Independent contractors who have a service contract should not be paid through the university`s payroll and services are paid on invoices by the contractor. For more information on the service contract, please see 3.5 Contract Summary: Independent/Service Agreement. This is important for contractors, as what you agree to do must be carefully described in the contract. You should not agree to do a vague or general job, you must agree to provide certain services for a certain fee, which is the counterpart. A contract on a particular project is essential if a contract is to remain outside the IR35. The last thing you want to do is accept an unknown project in which the client will decide what you will be working on once you are there. It is important that there be a contract agreed before work begins to ensure that the independent contractor and the employer have the same understanding of the extent of the work and how the contractor is paid. Use one of the free model templates for independent contractors to create a simple contract contract that covers your work as a freelancer. Assuming your contract allows it, you can send a replacement for you if, for some reason, you discover that you cannot enter into the contract yourself. This is because the contract with the customer is a service with your company and not the employment service with you. Opening work for a client without an independent contractual agreement can lead to misunderstandings that can result in loss of payment or overwork.
Contracts are binding agreements that will be signed voluntarily If you sign the contract regardless of its IR35 status, you will eliminate any possibility of negotiating the contract and making changes to help you with IR35 compliance. And there`s no excuse, because you can check the contract yourself to determine your IR35 status using online tools — it takes about 15 minutes and it`s free. Then, if your contract does not pass, you may want to consider hiring professional legal assistance to get the changes to work on an external IR35 basis. All of this must be concluded before signing the treaty or approving it orally. This agreement on independent contractors is a general agreement that can be used by a company for a large number of different contractor roles. It was designed to allow your company to obtain the services of additional staff on a liberal basis, unlike their job. There may be situations where it may not be necessary or appropriate for you to constantly recruit staff. Such an agreement also allows for greater flexibility than permanent employment. A short-term renewable contract can help your company keep its employees in line with market requirements. Nevertheless, a carefully formulated agreement guaranteeing the independence of the liberal profession is an important starting point. For example, as an independent and not as an employee of your company, it is free to provide your company with a properly qualified person (“worker”) in its place, instead of doing part or all of the work in person, and it is free to determine when, where and how the work will be completed (subject to your business requirements, of course).
Please note that an agreement on services related to a research project must be established, negotiated and signed by Research Innovation Services, please contact the Pricing -Contracts team for more information.