You can use LawDepot’s Consulting Agreement template to quickly create a document that’s unique to your situation but also covers important legal terms for professional service providers. You can be as comprehensive or straightforward as you’d like. Simply answer a set of questions to customise your Consulting Contract.
The information you’ll need to write a Consulting Agreement includes:
1. Consulting details
Write a description of the consultant’s services. For example, a business management consultant might identify projects, scope potential business solutions, and coordinate sales efforts between sales representatives.
You should also include the consultant’s name (or their company name if applicable) and address.
2. Client details
Include the client’s name (or company name if applicable) and address.
Give details about the consultant’s remuneration or payment (a flat fee or an hourly rate) and whether or not they require a retainer fee. You can also specify when payments are due, such as when services are complete or at certain stages (e.g., project milestones).
The consultant may also address late payments by setting an interest rate on unpaid sums.
4. Expenses and ending the contract early
A client may agree to reimburse a consultant for expenses during a project. In this case, you can specify if the expenses need to be pre-approved and set guidelines for submitting expense claims. For instance, travel costs are often included in a client’s expense budget, but guidelines might set a limit of $750 for a given period.
If the Consulting Agreement has a fixed term, the parties can also address whether either party can end the contract early. If so, you must specify how many days of notice are needed.
5. Intellectual property and confidentiality
Many consultants produce or need access to intellectual property (IP) (i.e., a product of the mind that has commercial value). For example, creative works such as blueprints, custom software, logos, or advertisements are considered IP. As such, it’s important to state whether the client or the consultant will retain exclusive ownership rights to the IP.
Without an agreement, the client that paid for the work will typically keep ownership rights. However, some consultants may choose to retain ownership if the IP is a “tool of the trade” (i.e., a skill or piece of equipment needed to complete a job).
For example, a software developer may use a unique computer program to build a new app for a client. The computer program gives the developer a competitive edge, so they keep rights to the program but surrender the rights to the newly designed app. In this case, the consultant owner of the intellectual property may retain ownership but grant the client a limited licence to use the computer program to implement the app.
Furthermore, you should specify whether any IP or other sensitive information is confidential. If so, state how long the duty of confidentiality should last (e.g., until the end of the agreement or indefinitely).
6. Additional clauses
If there are any terms that are unique to your situation, you can address them using the additional clause section of LawDepot’s Consulting Agreement template.