A government or a company may decide to outsource services from a small business or individual, services that can be done from their offices by their employees. This type of business is called Independent contracting (Self-employment). Outcomes from a research showed that Individuals who are self-employed highly contribute towards the changes that occur in economic strength and growth. This was after a study done by Phillip Romero, Professor of Finance from University of Oregon in California.
There are different guidelines set for individuals and small businesses on contracts. They should be followed to enable them retain their status as independent contractors and not employees. They should be able to retain control of the work they are given.
This is achieved by scheduling working hours within the deadline. Furthermore, they should set paying and supervising any workers or assistants hired. They should have own working station unless it is agreed to work from the firms premise and not asking for instructions from the hiring firm.
There are different guidelines set for individuals and small businesses on contracts. They should be followed to enable them retain their status as independent contractors and not employees. They should be able to retain control of the work they are given.
This is achieved by scheduling working hours within the deadline. Furthermore, they should set paying and supervising any workers or assistants hired. They should have own working station unless it is agreed to work from the firms premise and not asking for instructions from the hiring firm.
This is a key rule because it distinctly shows there is a difference between employees and independent contractors. It clearly shows that contractors are independent while employees take to follow instructions from their employers.However, contractors are able to do the work in the most efficient way they prefer.
The contractors should be able to show that they can either get profits or make loses a symbol that they are independent. Small businesses or individuals can achieve this by showing that they constantly incur business expenses such as office space charges, payment for internet services, workers payroll expenses or cost of buying equipment. There is a chance to know whether profit will be made or loss incurred when invoicing the work done. It's important to come up with a comprehensive invoice once the project is complete rather than daily billing so that all expenses are reflected so as to avoid charging less than required.
It is also important to increase the availability of the services offered. Contractors, who are independent, should widely market their services because they do not target one person or company. This can become successful by listing in postal or telephone directories, setting up a website, getting business cards and letterheads, becoming a member of professional organization, attending trade fares, prospecting for clients by making calls or advertising in newspapers, journals and magazines. This will highly increase the number of clients the independent contractors have hence making their status not to be questioned.
A written agreement is important to show the contract between the hiring firm and the independent contractors. This document should in a clear manner say that the services are being offered to the firm by an independent contractor. It should also state that the major objective is getting the project done within the stipulated period without any interruptions from the hiring company. The contractors should confidently state that they are not employees.
Registration of small and new businesses has greatly increased in California and is considered to be one of the highest. This has greatly
The contractors should be able to show that they can either get profits or make loses a symbol that they are independent. Small businesses or individuals can achieve this by showing that they constantly incur business expenses such as office space charges, payment for internet services, workers payroll expenses or cost of buying equipment. There is a chance to know whether profit will be made or loss incurred when invoicing the work done. It's important to come up with a comprehensive invoice once the project is complete rather than daily billing so that all expenses are reflected so as to avoid charging less than required.
It is also important to increase the availability of the services offered. Contractors, who are independent, should widely market their services because they do not target one person or company. This can become successful by listing in postal or telephone directories, setting up a website, getting business cards and letterheads, becoming a member of professional organization, attending trade fares, prospecting for clients by making calls or advertising in newspapers, journals and magazines. This will highly increase the number of clients the independent contractors have hence making their status not to be questioned.
A written agreement is important to show the contract between the hiring firm and the independent contractors. This document should in a clear manner say that the services are being offered to the firm by an independent contractor. It should also state that the major objective is getting the project done within the stipulated period without any interruptions from the hiring company. The contractors should confidently state that they are not employees.
Registration of small and new businesses has greatly increased in California and is considered to be one of the highest. This has greatly
It is also important to increase the availability of the services offered. Contractors, who are independent, should widely market their services because they do not target one person or company. This can become successful by listing in postal or telephone directories, setting up a website, getting business cards and letterheads, becoming a member of professional organization, attending trade fares, prospecting for clients by making calls or advertising in newspapers, journals and magazines. This will highly increase the number of clients the independent contractors have hence making their status not to be questioned.
A written agreement is important to show the contract between the hiring firm and the independent contractors. This document should in a clear manner say that the services are being offered to the firm by an independent contractor. It should also state that the major objective is getting the project done within the stipulated period without any interruptions from the hiring company. The contractors should confidently state that they are not employees.
Registration of small and new businesses has greatly increased in California and is considered to be one of the highest. This has greatly improved the level of employment in this state. Phillip Romero knows the danger of restricting or plans to remove independent contractors.
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A written agreement is important to show the contract between the hiring firm and the independent contractors. This document should in a clear manner say that the services are being offered to the firm by an independent contractor. It should also state that the major objective is getting the project done within the stipulated period without any interruptions from the hiring company. The contractors should confidently state that they are not employees.
Registration of small and new businesses has greatly increased in California and is considered to be one of the highest. This has greatly improved the level of employment in this state. Phillip Romero knows the danger of restricting or plans to remove independent contractors.
About the Author:
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