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In the early stages of working with a new client, you as a consultant typically engage in a thorough conversation during which you discuss key aspects of the project, such as the scope of work, timelines, deliverables, and payment terms. Once these details are verbally agreed upon, it’s important to formalise them in the written form of a consulting agreement. This document serves as the official record of the settled terms, ensuring both parties are aligned on expectations.

Nowadays, the preparation of a consulting agreement doesn’t require extensive legal knowledge or complicated procedures. By using an online contract template and the drafting practices we’ll share with you in this article, you can prepare a legally binding document in just a few minutes.

Key components of a consultant contract

To be comprehensive and fully enforceable, an hourly rate consultant contract must include eleven essential points:

Before you come to the preparation of your document, it’s advisable to thoroughly discuss each of these aspects with your client, clarifying any areas that might cause confusion or misinterpretation later.

How to structure a consultant contract at an hourly rate

Once you use an hourly rate consultant contract from AdminTech, there is no need to worry about the structure or legal complexities. The contract body has been prepared by Swiss lawyers, ensuring all essential clauses and provisions are included. Consequently, you simply need to complete the document by filling in the specific details of your cooperation. The overall process can be completed in just five steps.

Step 1: Include basic information about yourself and your client

The agreement starts with information that clearly distinguishes the involved parties. Here you need to specify:

Step 2: Add the description of your responsibilities

After identifying the parties, it’s important to include detailed information regarding the tasks that you as a consultant are expected to perform. Clearly outline the exact services you will provide, eliminating ambiguity and ensuring there are no conflicts or confusion about what’s expected.

Additionally, based on what has been discussed and agreed upon with your client, you can include information about the delegation of specific tasks.

Step 3: Outline schedule details

To maintain clarity during the cooperation, you should regularly report on your work progress and key accomplishments. So, it is essential to establish a clear reporting schedule within the agreement, specifying whether updates should be provided daily, weekly, or monthly.

Step 4: Define the effective date and termination

The consulting contract can be open-ended or fixed-term. If you’re entering into an agreement that has a definite timeframe, then you should include the date on which it comes into force as well as the termination date. However, once you have an ongoing advisory role or a long-term business relationship that doesn’t have a specific end date, you can simply specify the start date and leave the agreement open-ended.

Step 5: Set hourly rate remuneration and payment terms

While filling in the information regarding compensation, you should clearly state the amount that is charged per hour, VAT, payment frequency, and payment deadline.

If you’re working at a consultancy firm in which an hourly rate is calculated based on staff seniority, it’s important to cover the different rates that apply depending on job roles or experience levels within the firm.

Step 6: Clarify intellectual property ownership

Once the consultancy work leads to the creation of new materials, designs, or reports, you should take time to discuss with your client and then clearly define who will retain ownership rights.

Please note that intellectual property should belong exclusively to one party. However, the other party may still have usage rights provided it is clearly stated in the agreement.

Step 7: Add non-disclosure and non-compete details

The consulting contract template includes the confidentiality clause that obliges you to protect the secrecy of all confidential information of the client. However, if during the discussion of the cooperation details, your client has specified additional confidentiality or non-compete details, you should add them to the agreement to avoid any misunderstandings.

Step 8: Define liability obligations

As a consultant, you might be required to address any defects discovered in your work and correct them within an agreed timeframe. Consequently, in your contract, it’s important to state the period within which the client should thoroughly review the deliverables and notify you of any issues.

Best practices for drafting a consultant contract

While preparing your document, we encourage you to follow practical drafting tips that reduce the risk of misunderstandings:

Prepare your hourly rate consultant contract with AdminTech

You can easily create your hourly rate consulting document with the help of our online contract template. An intuitive builder guides you through each step, so you don’t need to worry about the complexities of legal language or structure.

The created document doesn’t require additional reviews or legal checks. You can download it and proceed with signing.

Additionally, if you have multiple clients, you can benefit from a convenient profile. There you can save your documents, continue working on your drafts, and edit the created contracts without the need to start from scratch.

