Q: What should be in the letter of agreement or service contract I send to my consulting clients?
A: When you're hired, you'll send a letter of agreement or service contract to clients. This document will officially outline the job you will perform and finalize the terms of employment, including…
- Pay rate.
- Invoice dates.
- Work expected.
Why do you use consulting agreements with clients?
A consulting contract or letter of agreement is a useful tool for clarifying the nitty-gritty details of a business deal. You'll tell the client exactly what you expect to do and how long it will take. The client will read over everything and sign off on your work.
Later on, if a client argues you haven't done the work you promised, you can point to the consulting contract as proof of the terms you agreed upon. If a dispute leads to a lawsuit, the consulting agreement can provide evidence that you fulfilled your obligations.
How do I use consulting contracts with clients?
Don't have the money to hire a lawyer to write your contracts for you? Take the approach that many other consultants use:
- Have a few standard, blank contracts for each type of consultation you offer.
- When it comes time to send the contract to your client, simply fill in the blanks with that client's information, work expectations, and payment terms.
- Add addendums to contracts as necessary to fit your client's needs.
This tactic will save you time and money. You'll look professional to clients and be able to get the ball rolling quickly on a new project.