If you are intending to enter into a consultancy arrangement there are a number of matters to consider at the outset including:
- what is the scope of the services? The agreement should clearly state what it is that the consultant is expected to do by way of services.
- what is the payment structure? The consultant may be paid an hourly fee, a fixed fee, or commission.
- how long are the services to be provided for and can the relationship be terminated earlier? The arrangement may be for a fixed period, a fixed period with provision for extending it or a rolling period.
As well as the above, it is important to clearly demonstrate and ensure that the consultancy relationship does accidentally not give rise to an employer / employee relationship. In addition, it is crucial to set out who will own the work that is produced by the consultant and, for particularly for the business, to ensure that it retains ownership and control of its intellectual property and confidential information.
We advise businesses who wish to engage consultants and consultants who intend to provide services to businesses. Let us know by telephone (020 7611 4848) or email (firstname.lastname@example.org) if you have any questions about consultancy arrangements.