Setting clear expectations with service providers
If you’re contracting somebody for a job, you’ll both need to be on the same page. A customized service agreement template will help you iron out the details. In this post, we’ll outline how to set up a service arrangement free of any misunderstandings.
The importance of expectations
When hiring a contractor, you’ll need value for money. This means setting out clear terms that both parties stick to throughout the whole process. If you don’t do this, your contractor might go beyond your agreement’s scope.
What you expect from a contractor can also help you find the right person for the job. Not every available person might be able to work on your timeline, for example. Agreeing on expectations is the only way to guarantee a fruitful partnership.
Seven steps for setting contractor expectations
Getting on the same page as your contractor starts long before drafting an agreement. In fact, it begins from the moment you explain the job. Here are the seven steps you need to follow:
1. Define the scope
When outlining the job ahead, make sure what you’re asking for is clear. Clarify the tasks they’ll likely need to carry out, and always be specific. Don’t stick to broad descriptions like “run social media.” Specify what they should post and how often.
This should be present in your initial discussions. There may be room to expand the work the contractor performs at a later date. However, make sure the current scope is clear and that the provider understands.
2. Establish a timeline
If you’re running a long-term project, you probably have a deadline in mind. Figure out the likely dates for any milestones leading up to its completion. If practical, work with the contractor to see their timeline delivery estimates.
Make sure your deadlines stay realistic but flexible. Projects in any industry can run into delays, even if the contractor performs admirably. Talk to the contractor about this possibility. It might be worth adding a delay provision to your service agreement.
3. Discuss communication
You and your contractor should be in regular contact. This doesn’t need to be every day. You’ll have to think about how often you’d like updates. If you want them to keep you in the loop about everything, this could mean frequent calls/texts.
Set a specific channel for discussing the project. This could be over WhatsApp or just via email. However, make sure both sides have clear boundaries. You shouldn’t ask or answer queries late at night, for example.
4. Figure out payment terms
Outline a payment schedule that suits the work your contractor will be doing. Will you be paying them weekly? And if so, what decides their rate? This could be an hourly fee or can depend on the project’s deliverables.
Alternatively, the payment could be a flat fee at the start or end of a project. It may instead come in installments, such as when the project hits a new milestone. Both sides must also agree on a suitable payment method.
5. Negotiate quality benchmarks
You’ll naturally want a service provider that meets your quality standards. Figure out which KPIs (key performance indicators) you’ll use to track this. These may be site views, client retention, or building progress. On top of this, how well do they handle change requests?
No project is perfect. This means you should figure out a suitable margin for error before the job begins. You must also find time to review the work regularly. For example, each milestone might need your approval before the next stage begins.
6. Use a service agreement template
Your service agreement will outline the full partnership’s terms. Drafting one, however, can take a lot of time and money. A free online template comes with every essential field. You’re still able to customize this to fit your specific needs.
To stand up to legal challenges, your agreement must have the following:
- The contractor’s information
- The client’s own details
- A specific outline of the services
- Payment schedules and rates
- Details on reasonable expenses
- Any additional clauses or warranties
- The date range for the work
- Both parties’ signatures
7. Adapt to contract changes
You’ll need a contingency plan in case the project evolves over time. Will the service provider be available to handle any additional dates or duties? Negotiating this in advance will really help in an emergency.
During your check-ins with the contractor, discuss any necessary changes. It also helps to ask if the current service arrangement is still working for them. If it isn’t, it could be worth reviewing the contract and making a new draft.
Final thoughts
Expectations are a key part of any successful working relationship. This means you’ll both work towards the same goal. This minimizes the risk of disputes. However, you must still make sure the service agreement has provisions for handling these issues.
