Independent Contractor Agreement Template

IMPORTANT NOTICE: This template is provided for informational purposes only and does not constitute legal advice. Every independent contractor relationship is unique, and this template may not address all aspects of your specific situation. We strongly recommend having an attorney review this agreement before use, especially for complex or high-value arrangements.

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Instructions for Using This Template

Before You Begin:

1. Read through the entire template to understand all provisions
2. Fill in all bracketed information [LIKE THIS] with your specific details
3. Delete any optional provisions that don't apply to your situation
4. Add any additional provisions necessary for your specific arrangement
5. Have both parties review carefully before signing
6. Consider having an attorney review before execution
7. Ensure both parties receive a fully executed copy

Customization Notes:

• Text in [BRACKETS] should be replaced with your information
• Sections marked "OPTIONAL" can be removed if not applicable
• You may add additional provisions as needed
• Ensure all exhibits referenced are attached
• Update state law references to match your jurisdiction

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INDEPENDENT CONTRACTOR AGREEMENT

This Independent Contractor Agreement ("Agreement") is entered into as of [DATE] ("Effective Date") by and between:

[COMPANY NAME], a [STATE] [corporation/LLC/partnership/sole proprietorship] with its principal place of business at [COMPANY ADDRESS] ("Company"),

and

[CONTRACTOR NAME], [an individual/a [STATE] [corporation/LLC]] with its principal place of business at [CONTRACTOR ADDRESS] ("Contractor").

Company and Contractor may be referred to individually as a "Party" and collectively as the "Parties."

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RECITALS

WHEREAS, Company desires to engage Contractor to perform certain services as described in this Agreement; and

WHEREAS, Contractor desires to provide such services to Company as an independent contractor;

NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

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1. SERVICES

1.1 Scope of Work

Contractor agrees to perform the following services ("Services") for Company:

[DETAILED DESCRIPTION OF SERVICES TO BE PROVIDED. BE AS SPECIFIC AS POSSIBLE. EXAMPLES:]

• [Design and develop a responsive website including home page, about page, services page, and contact form]
• [Provide monthly bookkeeping services including accounts payable, accounts receivable, and bank reconciliation]
• [Create marketing materials including brochures, business cards, and social media graphics]
• [Conduct market research and provide written analysis of competitive landscape]

1.2 Deliverables

Contractor shall deliver the following to Company:

[LIST ALL SPECIFIC DELIVERABLES. EXAMPLES:]

• [Fully functional website with source code by [DATE]]
• [Monthly financial statements by the 15th of each month]
• [Final designs in PDF and editable format]
• [Written report of findings and recommendations]

1.3 Standards of Performance

Contractor shall perform all Services in a professional and workmanlike manner consistent with industry standards. All deliverables shall meet the specifications outlined in Exhibit A attached hereto and incorporated by reference.

1.4 Changes to Scope

Any changes to the scope of Services must be agreed upon in writing by both Parties. Changes may result in adjustments to compensation and timeline as mutually agreed.

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2. TERM AND TERMINATION

2.1 Term

This Agreement shall commence on [START DATE] and shall continue until [END DATE/completion of Services/terminated by either Party] ("Term").

[ALTERNATIVE - For Ongoing Relationships]: This Agreement shall commence on [START DATE] and shall continue on a month-to-month basis until terminated by either Party as provided herein.

2.2 Termination for Convenience

Either Party may terminate this Agreement at any time, with or without cause, by providing [NUMBER] days' written notice to the other Party.

2.3 Termination for Cause

Either Party may terminate this Agreement immediately upon written notice if the other Party:

• Materially breaches any provision of this Agreement and fails to cure such breach within [NUMBER] days of receiving written notice;
• Becomes insolvent, files for bankruptcy, or makes an assignment for the benefit of creditors;
• Ceases to conduct business in the normal course; or
• Engages in illegal or unethical conduct related to the Services.

2.4 Effect of Termination

Upon termination:

• Contractor shall immediately cease all work on the Services;
• Contractor shall deliver all completed and in-progress work to Company;
• Company shall pay Contractor for all Services satisfactorily performed up to the date of termination;
• Any obligations that by their nature should survive termination shall survive, including but not limited to confidentiality, intellectual property rights, indemnification, and limitation of liability.

