Futures is a contract of an asset between a Buyer and Seller to exercise the settlement of asset at a Future Date. This is signed with a Margin amount and both the parties are obligated to make the settlement as scheduled. The change in asset price decides the profit and loss for both the parties.
Options is contract of an asset between a Buyer and Seller to exercise the settlement of the asset within the last market working day of the month. This is signed with a Premium amount and Buyer has no obligation to settle the contract while the seller reserves the Premium as the settlement.