Set out your consultants’ roles and compensation.
What is a Consultancy Agreement?
A Consultancy Agreement is a contract between a consultant and your startup, setting out the consultant’s role and compensation.
It’s used to define relationships with third party developers and other service providers, and with full-time team members who are not technically employed by one of your startup’s companies (e.g. their work permit is not issued by one of your startup’s companies) or they are a remote worker.
Why generate this document?
Generate this document because it’s important to have a written agreement detailing your relationship with your consultants: roles, obligations, time commitment and compensation.
What does a Clara Consultancy Agreement do?
Describes the role which the consultant will play, their obligations, time commitment and compensation.
Makes it clear that the consultant is taken on as an independent contractor rather than as an employee – an important clarification when it comes to tax and legal obligations.
Is governed under English law with a dispute resolution mechanism using expedited ICC arbitration procedures to be held in a place you can select in the form.
Additional info
The consultant’s fee (in cash) will be set out in the agreement, but it doesn’t grant any options to acquire shares in your startup’s holding company (use a Grant Agreement for that).
If the consultant is a company (and not an individual person), that company must ensure that the person performing these services does so on the terms set out in the agreement.
Clara recommends...
Generating and signing a Non-Compete Agreement and Intellectual Property Assignment Agreement with the consultant to better protect your startup.