Create a legally compliant consulting agreement in less than 7 minutes

Freelance professionals have become a vital support for businesses that need to handle the extra workload, gain specialised expertise, or meet tight deadlines without expanding their in-house team. For sure, due to urgent demands and project pressures, there might be a temptation to start the cooperation immediately. However, to ensure a smooth working relationship, it’s important to formalise the agreed-upon terms and expectations through a written freelance agreement. 

What is the difference between self-employed and freelancing? 

Once you start looking for a person to complete a specific task or cooperate with you on a project basis, you may come across self-employed individuals and freelancers. At this point, you shouldn’t be confused.   

In fact, freelancers are self-employed professionals who usually handle project-based temporary assignments (for example, creating a logo, conducting research, or translating texts). People who are self-employed but aren’t freelancers often operate as small business owners and might manage a shop, offer long-term consulting expertise, or provide ongoing professional services.  

Consequently, if you need to give short-term tasks or specific projects, a freelancer is the right choice. However, self-employed professionals, who aren’t freelancers, are better suited for establishing long-term collaborations and providing continuous services without the need for an employee status. 

What is a contract for freelance work? 

The beginning of work with any professional requires a clear legal document that specifies the terms of cooperation. For freelancers, these details are formalised within a freelance contract. The document serves as a binding agreement that covers all the essential aspects of the working relationship, including the responsibilities of both parties, payment terms, deadlines, confidentiality requirements, etc.  

Please note that after signing, a freelancer contract holds legal validity, and changes to its terms can only be made if both parties agree to modify the contract in writing. 

Do you need a contract for freelance work?  

Swiss law recognises both written and verbal freelance contracts. However, to ensure clarity and avoid disputes regarding payment terms, deadlines, or the ownership of produced intellectual property, it’s highly recommended to have the terms documented.  

Even if the cooperation is short-term and doesn’t require extensive negotiations, it’s better to take some time and prepare a legal document that will properly protect you.  

Fortunately, with the help of the online freelance contract from AdminTech, the overall preparation of a document will take you less than 10 minutes. Even if it’s the first time you are hiring a freelancer and aren’t sure what details to include, our dynamic contract engine will guide you through each step, explaining the essential details to fill in. 

How to make a contract for freelance work? 

Once you use our online contract for freelance work, the only thing left to do is fill in the empty spaces with your details. All the essential terms are already included in the document, so you don’t have to worry about missing any important clauses. Additionally, we encourage you to follow these four tips. 

Set rules on subcontracting the work 

Oftentimes, freelancers get assignments from multiple clients and then delegate their tasks to other professionals. However, if you require the direct involvement of a specific freelancer, this arrangement may not be suitable for you. In this case, it’s important to state in a contract that the freelancer is prohibited from subcontracting the performance of his or her responsibilities.  

Once there is a clear restriction in place, a specialist is required to personally handle all assigned tasks.  

Indicate the amount of fees and additional costs 

The freelance online contract allows you to include all necessary information regarding payment terms. Apart from the amount itself, you should specify the invoicing frequency, appropriate payment deadlines, and VAT details.  

Additionally, if the services of a freelancer might involve ancillary costs, it’s advisable to define them properly by including a description of these costs as well as how they shall be billed.  

Specify the transfer and use of intellectual property 

During the cooperation, freelance professionals are often likely to create various forms of intellectual property (for example, marketing materials, illustrations, or written content). To avoid any misunderstandings regarding ownership and usage rights, we recommend explicitly specifying who will own the intellectual property upon project completion. 

Generally, it’s common practice to outline that all created work belongs exclusively to the principal, while the freelancer may be allowed to use it in a portfolio.  

Include a suitable complaint period  

Freelancers may not always deliver perfect results on the first attempt. Therefore, it’s recommended to set a period during which you as a client can request revisions, provide additional feedback, or ask for adjustments to ensure the outcome meets all expectations. 

While filling in the online contract, make sure that you specify a reasonable timeframe during which you can thoroughly review the work and assess its quality. Once the indicated period expires, the task will be considered completed, so any requests for revisions or adjustments may not be accepted.  

Prepare your freelance agreement with a professionally drafted online contract 

Each time you start your work with a freelancer, remember to agree on terms not just verbally, but also in writing. Our online contract allows you to easily create a comprehensive agreement that will protect both parties during the cooperation. 

An intuitive interface ensures that you can quickly navigate through the process, check the created document in real time, and download a ready-to-sign contract. 

