Independent contractors provide agreed services under a contract for those services. They usually negotiate their own fees and working arrangements and can work for more than one client at a time. Independent contractors are often called contractors or subcontractors.
The essential difference between an employee and a contractor is an employee works in your business and is part of your business, while a contractor is running their own business.
The most important issue for a business when making a decision to engage a contractor is to do everything possible to establish that there is a genuine independent contract relationship and that the arrangement is not really an employment relationship by another name. To this end, its crucial that an agreement is entered into with the contractor setting out the terms and conditions of the arrangement.
This comprehensive contractor agreement was prepared by Andreyev Lawyers and last updated by Louise Russo in July 2021 (phone 1300 654 590). The document is a sample agreement containing the essential clauses that need to be included including supporting comments under each clause.
The Contractor Agreement
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