There’s a commonly held perception that independent contractors are freelancers living off the unemployment system or computer nerds working from home. The fact is, this is a grievous stereotype, one that doesn’t accurately reflect the reality of freelance agents.
As digital working has evolved and matured, so have the roving digital workers. Independent contractors who meet regulatory requirements and have the right tools for their job are in demand. For this reason, these independent contractors have a much greater leverage when choosing the right employer.
From social media content creation to online marketing and search engine optimization, marketing agencies and businesses are increasingly turning to them to fill various roles. If you’re running one of these companies, it’s best to know how to properly deal with freelancers.
The following are some ways to manage your contractors effectively.
1. Set Clear Expectations to Avoid Misunderstandings
The best way to avoid disputes is to be crystal clear about all the engagement details. This way, you will avoid misunderstandings. To foster a healthy workplace, you must include the work details to be performed in the written agreement your contractor must sign beforehand.
2. Use a Separate Contract
Make sure you create a written agreement separate from the contractor’s general terms and conditions. We suggest that you consider using a separate agreement, such as a contract for services or a work-for-hire arrangement. Doing so will ensure that terms are set in your benefit without compromising either party’s compensation and protection.
3. Require the Contractor to Provide an Updated Statement of Work
As you work with long-term freelancers, it is good to update the Statement of Work with the most current, detailed accounting of the work. This is the document the parties will use to account for the performance and payment of the contract.
4. Monitor and Escalate if Needed
It is helpful to have your team view the contractor’s performance on an ongoing basis. This will help ensure that there are no misunderstandings about the quality of the work. It is helpful to have your team view the contractor’s performance on an ongoing basis. This will help ensure that there are no misunderstandings about the quality of the work.
5. Get Paid Before the Work is Performed
Many businesses take on contingent workers because they can’t afford to pay them upfront. This is fine, but the applicant should still receive the financial resources to provide the work demanded of them. If you cannot afford to pay your contractors upfront, they may be reluctant to work with you for the output they have to submit. Supplementing their work with 50 percent of their total income should be enough to keep them motivated to work until the end of the project.
6. Think Ahead Before You Hire
As a client, you must think ahead before hiring a contractor. Consider what the relationship will look like after the work is complete. This forethought will give you time to consider whether you and your contractor are ready to enter into a new phase of your relationship.
7. Set Deadlines
Make sure to set a deadline for the output of the tasks and for completing the project. A contractor’s failure to meet this may be considered an anticipatory repudiation of the contract, which means the work is not being done. By specifying set turnover dates, you’ll avoid having to follow-up on deliverables. Additionally, it lets you penalize your freelancer with lower compensation when necessary.
Conclusion
If you are considering hiring independent contractors, the key is to be as clear and detailed as possible in the agreement. This will avoid disputes, ensure proper payment, and provide a professional experience that increases the likelihood of working comfortably with the same contractor.
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