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Create a legally compliant freelance agreement in less than 10 minutes

In the world of service and work providers, drawing up a robust contract is essential to ensure that your rights are protected. This subject concerns providers of services and work carried out in Switzerland or offered to clients in Switzerland, and covers the following rules: 

Any website owner offering online services in Switzerland, also because the rules on data protection are in addition, and are strictly regulated, all to be regulated in the General Terms and Conditions of Sale (GTCS). 

What is a service contract and what types are there? 

Service contracts vary according to the following: 

It should be noted that acceptance of the general terms and conditions of sale (GTCS) online is legally equivalent to a contract, although it is not “in writing” as such.  

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Create your contract for works in a couple of clicks

When you perform services that materialise and involve the transfer, examination or modification of movable or immovable property, this is the contract of works whereby the service provider is also liable for defects. 

What are the main mistakes service providers can make and how can they avoid them with AdminTech? 

To avoid common mistakes when drawing up a service contract, it is important to pay attention to the following key points:  

To avoid these mistakes, use the AdminTech online contract builder to create a robust works or project contract. 

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The field of quotations and estimated prices in Switzerland is vast and can raise many questions for readers. In this article, we will address a number of questions of interest to the reader, providing detailed and relevant answers. We will explore how quotations work, their importance, the different types of quotation, the factors that influence estimated prices, and finally give some advice on how to obtain accurate and reliable quotations. 

What is a quotation and why is it important? 

A quotation is a document issued by a professional or company estimating the cost of a service or product requested by a customer. It generally includes a detailed description of the service or product and the corresponding price. An estimate enables the customer to know in advance the budget required to complete the project and to compare offers from different service providers. 

Estimates are also important from a legal point of view, as they can be used as evidence in the event of a dispute. In Switzerland, estimates are often used for certain types of work and services, particularly those carried out by building professionals, tradesmen, architects, plumbers, etc. An estimate can also be provided for IT services, removals, medical services, etc. 

What are the different types of quotation? 

There are different types of quotation, depending on the sector of activity and the project envisaged. Here are the main types of quotation: 

1. The standard quotation: this is used in many sectors and generally includes a detailed estimate of the work, products or services required. 

2. Fixed-price quotation: this sets an overall price for the entire project. This type of quotation is appropriate when the service provider can accurately assess the total cost of the work to be carried out. 

3. Estimate: this provides an approximate price range based on the information available. This type of estimate is often used when the project is complex and requires an in-depth study. 

Is a quotation compulsory? 

In Switzerland, there is no obligation to draw up an estimate. If the two parties do not agree on a fixed price or a lump sum, the price of the work is calculated on the basis of the work carried out. 

However, the question arises as to whether the customer is obliged to pay the full price according to the final statement when it differs from the estimate amount initially discussed. It all depends. 

– It is generally accepted that the difference between a quotation and an invoice should not exceed 10%, subject to special circumstances. 

– In return, the customer is obliged to tolerate this margin of increase. 

– Even if the overrun is admitted, the service provider must prove the amount of the costs and the hours actually worked, and must in any event ensure that the customer is duly informed if the overrun proves foreseeable. 

– It still has to be a genuine quotation and not a firm price that cannot be exceeded. 

– Nor may the service provider exceed the upper limit of the range if the quotation is drawn up with this in mind. 

– Lastly, the quotation must be accepted by the customer. Although it is possible to accept the quotation verbally, it is better to countersign the printed quotation as proof. 

What factors influence estimated prices? 

Estimated prices may vary depending on a number of factors, the most important of which are listed below: 

1. The nature and scale of the project: complex work or work requiring specific skills may result in higher costs. 

2. The materials and equipment used: some materials or equipment may be more expensive than others, which may influence the estimated price. 

3. Labour: the cost of labour may vary from one contractor to another, depending on their experience and reputation. 

4. Deadlines: some companies may charge extra if the project has to be completed to a tight deadline. 

How can I get accurate, reliable quotes? 

To get accurate, reliable quotes, follow these tips: 

1. Make a detailed request for a quote: provide all the necessary information about your project so that the service provider can assess the work accurately. 

