Some consultants and freelance contractors may still get business deals settled through word of mouth plus a handshake. Yet, without a solid consultant agreement form signed by both parties, you may be putting yourself and your business at risk as a consultant. A consultant, contractor, or freelancer needs an agreement form in carrying in providing professional services or advice to clients or companies in exchange for monetary compensation in the gig economy.
A consultant often has an area of specialization in a particular industry, be it engineering, human resources, accounting marketing, etc. Using a consultant agreement form to seal business deals is a safe business practice for consultants and freelancers. An agreement is a written contract that outlines the proposed services of a consultant. It also states the terms and conditions of work between a client and a consultant.
What should you include in a consultant agreement form?
Many independent contractors and consultants significantly underestimate the power of a consultant agreement form while others are unsure of what the document need covers. That is why we’ll be providing you with the ultimate guide to consultant agreement writing and what it must cover. Every consultant agreement form must answer the following questions:
The above questions and many more about payment should be included in an ideal consultant agreement form to protect the interest of both clients and consultants or freelancers. See critical information that must not be missing in your agreement form.
An agreement form should start by listing the information of all the parties involved. It must carry the official names of clients and consultants, contact addresses, emails, mailing addresses, phone numbers, and websites.
Next is the service or deliverables that a client expects from a consultant. It may look easy to draft at a glance, but every consultant must understand the scope of the project and must be skilled in distinguishing between the type of service required.
Independent contractors must distinguish between a one-time service and a monthly schedule within a consultant agreement form. Failure to spell the kind of service out currently might result in consultants running into problems of multiple revisions if things went wrong.
Sometimes, contractors are just stuck with a job because a client has not provided information or materials that are needed to go on with a project. Sometimes, a delay could be in weeks or months only for clients to complain of consultants not delivering. The listing of requirements from clients may prevent this issue.
Payment and compensation must appear in any consultant agreement form as well as the conditions for which a consultant receives compensation. Constantly hounding clients for payment is definitely the last thing you want to do; avoid a vague payment term to prevent it.
Mention the starting time and end date of the project in the agreement form.
An agreement form should answer these questions and many more to avoid confusion. Besides, ensure the agreement includes terms and conditions for the termination of the contract.
Some clients understand the nature consultancy while others don't, so don't assume. Spell ownership of created material or ideas and let the document state transfer of ownership to the client if deliverables include it. Also, sensitive information shared between the client should be confidential, which the consultant agreement form must state.