Chose Notion over Coda for team wiki - Delayed mobile app to Q3 - Hired contractor for user research ``` A tools table names each system, its purpose, and one note: ```markdown # Tools | Tool | Purpose | Notes | |------|---------|-------| | Linear | Issue tracking | Workspace: example-co | | Notion | Documentation | Team wiki and specs | | Figma | Design | View-only access | | Slack | Communication | Async-first team | | GitHub | Code | One repository for all services | ``` A domain block records what Claude cannot know otherwise: the product, main competitors, key differentiator, pricing model, customer profile, buying cycle, and main objection. State the pricing model in words, and keep current price figures in a maintained context file: ```markdown # Domain context Product: enterprise analytics platform Competitors: Amplitude, Mixpanel, Heap Differentiator: real-time cohort analysis Pricing model: usage-based, per event (current figure in context/pricing.md) Customers: mid-market B2B software companies, 50 to 500 employees Users: product managers and growth teams Buying cycle: 3 to 6 months Main objection: migration effort from the current tool ``` A voice block states output preferences: direct, concrete over abstract, and examples over explanations. It can also tell Claude to challenge an assumption when appropriate and to state uncertainty rather than guess. A rules block holds instructions that stop repeated problems: - read a file before you edit it; - use one date format, such as `YYYY.MM.DD`; - ask when a request is unclear; - leave out filler and disclaimers; - give specific numbers when data exists; - end a planning discussion with next steps. Three techniques keep the file short as it grows: - **Conditional sections.** Headings such as `## When Writing Customer Communications` and `## When Analyzing Data` hold rules that apply only to that kind of work. The example below shows both. - **Reference tables.** A `# Key Files` table lists paths such as `/docs/architecture.md`, `/docs/glossary.md`, `/specs/roadmap.md`, and `/templates/` with one line on each. Claude reads the file when a task needs it. - **Command pointers.** Custom slash commands such as `/standup`, `/spec`, `/review`, and `/customer` live as files in `.claude/commands/` or as skills. The instruction file can list them so a reader knows they exist. ```markdown ## When Writing Customer Communications - Friendly but professional tone - Include a specific timeline - End with one clear call to action - Avoid jargon the customer does not use ## When Analyzing Data - Start with the question the analysis answers - Show sample size and confidence - Recommend a chart type where one helps - Note any data quality issues ``` ## Avoid four common mistakes **Too much information.** A 10,000-word file uses context that the work needs. Link to detailed documents instead of pasting them in. **Stale content.** A file that describes last quarter's priorities misleads Claude. Update the current-state block when priorities change. **Vague preferences.** "Write well" gives Claude nothing. "Short sentences. Active voice. No adverbs." gives it constraints it can follow. **Duplicate information.** A rule in the user file does not belong in each project file too. Use the hierarchy, or the copies will drift apart. ## Compare CLAUDE.md with chat memory features This comparison reflects product limits observed in January 2026: | Feature | `CLAUDE.md` | ChatGPT memory | ChatGPT custom instructions | |---|---|---|---| | Capacity | Large; limited by the context window | Small; compressed summaries | About 1,500 characters per field (paid plans allow 5,000 as of September 2026) | | Control | You write every line | The model selects what to keep | You write it, within the limit | | Updates | Immediate; edit the file | Through conversation | Through settings | | Portability | High; it is a text file | None | None | | Per project | Yes | No | No | The difference in capacity is real, but so is the cost. Every line in `CLAUDE.md` loads in every session in its scope. For the scope and limits of hosted Claude project instructions, read [Claude Project Instructions: Scope, Limits, and Tests.](/articles/claude-custom-project-instructions-limits) ## Start with three sections Write a first file with three sections: who you are, what you are working on, and your key rules. If you cannot yet describe how the work runs, document the process first. Keep the first file under 500 words. Use it for a week. Then add only the context you found yourself repeating in prompts. A file built from repeated explanations earns each line. ## Maintain the file as a controlled source Keep the team-shared `CLAUDE.md` in version control when the workspace supports it. Assign an owner. Review it when source paths, tools, permissions, or stopping rules change. Anthropic recommends concise, specific instructions and warns that long or conflicting files reduce adherence. Move multi-step procedures into skills or job files. Use path-scoped rules for instructions that apply only to part of the workspace. Record changes that alter access or external-action behavior. A prose edit can change the operational contract even when no application code changes. ## Approval and stopping boundary The setup may create a synthetic workspace, draft `CLAUDE.md`, test permission files, harmless fixtures, and draft-only receipts. It stops before granting access to live business folders, weakening permissions, using bypass modes, connecting production tools, or applying organization-wide managed policy. The workspace owner, data owner, and system administrator approve those actions. If canonical sources and write targets are unresolved, the template remains a draft. Do not launch Claude from the broad business root. ## Sources - [Claude Code: Memory and CLAUDE.md](https://code.claude.com/docs/en/memory) - [Claude Code: Permissions](https://code.claude.com/docs/en/permissions) - [NIST SP 800-53 Rev. 5.1](https://csrc.nist.gov/pubs/sp/800/53/r5/upd1/final) ## Questions about CLAUDE.md Template for Business Context: What Claude Code Should Read Before Work ### What should my CLAUDE.md contain for this use case? Name the business role, job boundary, canonical sources, reading order, exclusions, allowed actions, approval rules, stopping points, output path, receipt path, and correction path. Keep detailed reference material in linked files so the standing contract remains short enough to read and test. ### Should you have one CLAUDE.md per project, or one reusable structure across projects? Use a reusable structure for common fields, but give each business project its own scoped contract and source paths. This keeps shared conventions consistent without blending project facts, permissions, or outputs. ### How do you actually get Claude Code to respect CLAUDE.md? Treat CLAUDE.md as context, not as the only enforcement layer. Keep it concise, place consequential restrictions in permission controls or deterministic checks, and test one stale source plus one forbidden action before relying on the setup. ## Related: Agent Governance - [Context File vs CLAUDE.md: Business Facts or Agent Work Rules?](/articles/context-file-vs-claude-md-business-project) - [AI Context Manifest Template for One Recurring Business Job](/articles/ai-context-manifest-template) - [AI Correction Log Template That Changes the Next Run](/articles/ai-correction-log-template) ---- ```text .|########||. .|########||. .|########||. |##||. .||##|. |##||. .||##|. |##||. .||##|. |#|. .|#|. |#|. .|#|. |#|. .|#|. |#| |#| |#| |#| |#| |#| .#| |#. .#| |#. .#| |#. .#. .#| .#. .#| .#. .#| |#. .#| |#. .#| |#. .