We’ve worked closely with legal experts and proofreaders to design a simple subcontractor agreement (PDF and Word), so you can save money and time as you scale your operations. Think of our document as a subcontractor agreement form where you merely fill it out and sign. It’s as simple as that!
We’ve worked closely with legal experts and proofreaders to design a simple subcontractor agreement (PDF and Word), so you can save money and time as you scale your operations. Think of our document as a subcontractor agreement form where you merely fill it out and sign. It’s as simple as that!
What’s in this template?A subcontractor is an individual or a business who does work for a contractor as part of a larger project.
Contractor subcontractor agreements are most common in the building industries as specific skills are hired out to complete extensive construction contracts.
For example, a contracted project manager may hire a bricklaying company to build a new school in a new suburban development.
A subcontractor agreement is then a formal document between a contractor and subcontractor laying out the terms and conditions as it relates to the work to be performed.
Keep in mind that a subcontractor is only accountable to the contractor that is hiring them, and are there to perform their role in that agreement.
DISCLAIMER: We are not lawyers or a law firm and we do not provide legal, business or tax advice. We recommend you consult a lawyer or other appropriate professional before using any templates or agreements from this website.
You’re likely incredibly busy trying to coordinate multiple client projects. So we’ve done the hard work of developing a subcontractor agreement template to save you legal fees and time so you can quickly scale your operations and take on more jobs.
Click below to get a free copy of our subcontractor agreement docIt can get incredibly confusing when a contractor hires a contractor who then hires another subcontractor to do work as part of a large project.
The risk here is that details are misinterpreted, payments are missed, and work isn’t completed on time. These are all situations that can completely derail a project.
A subcontractor agreement keeps operations tight, focused, and consistent across all parties involved.
Depending on the size and scale of your business and projects, you may need to use subcontractor agreements all the time.
Each time you need to outsource services to complete a job, you’ll need a subcontractor agreement.As a contractor or project manager, you likely have a good feel for your gaps to fulfill a project. Even before taking on a new client, you may reach out to your network to lock in subtractors to make sure you can complete the project.
Another situation where you’ll likely need a subcontractor agreement is if your current subcontractors are no longer able to perform their work and need a replacement.
Lastly, you may need to use subcontractor agreements to extend contracts if more time is required to complete the job.
You’re likely incredibly busy trying to coordinate multiple client projects. So we’ve done the hard work of developing a subcontractor agreement template to save you legal fees and time so you can quickly scale your operations and take on more jobs.
Click below to get a free copy of our subcontractor agreement docA skilled project manager understands the vision of a project while also having a good handle on all of the moving parts to bring the project to life.
Every subcontractor agreement must be specific to the services required. Too much detail and it confuses the role of the subcontractor. Too little information, and it’s not clear what is needed from each subcontractor.
The key to a high-quality subcontractor service agreement is that it’s precise when it comes to articulating the scope of the work expected from the subcontractor.
If you’re a busy contractor, you’ll likely be using the same subcontractors repeatedly. Your contacts are one of your most significant assets and enable you to charge your clients more to access your database of reliable professionals.
That’s why it’s critically important to nurture these relationships and ensure they are paid consistently in a reasonable period.
Nothing will hurt your relationships more than not paying your subcontractors.When compiling your subcontractor agreement, be clear about what you’re prepared to pay and when. For example, will you be paying a percentage upfront and upon completion? Or will you pay milestones? Whatever method you choose, make it super clear in your agreement, and follow through on your promises.
Indemnity can be a tricky subject when it comes to subcontractor agreements. We’re referring to who is ultimately liable for any negligence or law claims when things go wrong. Who assumes that responsibility?
It’s up to you how you handle indemnity in your subcontractor agreement. However, we suggest that you at least make your subcontractors liable for any third party claims about their work.
Frequently Asked QuestionsWhile subcontractors and employees on the surface are similar, their roles are quite different.
An employee has an employment contract with an employer and is expected to work regularly, whether it’s casual, part-time, or full time. Employees are on the payroll and sometimes have access to employment benefits such as paid leave and pension plans.
A subcontractor, on the other hand, is a business entity that is explicitly hired to fulfill a service. A subcontractor will invoice a contractor for the work they conducted during a period. Subcontractors may work with multiple contractors and are not entitled to employment benefits.
Yes, absolutely. We realize that agreements may need to be modified depending on the scope of a project. That’s why we’ve made Word and PDF file types for our template to make it easy for you to make changes as you see fit.
Just keep in mind that you make significant changes to the doc, you may want to seek legal advice to ensure your updated template is still compliant.
