The Self-Employed Service Provision Contract

Contract of service

As the relationship between the company and you are merely commercial, this type of contract is not governed by labor law but is regulated by the Commercial Code.

This contract is important when establishing the conditions between you and the company for these reasons:

1. The service and obligations of the self-employed professional are described.
2. It must reflect the compensation in the hypothetical case of rupture of the commercial relationship.
3. The self-employed worker is supported against possible inspections by the Administration.

Parts of the contract for the provision of services

Since it is a contract, all the data of both parties must appear, that is, those of the company and those of the professional, as well as the date, place, and signature of both. In addition, a detailed description of the service to be performed and its duration must be reflected in it.

It is also important to reflect on the following issues:

• Organization of work: in the contract, it must be clarified that the organization of the work to be carried out will correspond to you as a self-employed professional. You are a self-employed worker, therefore you work independently and nobody can force you to work during a specific schedule or a certain number of hours.

• Necessary material: the material necessary to carry out this type of contract must be provided by the self-employed person, not by the company.

• Price: in addition to the price that the freelancer will charge for the provision of the service, the clauses of the contract also usually establish the commissions that they will receive, if any, and the extra work that may occur.

• Terms and methods of payment: in the contract, you must establish the term and method of payment, including the checking account if you have opted for a bank transfer. Remember that the Delinquency Law establishes that payments must be made within a maximum period of 30 calendar days from the provision of the service unless another date is established in the contract. If you set a maximum term, this cannot be greater than 60 days and the date of receipt of the invoice will be the moment in which time begins to count.

• Safeguards of fiscal obligations: in some occasions, the clauses establish that the self-employed worker agrees to comply with his fiscal obligations, such as the quarterly payment of VAT and the self-employed contributions to Social Security. The contract may establish that the self-employed show the employer to be up to date with these payments.

• Duration of the contract: this is another important piece of information. You must make clear the duration of the work or service that you are going to carry out so as not to be helpless before the law in case of non-compliance. In addition, they must also include the renewal conditions of the same if this possibility exists.

• Jurisdiction: the Courts and Tribunals to which both parties will resort in the hypothetical case of problems must appear in the contract. These will be dealt with in Commercial Court. It is important to add the inclusion of compensation in the event of non-compliance by one of the parties.

• Occupational risks: occupational risks are borne by the self-employed person.

• Technical management: this is a point that, sometimes, can be problematic. Presumably, when hiring your services, the employer trusts your knowledge as a professional, so you must have total freedom when developing your work by following the technical directions that you consider and establish.