Advance payment agreement template – Anytime you set out to hire a contractor or a subcontractor you’ll need to be sure you have a written contract in place. This document represents an agreement between both parties about what is expected and the compensation which will be paid once the job was completed. It is a legally binding contract according to the law once it’s been signed and should be very specific in nature in order to prevent any confusion or chance of misinterpretation on each party’s behalf. To be certain that the contract you fill out is formatted correctly you can look through various contract arrangement samples to find one that best represents your requirement.
This form should be broken down into several sections to make sure that all details of the contract are covered and there’s absolutely no room for error. It should start with a section that describes who’s doing the hiring and who is being hired. This section may also be used to describe in detail the job which the person or business is being hired to do. It could also cover any components or materials that should be used and any specialized equipment that will be needed. For example John Smith is hiring Fred Blogs to utilize his backhoe to dig a trench for utilities which is 3 feet wide by 6 feet deep and 200 metres long.
The next section of the contract agreement should cover reimbursement, meaning how much the individual or business will be paid for the work they’ve been hired to perform. This is followed by an assurance of services which is the contractor agreeing to offer the listed services for the agreed upon amount and all information gained through the job will be kept in the strictest confidence where deemed necessary by the employer. Finally the contract arrangement must include information that covers if the contract is to start and when it to finish.
For people who have never needed to complete this type of contract you can look online where you will find many different sample contract arrangements that cover every possible type of job. You will almost certainly find several that relate directly to the job you have in mind and should be certain the one you select is lawful in the state where you’re headquartered. Because this is a legally binding contract it’s your job to be sure that you cover all the bases and leave no room for the independent contractor you hire to make a problem at any point during the duration of the contract. Take a look the sample of advance payment agreement template below at the attachment page.