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3. COMPENSATION AND PAYMENT

3.1 Fees

Company shall pay Contractor for Services as follows:

[SELECT ONE OR COMBINE AS APPROPRIATE]:

Option A - Fixed Fee: A total fixed fee of $[AMOUNT] for completion of all Services, payable as follows:

• [AMOUNT OR PERCENTAGE] upon execution of this Agreement
• [AMOUNT OR PERCENTAGE] upon [MILESTONE]
• [AMOUNT OR PERCENTAGE] upon completion and acceptance of all Services

Option B - Hourly Rate: An hourly rate of $[AMOUNT] per hour. Contractor shall submit detailed time records with each invoice.

Option C - Monthly Retainer: A monthly retainer of $[AMOUNT], payable on the [DAY] of each month for Services performed during that month.

Option D - Per-Project Fee: $[AMOUNT] per [deliverable/project], payable upon completion and acceptance of each [deliverable/project].

3.2 Expenses

[SELECT ONE]:

Option A - Expenses Included: The compensation set forth above includes all expenses, and Contractor shall not be entitled to reimbursement for any expenses without prior written approval from Company.

Option B - Expenses Reimbursable: Company shall reimburse Contractor for reasonable, pre-approved, out-of-pocket expenses incurred in connection with the Services, including [travel, materials, software licenses, etc.]. Contractor must obtain written approval from Company before incurring any expense exceeding $[AMOUNT]. Contractor shall provide receipts and documentation for all reimbursable expenses.

3.3 Invoicing

Contractor shall submit invoices to Company [weekly/monthly/upon completion of milestones]. Each invoice shall include:

• Invoice number and date
• Description of Services performed
• Dates Services were performed
• Hours worked (if applicable)
• Itemized expenses (if applicable)
• Total amount due

Invoices shall be submitted to: [EMAIL ADDRESS OR MAILING ADDRESS]

3.4 Payment Terms

Company shall pay all undisputed invoices within [NUMBER] days of receipt. Payments shall be made by [check/ACH transfer/wire transfer/other] to:

[CONTRACTOR PAYMENT INFORMATION]

3.5 Late Payment

[OPTIONAL] Invoices not paid within [NUMBER] days of the due date shall accrue interest at the rate of [PERCENTAGE]% per month or the maximum rate permitted by law, whichever is less.

3.6 Taxes

Contractor is responsible for all taxes arising from compensation paid under this Agreement, including federal, state, and local income taxes, self-employment taxes, and any other applicable taxes. Company will not withhold any amounts for taxes or make any payments for unemployment insurance, social security, workers' compensation, or disability insurance on behalf of Contractor.

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4. INDEPENDENT CONTRACTOR STATUS

4.1 Relationship of Parties

Contractor is an independent contractor and is not an employee, partner, or joint venturer of Company. Nothing in this Agreement shall be construed to create an employer-employee relationship, partnership, or joint venture between the Parties.

4.2 No Benefits

Contractor acknowledges and agrees that:

• Contractor is not entitled to any employee benefits, including health insurance, retirement benefits, vacation pay, sick leave, or any other benefits provided to Company employees;
• Company will not withhold federal or state income tax, social security tax, or any other payroll tax from payments to Contractor;
• Contractor is responsible for obtaining and maintaining any licenses, permits, or professional credentials required to perform the Services;
• Contractor is responsible for providing all equipment, tools, and materials necessary to perform the Services unless otherwise specified in this Agreement.

4.3 Control and Supervision

Contractor shall have sole control over the manner and means of performing the Services, subject to the requirement that Contractor meet the specifications and deadlines set forth in this Agreement. Company shall not control when, where, or how Contractor performs the Services.

4.4 Other Clients

Contractor retains the right to perform services for other clients, provided such services do not conflict with or interfere with Contractor's obligations under this Agreement and do not violate the confidentiality or non-compete provisions (if any) of this Agreement.

4.5 No Authority to Bind

Contractor has no authority to enter into contracts or make commitments on behalf of Company or to bind Company in any way.

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5. INTELLECTUAL PROPERTY RIGHTS

5.1 Work Product Ownership

[SELECT ONE]:

Option A - Company Owns All Work Product: All work product, deliverables, inventions, discoveries, ideas, improvements, and developments (collectively, "Work Product") created or developed by Contractor in connection with the Services, whether or not patentable or copyrightable, shall be the sole and exclusive property of Company. Contractor hereby irrevocably assigns to Company all right, title, and interest in and to the Work Product, including all intellectual property rights therein. Contractor agrees to execute any documents necessary to perfect Company's rights in the Work Product.