2. Get several quotes: request quotes from different suppliers to compare prices and services. 

3. Check the service provider’s references: consult the opinions of previous customers and visit projects carried out by the service provider to check the quality of his work. 

4. Ask additional questions: don’t hesitate to ask questions about the estimate, materials used, timescales, guarantees or any other relevant information. 

In conclusion, quotations and estimated prices in Switzerland play a crucial role in many customers’ projects. It’s important to understand how estimates work, the different types available, the factors that influence prices and how to obtain accurate, reliable estimates. By following these tips, you’ll be able to make informed decisions when it comes to quotations. 

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Whether you are a professional or private supplier, it is important to be aware of the rules governing advertising, offers and sales in Switzerland, which are as follows: 

  1. Every sale is preceded by considerable marketing and advertising efforts. 
  2. The law protects buyers, especially consumers, against unfair commercial practices. 
  3. Breach of trade rules results not only in loss of reputation or customers, but also in damages and fines. 
  4. When it comes to e-commerce, Swiss law is more restrictive than we are used to in some countries, and the sales and advertising practices of the e-commerce giants are often illegal, so we must not blindly follow their “success model”. 
  5. Some unfair clauses in the general terms and conditions are totally null and void, and do you more damage and confusion than protection. 
  6. The law against unfair competition also protects the free and fair market, and gives injured competitors the right to compensation. 

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Main legal rules for preventing unfair commercial practices in Switzerland

In what follows, we will outline the main legal rules to be aware of in terms of unfair commercial practices to be avoided in Switzerland. Here are the most important points to remember: 

Unfair competition 

To talk about unfair competition, the following three cumulative conditions must be met: 

Common unfair practices that harm competitors 

The most common unfair practices that harm competitors are as follows: 

Common unfair practices that harm consumers 

The most common unfair practices that harm consumers are as follows: 

Recent reform on unwanted calls: From 2021, operators must filter unwanted calls. Legislation has also been strengthened to penalise advertising calls on mobile phones, spoofing and brokers working with call-centres that do not comply with the law. 

Recommendations 

To avoid the risks associated with unfair commercial and advertising practices, here are a few recommendations: 

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In Switzerland, the subject of liability for defects, fault or negligence mainly concerns service and works providers, taking into account all of the following points: 

  1. Service contracts may sometimes involve a transfer or modification of ownership, giving rise to strict liability for defects without fault being required. 
  2. The performance of services often involves a number of subcontractors, whose misconduct may make you personally liable. 
  3. Case law on the limitation or reduction of liability by contractual clauses is fairly restrictive. 
  4. In addition to the responsibilities of the service provider, the customer or his agents may also make a mistake that affects the outcome of your work. 
  5. Clarity in a contract is the key to success in order to avoid any complaints about the quality of services. 

In addition, any website owner offering online services in Switzerland should be aware that system malfunctions, loss of data by the site host or cyber-attacks can cause significant damage to your customers and engage your liability. 

Main legal rules 

With regard to the legal rules governing the provider’s liability for defects, fault or negligence, here are the main points to note: 

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It should be noted that where the subcontractor does not perform only part of the service or only a subordinate task, but fully replaces the service provider, the latter is only liable for the care with which it chose and instructed the subcontractor. On the other hand, the substitute may be acted upon directly by the customer, subject to certain limits – the only exception in Swiss law in this area being that the substitute is not itself bound by the contract to the customer. 

Recommendations 

To limit liability in contracts of enterprise, we recommend that you consider the following tips: 

  1. In contracts for work and services, remember to clearly delimit the moment of transfer of risk using our contract templates, and the service provider will no longer be liable for damage or defects after this moment. 
  2. As a subcontractor, be careful if you accept payment or instructions directly from your principal’s customer, as this may imply a tacit contract with him, whereas all the limitations of liability that you have agreed with your direct principal will no longer be enforceable against this customer who has not signed up to them.
  3. Always remember to limit your liability to the amount of fees paid during a certain period prior to the dispute. 
  4. Even if you are contractually authorised to do so, always ask your customer for firm acceptance if you hire external subcontractors. 
  5. Include a clause in the contract specifying the time limit after completion for reporting any defects in the service. If the customer accepts unreservedly that there is no defect, you can no longer be held liable.