Whether you are an individual or a business providing a service, it is advisable to have a consultancy agreement in place, to ensure that the important terms of the agreement are in place, for example the work that is being done, how much is being paid and when you can invoice.
Consultancy agreements are common where a business appoints a self-employed individual, or another business or company to work on a particular project or service.
Consultancy agreements are useful as they clarify the essential terms of business, including tax status, who is responsible for payment of tax and insurance cover, who provides materials, penalties for failing to meet deadlines etc. Without a consultancy agreement, one of the parties can find that they are being held liable for tax, holiday pay, or facing an employment tribunal claim, when they weren’t expecting it.
We can help you to protect your business by offering guidance on what type of consultancy agreement you need, and drafting the terms and conditions for you.
Whatever your query, we're always available at the end of a telephone to help you sort out your employment and business matters. Ring us for a chat on 01225 632240 or use the contact form on this site.
If the parties wrongly attribute self-employed status on someone who is actually an employee, there are three substantial risks:
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