#| |# ...... #| |# ...... #| |# ...... #| .# ||#########| #| .# ||#########| #| .# ||#########| #| .#. |######||######|. .#. .#. |######||######|. .#. .#. |######||######|. .#. #. .##|###|##|#|######| .# #. .##|###|##|#|######| .# #. .##|###|##|#|######| .# || |##|#||||||||||||#||#| || || |##|#||||||||||||#||#| || || |##|#||||||||||||#||#| || # |#||||||||||||||||||||#| #. # |#||||||||||||||||||||#| #. # |#||||||||||||||||||||#| #. || |#||||||||||||||||||||||#| || || |#||||||||||||||||||||||#| || || |#||||||||||||||||||||||#| || # .#||||||||||||||||||||||||#| # # .#||||||||||||||||||||||||#| # # .#||||||||||||||||||||||||#| # || ....|||#||||||##|#|||#|#||##||||....|. || || ....|||#||||||##|#|||#|#||##||||....|. || || ....|||#||||||##|#|||#|#||##||||....|. || #. . ....|# ....#||| ||| .#||| ....#. .# #. . ....|# ....#||| ||| .#||| ....#. .# #. . ....|# ....#||| ||| .#||| ....#. .# # . ||||#| .#####|| . .#| .#||| ||||# #. # . ||||#| .#####|| . .#| .#||| ||||# #. # . ||||#| .#####|| . .#| .#||| ||||# #. .| ||||| #. |#|||||. || #. |#||. .||||| || .| ||||| #. |#|||||. || #. |#||. .||||| || .| ||||| #. |#|||||. || #. |#||. .||||| || || |.... #. ....|#. |. ...|. ....|| || || |.... #. ....|#. |. ...|. ....|| || || |.... #. ....|#. |. ...|. ....|| || #. .||||||##||||||##||####|||||||#||||||#| .# #. .||||||##||||||##||####|||||||#||||||#| .# #. .||||||##||||||##||####|||||||#||||||#| .# # .||####|###########################|. # # .||####|###########################|. # # .||####|###########################|. # # .#||||||.#.|| # |. ..# #| #|||||#| # # .#||||||.#.|| # |. ..# #| #|||||#| # # .#||||||.#.|| # |. ..# #| #|||||#| # # .#|||||| .. |# ## |#| ...#|#|||#| # # .#|||||| .. |# ## |#| ...#|#|||#| # # .#|||||| .. |# ## |#| ...#|#|||#| # # .#|||#|# .# .#| #| ##|.#..#|||||#| # # .#|||#|# .# .#| #| ##|.#..#|||||#| # # .#|||#|# .# .#| #| ##|.#..#|||||#| # # .#||||||############|######|||||#| # # .#||||||############|######|||||#| # # .#||||||############|######|||||#| # # |...||#||||||#||||#|#||||||#|||||#||| |.| # # |...||#||||||#||||#|#||||||#|||||#||| |.| # # |...||#||||||#||||#|#||||||#|||||#||| |.| # #. .. ||||# .|||##|. |#| .|| || .|||#. #| # .# #. .. ||||# .|||##|. |#| .|| || .|||#. #| # .# #. .. ||||# .|||##|. |#| .|| || .|||#. #| # .# || | ...|| ...##| | #| .|. |. ##### .. .| || || | ...|| ...##| | #| .|. |. ##### .. .| || || | ...|| ...##| | #| .|. |. ##### .. .| || || ||||| || ||||#| . |. |. |#. ||||| |#| || || || ||||| || ||||#| . |. |. |#. ||||| |#| || || || ||||| || ||||#| . |. |. |#. ||||| |#| || || .# |.....#|....|#.||||.|||##.|#|....||.#||.#. #. .# |.....#|....|#.||||.|||##.|#|....||.#||.#. #. .# |.....#|....|#.||||.|||##.|#|....||.#||.#. #. #.|||||||#############################| ||| .# #.|||||||#############################| ||| .# #.|||||||#############################| ||| .# || ##||#||#||||||#||#||#||#||##. || || ##||#||#||||||#||#||#||#||##. || || ##||#||#||||||#||#||#||#||##. || # .#|||||||||#||#|||||||||||#| # # .#|||||||||#||#|||||||||||#| # # .#|||||||||#||#|||||||||||#| # || |#||||||||||||||||||||||#| || || |#||||||||||||||||||||||#| || || |#||||||||||||||||||||||#| || .# |#||||||||||||||||||||#| #. .# |#||||||||||||||||||||#| #. .# |#||||||||||||||||||||#| #. || |#||||||||||||||||||#| || || |#||||||||||||||||||#| || || |#||||||||||||||||||#| || #. .######|#|#########| .# #. .######|#|#########| .# #. .######|#|#########| .# .#. |#####||||#####| .#. .#. |#####||||#####| .#. .#. |#####||||#####| .#. |# ||########|| #. |# ||########|| #. |# ||########|| #. |# ...... #| |# ...... #| |# ...... #| |#. .#| |#. .#| |#. .#| |#. .#. |#. .#. |#. .#. .#| |#. .#| |#. .#| |#. |#| |#| |#| |#| |#| |#| .|#|. .|#|. .|#|. .|#|. .|#|. .|#|. |##||. .||##| |##||. .||##| |##||. .||##| .||########||. .||########||. .||########||. Scale With Search 2026 [scalewithsearch.com](https://scalewithsearch.com) ```