Cost, performance, and penalties are the key factors to revenue generation and customer satisfaction. They have a complex correlation, that gets more complicated when missing a proper framework that unambiguously defines these factors. Service-level agreement (SLA) is the initial document discussing selected parameters as a precondition to business initialisation. The clear definition and application of the SLA is of paramount importance as for modern as a Service online businesses no direct communication between provider and consumer is expected. For the proper implementation of SLA, there should be a satisfactory approach for measuring and monitoring quality of service metrics. This study investigated these issues and proposed performance-based SLA (PerSLA) framework for cost, performance, penalties and revenue optimisation. PerSLA optimises these parameters and maximises both provider revenue and customers satisfaction. Simulation results confirm that the proposed framework is adequate in revenue generation and customers satisfaction. Customers and providers monitor the business with respect to agreed terms and conditions. On violation, the provider is penalised. This agreement increases the trust in relationship between provider and consumer.