Why are Independent Contractor Agreements important?

Independent Contractor Agreement for Virtual Assistant Services

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The Independent Contractor Agreement is important as it spells out the relationship between your business and the contractor. You the client are fully aware that your virtual assistant has systems in place and takes their business seriously.

The agreement will outline when and how work will be completed. Defines what services are being provided. Payments arrangements will be outlined, i.e. hourly, per project, retainer, when and how payment is to be made, and what happens if payment is not made.

What should be in your Independent Contractor Agreement?

Proper classification – it should clearly state that this is an Independent Contractor (not an employee). If not properly classified your business may be held accountable for federal and state taxes, benefits, and overtime liabilities. This could seriously add up to a large sum of money. So make sure that contract clearly identifies them as in Independent Contractor. The Independent Contractor Agreement should state that the Independent Contractor is solely responsible for their own taxes and benefits.

The agreement should also clearly identify services, deliverables, and milestones up front. It is inevitable that project scopes will change from time to time so clarify that all changes must be agreed to in writing before the Independent Contractor proceeds.

Be sure all costs are clearly identified before the start of the project and if any unforeseen costs should arise the Independent Contractor should receive approval for such costs in writing before proceeding.

Specify who owns the product – if, when, and how projects/products should be returned or destroyed.

Confidential information should be addressed. The client’s confidential information belongs to the client and should not be used for any other purposes other than what the client has stated. Be clear on what those purposes are.

Guarantee of satisfactory work should be addressed.

Termination of agreement should be clearly stated.

Do you have any thoughts you’d like to share with us? If so we would love to hear from you. Please share your thoughts below.

Rhonda’s Virtual Office is not a lawyer and the information provided herein is solely to be used at your discretion. Rhonda’s Virtual Office or any of its assigns will not be held accountable for any use of such information regarding these Agreements.

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Christian Mom of 2, animal lover, your virtual business partner helping you create success in your business, owner and CEO of Rhonda's Virtual Office and Partner of One Life ... Plan-It! discovering new passions in my business everyday and loving it!

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