Option B - Contractor Grants License: Contractor shall retain ownership of all Work Product created in connection with the Services. Contractor hereby grants to Company a [exclusive/non-exclusive], royalty-free, perpetual, irrevocable, worldwide license to use, modify, reproduce, distribute, and create derivative works of the Work Product for Company's business purposes.

5.2 Work Made for Hire

[FOR OPTION A ONLY] To the extent the Work Product may be considered a "work made for hire" under applicable copyright law, the Parties agree that the Work Product shall be considered a work made for hire for Company. If, for any reason, any portion of the Work Product is not deemed to be a work made for hire, Contractor hereby assigns all right, title, and interest in such Work Product to Company.

5.3 Pre-Existing Materials

[OPTIONAL] Contractor may incorporate certain pre-existing materials, tools, or intellectual property into the Work Product ("Pre-Existing Materials"). Contractor represents and warrants that Contractor has the right to use and license such Pre-Existing Materials. Contractor retains all ownership rights in Pre-Existing Materials and grants Company a non-exclusive, royalty-free, perpetual license to use the Pre-Existing Materials to the extent incorporated into the Work Product.

5.4 Moral Rights

Contractor hereby irrevocably waives any "moral rights" or similar rights in the Work Product that Contractor may have under any legal theory in any jurisdiction.

5.5 Further Assurances

Contractor agrees to cooperate with Company and execute any additional documents reasonably necessary to perfect or enforce Company's intellectual property rights in the Work Product, at Company's expense.

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6. CONFIDENTIALITY

6.1 Definition of Confidential Information

"Confidential Information" means any and all information or data, in any form or medium, that is disclosed by Company to Contractor or that Contractor learns or accesses in connection with this Agreement, including but not limited to:

• Business plans, strategies, and financial information;
• Customer and supplier lists, information, and contracts;
• Technical data, trade secrets, and know-how;
• Product development plans and specifications;
• Marketing and sales plans and strategies;
• Proprietary software, source code, and algorithms;
• Employee information and compensation data;
• Any information marked as "confidential" or that a reasonable person would understand to be confidential.

6.2 Obligations

Contractor agrees to:

• Hold all Confidential Information in strict confidence;
• Not disclose Confidential Information to any third party without Company's prior written consent;
• Use Confidential Information only for the purpose of performing Services under this Agreement;
• Protect Confidential Information using the same degree of care used to protect Contractor's own confidential information, but in no event less than reasonable care;
• Limit access to Confidential Information to those who need to know;
• Return or destroy all Confidential Information upon termination of this Agreement or upon Company's request.

6.3 Exceptions

The obligations under this Section 6 shall not apply to information that:

• Is or becomes publicly available through no breach of this Agreement by Contractor;
• Was rightfully in Contractor's possession prior to disclosure by Company;
• Is rightfully received by Contractor from a third party without restriction and without breach of any obligation to Company;
• Is independently developed by Contractor without use of or reference to Company's Confidential Information; or
• Is required to be disclosed by law or court order, provided that Contractor gives Company prompt written notice of such requirement and cooperates with Company's efforts to limit disclosure.

6.4 Survival

The confidentiality obligations under this Section 6 shall survive termination of this Agreement and continue for a period of [NUMBER] years [OR: indefinitely for trade secrets].

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7. REPRESENTATIONS AND WARRANTIES

7.1 Contractor Representations

Contractor represents and warrants that:

• Contractor has the full right, power, and authority to enter into this Agreement and perform the Services;
• The execution and performance of this Agreement will not violate any agreement to which Contractor is a party;
• Contractor possesses the necessary skills, qualifications, and experience to perform the Services in a professional manner;
• All Services and Work Product will be original work and will not infringe upon or violate any intellectual property rights, privacy rights, or other rights of any third party;
• Contractor will comply with all applicable federal, state, and local laws and regulations in performing the Services;
• [If incorporated] Contractor is duly organized, validly existing, and in good standing under the laws of [STATE];
• [OPTIONAL] Contractor maintains all necessary licenses, permits, and certifications required to perform the Services.

