Business Assistance Scenario: Clarifying Contracts

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The Background

After 15 years of working in various trades jobs, Beau decided to start his own home renovation business six months ago. With an array of skills gained through his years in the trades and support from Russell, a former colleague turned employee, Beau is excited for the opportunity to be his own boss and choose projects that he’s truly passionate about. One such project is a major remodel for a new client. This job will be a win for his business, as the client is open to Beau and Russell getting creative with their plans for the renovation.

The Problem

Between the two of them, Beau and Russell have the experience and expertise required to complete most aspects of a home renovation, from plumbing to carpentry. However, this job will involve some extensive demolition, which can only be achieved through the use of heavy equipment. Since neither Beau nor Russell are able to take on this portion of the remodel, Beau is planning to contract the work out to a Heavy Equipment Operater. While he has someone in mind for the job, as a new business owner he has absolutely no experience with the intricacies of hiring a subcontractor. He knows that some sort of an agreement will be required, but isn’t sure where to start in creating one.

The Solution

Luckily, Beau receives Arete business supports through his insurance provider, which includes access to the Healthy Business Bookmark (HBB). There he finds helpful guides that outline how to successfully work with independent contractors and create agreements for this work. After reading through the guides, he has some lingering questions—and wants to fill in any gaps in his understanding so they don’t end up reflected in the contract. He completes the Service Request Form on HBB and is shortly matched with a legal professional for guidance.

The Outcome

Beau has a call with the professional, who clarifies some legal jargon and is able to answer his general questions about drafting agreements for independent contractors. Afterward, Beau is feeling confident and ready to draw up a binding contract that will protect him, Russell and his clients. He’s also reassured knowing that Arete’s business supports are available any time he needs a little help with the business side of things, so he can continue to focus on the work he loves.


 

Resource Connection

If you have access to HBB through your provider, check these resources out today!

  • Working With Contractors – Creating a Profitable Relationship
  • Independent Contractor (IC) Agreement – A Checklist of Clauses
  • Non-Solicitation Agreement Sample
  • Non-Compete Agreement Sample

 

Note: This fictional scenario is inspired by real business issues that can be solved through Arete’s Acumin® Business Assistance Program and is not associated with any Arete client or the testimonial provided above.

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