Contractor & Consultancy Agreements

At Mounteney Solicitors, we understand the importance of clearly defining your business relationships. With over 18 years of experience providing legal services across Cheshire and the UK, our expert solicitors specialise in drafting and reviewing contractor agreements tailored to your needs. Whether you are a contractor seeking to formalise your terms of work or a business looking to engage external services, having a well-drafted, solid contractor agreement is essential for protecting your interests.

Our deep understanding of UK contract law and hands-on experience handling complex contractor-client relationships position us as a trusted partner for businesses and individuals. We ensure that your agreements comply with the latest legal standards and provide clear, enforceable terms that protect you from potential disputes.

A contractor agreement is a legally binding document that outlines the terms under which a contractor provides services to a client. Unlike employees, contractors operate independently, often working for multiple clients simultaneously.

This agreement is crucial in setting the expectations, responsibilities and legal relationship between the contractor and the client, ensuring that both parties understand their obligations.

Contractor agreements are essential for several reasons:

• Clarity of relationship: These agreements establish whether the relationship between the parties is that of a contractor-client rather than employer-employee, which has significant legal and tax implications.
• Legal protection: A well-drafted contractor agreement protects the contractor and the client from potential disputes by clearly defining the scope of work, payment terms, intellectual property rights, confidentiality and termination clauses.
• Compliance with HMRC regulations: The distinction between contractor and employee is critical for tax purposes. HMRC closely monitors these arrangements to ensure compliance with tax laws. A robust contractor agreement helps demonstrate the contractor’s independence, reducing the risk of disputes with HMRC.

When drafting a contractor agreement, several factors must be carefully considered to ensure that the agreement accurately reflects the nature of the working relationship. These include:

• Control and independence: Unlike employees, contractors are generally not subject to the same level of control from the client. They often set their own hours, use their own tools and may even substitute another person to carry out the work.
• Exclusivity: Contractors typically retain the right to work for other clients, which must be clearly stated in the agreement to avoid any implication of employment.
• Provision of tools and equipment: Contractors usually provide their own tools and equipment, which is a key indicator of a contractor-client relationship rather than employer-employee.
• Payment terms: The agreement should specify how and when payments will be made, including any terms related to invoicing and late payments.
• Termination Clauses: It is vital to outline how either party can terminate the contract; this includes any notice periods or conditions under which immediate termination may occur.

The time it takes to finalise a contractor agreement can vary depending on the complexity of the arrangement. Typically, once we receive your instructions, we can draft a usable template within four working days. If expedited service is required, we offer a special dispatch service at an additional charge.

Our comprehensive service includes:

• Understanding your needs: We take the time to fully understand the specifics of your arrangement to ensure the agreement meets your needs.
• Drafting the agreement: We prepare a bespoke contractor agreement tailored to your situation.
• Advising on negotiation: We provide guidance on negotiating the terms with the other party to secure the best possible outcome.
• Ongoing support: We remain available throughout the process to answer any questions and provide additional advice as needed.

At Mounteney Solicitors, we believe in transparent pricing.

Our fixed fee for drafting a contractor agreement is £550.

We do not charge VAT on this service as Mounteney Legal Services Limited is unregulated and does not charge VAT.

You can find more information about our fees on our website.

With over 18 years of experience, Mounteney Solicitors is your trusted partner in drafting contractor agreements. We combine legal expertise with a client-focused approach to deliver a service that is both professional and personal. Our team of Solicitors in Stockport are dedicated to providing clear, practical advice tailored to your specific circumstances.

If you need assistance drafting a contractor agreement or have any questions about the process, please don’t hesitate to our Manchester Business Solicitors. Our team of experts is ready to provide you with the legal support you need. We have offices in Heald Green, Bramhall and Cheadle, Hazel Grove and we serve clients throughout Cheshire and beyond.