7.2 Company Representations

Company represents and warrants that it has the full right, power, and authority to enter into this Agreement and grant the rights granted herein.

7.3 Disclaimer of Warranties

EXCEPT AS EXPRESSLY PROVIDED IN THIS AGREEMENT, CONTRACTOR PROVIDES THE SERVICES "AS IS" WITHOUT WARRANTY OF ANY KIND, WHETHER EXPRESS, IMPLIED, STATUTORY, OR OTHERWISE, INCLUDING WITHOUT LIMITATION WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR NON-INFRINGEMENT.

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8. INDEMNIFICATION

8.1 Contractor Indemnification

Contractor shall defend, indemnify, and hold harmless Company and its officers, directors, employees, agents, and affiliates from and against any and all claims, damages, losses, liabilities, costs, and expenses (including reasonable attorneys' fees) arising out of or relating to:

• Any breach of this Agreement by Contractor;
• Any negligent or willful act or omission by Contractor in performing the Services;
• Any claim that the Work Product or Services infringe or violate any intellectual property right or other right of any third party;
• Any claim by tax authorities related to Contractor's classification as an independent contractor;
• Any injury to persons or damage to property caused by Contractor.

8.2 Company Indemnification

Company shall defend, indemnify, and hold harmless Contractor from and against any and all claims, damages, losses, liabilities, costs, and expenses (including reasonable attorneys' fees) arising out of or relating to any breach of this Agreement by Company.

8.3 Indemnification Procedure

The indemnified party shall promptly notify the indemnifying party of any claim. The indemnifying party shall have the right to control the defense and settlement of such claim, provided that any settlement that adversely affects the indemnified party's rights or interests requires the indemnified party's prior written consent.

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9. LIMITATION OF LIABILITY

9.1 Limitation

IN NO EVENT SHALL EITHER PARTY BE LIABLE TO THE OTHER PARTY FOR ANY INDIRECT, INCIDENTAL, CONSEQUENTIAL, SPECIAL, OR PUNITIVE DAMAGES, INCLUDING LOST PROFITS, LOST REVENUE, OR LOSS OF DATA, ARISING OUT OF OR RELATING TO THIS AGREEMENT OR THE SERVICES, EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.

9.2 Cap on Liability

[OPTIONAL] EXCEPT FOR BREACHES OF CONFIDENTIALITY, INTELLECTUAL PROPERTY INFRINGEMENT, OR INDEMNIFICATION OBLIGATIONS, EACH PARTY'S TOTAL CUMULATIVE LIABILITY ARISING OUT OF OR RELATING TO THIS AGREEMENT SHALL NOT EXCEED [THE TOTAL AMOUNT PAID OR PAYABLE TO CONTRACTOR UNDER THIS AGREEMENT/$ SPECIFIC AMOUNT].

9.3 Exceptions

The limitations in this Section 9 shall not apply to:

• Breaches of confidentiality obligations;
• Intellectual property infringement claims;
• Indemnification obligations;
• Gross negligence or willful misconduct;
• Death or personal injury caused by negligence.

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10. INSURANCE

[OPTIONAL - Customize based on risk level and nature of services]

Contractor shall obtain and maintain, at Contractor's own expense, the following insurance coverage during the Term of this Agreement:

• General Liability Insurance with minimum coverage of $[AMOUNT] per occurrence and $[AMOUNT] aggregate;
• Professional Liability Insurance (Errors & Omissions) with minimum coverage of $[AMOUNT];
• [Workers' Compensation Insurance as required by applicable law];
• [Commercial Auto Insurance if Contractor will use vehicles in performing Services].

Contractor shall provide Company with certificates of insurance evidencing such coverage upon request. All policies shall name Company as an additional insured and provide for [30] days' prior written notice to Company of cancellation or material change in coverage.

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11. NON-SOLICITATION

[OPTIONAL - Include if you want to prevent contractor from recruiting employees]

During the Term of this Agreement and for a period of [NUMBER] [months/years] following termination, Contractor shall not, directly or indirectly, solicit, recruit, or hire any employee or independent contractor of Company without Company's prior written consent.

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12. NON-COMPETE

[OPTIONAL - Use with caution; enforceability varies by jurisdiction]

During the Term of this Agreement and for a period of [NUMBER] [months/years] following termination, Contractor shall not, within [GEOGRAPHIC AREA], engage in any business that is directly competitive with Company's business or provide services to any of Company's clients with whom Contractor had contact or about whom Contractor obtained Confidential Information during the Term.

