Creating Independent Contractor Agreement
This playbook outlines the sequential steps required to produce an Independent Contractor Agreement, ensuring freelance or contract workers have a clear understanding of the scope of work, payment terms, and other contractual obligations.
Step 1: Identify Needs
Determine the specific requirements, qualifications, and deliverables for the contractor’s role. Clarify the scope of work that the independent contractor is expected to complete.
Step 2: Draft Agreement
Begin drafting the Independent Contractor Agreement. Include key details such as parties involved, scope of work, deliverables, duration of the contract, payment schedule, terms, and conditions, confidentiality clauses, and termination conditions.
Step 3: Review Terms
Carefully review each clause to ensure it clearly expresses the agreed terms. Double-check for any errors or ambiguities that could lead to misunderstandings.
Step 4: Legal Compliance
Ensure that the agreement complies with federal, state, and local laws. Consider engaging a legal professional to review the document, particularly if working across state lines or internationally.
Step 5: Discuss Draft
Present the draft agreement to the contractor for their review. Open a dialogue to discuss any concerns, negotiate terms, and make adjustments as necessary.
Step 6: Finalize Agreement
Incorporate any agreed-upon changes into the contract. Both parties should thoroughly review the final document to ensure all of the terms are accurate and understood.
Step 7: Signatures
Arrange for both parties to sign the contract. Utilize either physical signatures or a certified e-signature platform to execute the agreement legally.
Step 8: Distribute Copies
Provide both parties with a copy of the signed agreement. Make sure the contractor receives a copy for their records and the hiring party retains a copy in their business records.
General Notes
Storage
Keep a copy of all signed agreements in a secure location for at least the duration of the contractor's tenure plus any additional period required by law.
Updates
Should the scope of work or payment terms change, update the Independent Contractor Agreement as necessary, and ensure all parties have access to the most current version.