An independent contractor agreement documents an official inclusion of a third party into a business project. Contractors are assigned to a project to aid in organization and the overall efficiency of a given project. For instance, in the construction of a building, numerous agencies or businesses are employed to fulfill the necessary components of the building. To aid in the delivery of resources, equipment, tools and to develop an organized schedule for the various companies, an independent contractor agreement must be met.
When an independent contractor is set up with an employer, a formal written agreement or contract must be drawn up to legally establish the relationship. The contract establishes necessary components of the independent contractor agreement. The budget, the specific roles of the various companies, and the general project is itself is outlined in the contract.
If the independent contractor agreement does not fulfill the requirements of the contract, the independent contractor jobs associated with the agreement will be held accountable for not upholding the agreement. When this occurs the project will be put on hold and the project will incur financial losses and numerous opportunity costs.
Independent contractor jobs are fulfilled through a legal contract that is binding and must be fulfilled. An independent contractor agreement is a fundamental step taken to include a general contractor or private third party in a construction project or business venture. Without a signed agreement, independent contractor jobs would cease to exist, for they would not be held accountable for their actions.