IMPORTANT NOTE: Non-compete provisions are subject to strict scrutiny and may not be enforceable in many jurisdictions. Consult with an attorney before including this provision.

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13. DISPUTE RESOLUTION

13.1 Negotiation

The Parties agree to attempt to resolve any dispute arising out of or relating to this Agreement through good faith negotiation. Either Party may initiate negotiations by providing written notice to the other Party describing the dispute.

13.2 Mediation

[OPTIONAL] If the Parties cannot resolve the dispute through negotiation within [NUMBER] days, the Parties agree to submit the dispute to non-binding mediation before a mutually agreed-upon mediator. The Parties shall share equally the costs of mediation.

13.3 Arbitration

[OPTIONAL - Alternative to litigation]

If mediation is unsuccessful, any dispute arising out of or relating to this Agreement shall be resolved by binding arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association. The arbitration shall take place in [CITY, STATE]. The decision of the arbitrator shall be final and binding, and judgment upon the award may be entered in any court having jurisdiction.

13.4 Litigation

[Use if not including arbitration]

If the Parties cannot resolve the dispute through [negotiation/mediation], either Party may pursue litigation as provided in Section 14 (Governing Law).

13.5 Attorneys' Fees

[OPTIONAL] The prevailing party in any dispute shall be entitled to recover its reasonable attorneys' fees and costs.

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14. GENERAL PROVISIONS

14.1 Governing Law

This Agreement shall be governed by and construed in accordance with the laws of the State of [STATE], without regard to its conflict of laws principles.

14.2 Jurisdiction and Venue

[If not using arbitration] The Parties consent to the exclusive jurisdiction and venue of the state and federal courts located in [COUNTY, STATE] for any legal action arising out of or relating to this Agreement.

14.3 Entire Agreement

This Agreement, including all exhibits attached hereto, constitutes the entire agreement between the Parties concerning the subject matter hereof and supersedes all prior and contemporaneous agreements, understandings, negotiations, and discussions, whether oral or written.

14.4 Amendments

This Agreement may be amended or modified only by a written instrument signed by both Parties.

14.5 Waiver

No waiver of any provision of this Agreement shall be effective unless in writing and signed by the Party against whom the waiver is sought to be enforced. No waiver of any breach or default shall constitute a waiver of any other right or any subsequent breach or default.

14.6 Severability

If any provision of this Agreement is held to be invalid, illegal, or unenforceable, the validity, legality, and enforceability of the remaining provisions shall not be affected or impaired in any way.

14.7 Assignment

Contractor may not assign this Agreement or any rights or obligations hereunder without Company's prior written consent. Company may assign this Agreement to any successor or affiliate. Subject to the foregoing, this Agreement shall be binding upon and inure to the benefit of the Parties and their respective successors and permitted assigns.

14.8 Notices

All notices required or permitted under this Agreement shall be in writing and shall be deemed given when:

• Delivered personally;
• Sent by confirmed facsimile or email;
• Sent by certified or registered mail, return receipt requested; or
• Delivered by a nationally recognized overnight courier service.

Notices shall be sent to the addresses set forth above or to such other address as either Party may specify in writing.

14.9 Force Majeure

Neither Party shall be liable for any failure or delay in performance due to causes beyond its reasonable control, including acts of God, war, riot, embargoes, acts of civil or military authorities, fire, floods, accidents, pandemics, strikes, or shortages of transportation, facilities, fuel, energy, labor, or materials.

14.10 Counterparts

This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. Electronic signatures shall have the same force and effect as original signatures.

14.11 Headings

The headings in this Agreement are for convenience only and shall not affect the interpretation of this Agreement.

14.12 Construction

This Agreement shall be construed without regard to any presumption or rule requiring construction against the Party causing the Agreement to be drafted.

14.13 Publicity

[OPTIONAL] Contractor may [not] list Company as a client and use Company's name and logo in Contractor's marketing materials [with Company's prior written approval for each use].

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SIGNATURE PAGE

IN WITNESS WHEREOF, the Parties have executed this Independent Contractor Agreement as of the Effective Date.

