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Examples of Professional Services:
- Accounting
- Auditing
- Marketing Analysis
- Statistics
- Engineering
- Consulting
- Legal
- Technical Support
- Administration
What to Include
A well-drafted independent contractor professional services agreement will provide a foundation for a streamlined business relationship. Most agreements will contain the following clauses:
Services
The contract should relay precisely what services the provider is expected to carry out for the contracting client. The document should relay the expected deliverables, the scope of work, and any deadlines or milestones.
Compensation
The contract will relay the service provider’s pay rate. The document should also clearly state whether the service provider will be paid when the services are complete, upon furnishing an invoice, or on a recurring basis.
Important Dates
The contract should include the agreement’s term, including when the services will begin and terminate. Some agreements have a fixed termination date, while others may continue until the contracted services are concluded.
Confidentiality
Clients outsourcing specialized services will often need to ensure that their proprietary business information is protected from competitors; a confidentiality clause provides this protection.
Retainer
Many client-provider relationships benefit from a retainer fee that the provider charges for their ongoing services. If both parties agree to a retainer, the agreement should state the amount and whether it is refundable.
Sample
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PROFESSIONAL SERVICE CONTRACT
1. THE PARTIES. This Service Contract (the “Agreement”) made on [MM/DD/YYYY] (the “Effective Date”) is by and between [SERVICE PROVIDER NAME], with a mailing address of [SERVICE PROVIDER ADDRESS] (the “Service Provider”), and [CLIENT NAMES], with a mailing address of [CLIENT ADDRESS] (the “Client”).
2. TERM. The term of this Agreement shall commence on [MM/DD/YYYY] and terminate on the date of [MM/DD/YYYY].
3. SERVICES. The Service Provider agrees to provide the following: [DESCRIBE SERVICES TO BE PERFORMED]. Hereinafter known as the “Services.”
4. PAYMENT. The Client agrees to pay the Service Provider: (check one)
☐ – [AMOUNT] / Hour
☐ – $[AMOUNT] (lump sum) for the Services
☐ – Other. [OTHER]
5. PAYMENT METHOD. The Client shall pay: (check one)
☐ – Within [#] days upon delivering an invoice
☐ – Upon the completion of all Services
☐ – On a [FREQUENCY] (e.g., weekly, monthly) basis starting from the Effective Date
☐ – Other. [OTHER]
6. RETAINER. The Client is REQUIRED to pay a Retainer in the amount of $[RETAINER AMOUNT] to the Service Provider as an advance on future Services to be provided (the “Retainer”). The Retainer is Non-Refundable.
7. INDEPENDENT CONTRACTOR STATUS. The Service Provider, under the code of the Internal Revenue Service (IRS), is an independent contractor and neither the Service Provider or their employees or contract personnel are, or shall be deemed, the Client’s employees.
8. ADDITIONAL TERMS AND CONDITIONS. [ADD ADDITIONAL INSTRUCTIONS, TERMS, CONDITIONS].
IN WITNESS WHEREOF, the Parties hereto agree to the above terms and have caused this Agreement to be executed in their names.
Client’s Signature: _________________________ Date: _______________
Printed Name: _________________________
Service Provider’s Signature: _________________________ Date: _______________
Printed Name: _________________________