COMPANY:

[COMPANY NAME]

By: __________________________________

Name: [PRINTED NAME]

Title: [TITLE]

Date: ____________________________

CONTRACTOR:

[If Contractor is an individual:]

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[CONTRACTOR NAME]

Date: ____________________________

[If Contractor is a company:]

[CONTRACTOR COMPANY NAME]

By: __________________________________

Name: [PRINTED NAME]

Title: [TITLE]

Date: ____________________________

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EXHIBIT A: SCOPE OF WORK AND SPECIFICATIONS

[Attach detailed specifications, requirements, timelines, and deliverables]

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EXHIBIT B: PAYMENT SCHEDULE (If Applicable)

[Attach detailed payment milestones and amounts]

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EXHIBIT C: PRE-EXISTING MATERIALS (If Applicable)

[List any pre-existing materials Contractor will incorporate into Work Product]

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CHECKLIST FOR INDEPENDENT CONTRACTOR CLASSIFICATION

Use this checklist to help ensure your contractor relationship complies with IRS and Department of Labor guidelines:

Behavioral Control Factors (Favor Independent Contractor Status):

• [ ] Contractor controls when, where, and how work is performed
• [ ] Contractor sets own work hours
• [ ] Contractor uses own methods and procedures
• [ ] Contractor is not required to attend company meetings or training
• [ ] Contractor provides own tools and equipment
• [ ] Contractor works at own location or various locations

Financial Control Factors (Favor Independent Contractor Status):

• [ ] Contractor makes own business investments
• [ ] Contractor incurs unreimbursed business expenses
• [ ] Contractor makes services available to other clients
• [ ] Contractor is paid by project or commission (not hourly wage)
• [ ] Contractor can make profit or loss
• [ ] Contractor provides own benefits and insurance

Relationship Factors (Favor Independent Contractor Status):

• [ ] Written contract specifies independent contractor relationship
• [ ] No employee-type benefits provided
• [ ] Relationship is project-based or limited duration
• [ ] Services are not core to company's business
• [ ] Contractor invoices for services
• [ ] Company does not withhold taxes
• [ ] Contractor receives 1099 (not W-2)

Warning Signs of Misclassification:

• Company controls work schedule and location
• Company provides all tools and equipment
• Contractor works only for one company long-term
• Contractor is treated like an employee
• Work is indefinite or ongoing without specific end date
• Services are core to company's business

Important: The determination of independent contractor status depends on the totality of the relationship. No single factor is determinative. When in doubt, consult with an employment law attorney.

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IMPORTANT DISCLAIMERS AND RECOMMENDATIONS

Before Using This Template:

1. Consult an Attorney: Employment classification is complex and highly regulated. Misclassification can result in significant penalties, back taxes, and liability. Have an attorney review your specific situation.

2. State Law Variations: Some states have stricter independent contractor tests (e.g., California's ABC test). Ensure compliance with your state's laws.

3. IRS Guidelines: The IRS uses a multi-factor test focusing on behavioral control, financial control, and relationship type. Review IRS Publication 15-A.

4. Department of Labor: The DOL has its own economic reality test under the Fair Labor Standards Act.

5. Industry-Specific Rules: Some industries have special rules (e.g., real estate, trucking, construction).

6. Update Regularly: Employment laws change frequently. Review your contractor agreements annually.

7. Document the Relationship: Maintain records showing the contractor's independence, separate business, and control over work methods.

8. Avoid Hybrid Relationships: Don't treat contractors like employees in practice even if your contract says otherwise. The actual relationship matters more than the label.

Red Flags to Avoid:

• Requiring contractor to work specific hours
• Providing extensive training
• Paying hourly wages
• Providing employee-type benefits
• Prohibiting outside work
• Providing all equipment and tools
• Exercising extensive control over work methods
• Long-term indefinite relationships
• Making contractor wear company uniform or badge
• Including contractor on company org chart

Best Practices:

• Clearly define project scope and deliverables
• Allow contractor to control methods and timing
• Pay by project or deliverable, not by hour
• Ensure contractor has other clients
• Let contractor use own tools and equipment
• Don't require attendance at company events
• Issue 1099 forms (not W-2)
• Maintain contract documentation
• Review relationship periodically
• Don't exercise day-to-day supervision

Remember: This template is a starting point. Every contractor relationship is unique and may require modifications. When in doubt, seek professional legal advice.