Consultancy Agreement Template (UK)
Create Your Professional Contract in Minutes

A comprehensive Consultancy Agreement should clearly define:

• Consultant and client details - Full names, addresses, and company information
• Scope of services - Clear description of consulting services to be provided
• Project deliverables - Specific outputs, reports, recommendations, or work product
• Term and timeline - Start date, end date, and project milestones
• Consulting fee structure - Hourly rate, project fee, retainer, or alternative pricing model
• Payment terms and conditions - Invoice frequency, payment due date, payment method, and late payment interest
• Expenses and reimbursement - Which expenses are reimbursable and how they're documented
• Intellectual property ownership - Who owns work created, methodologies, and pre-existing IP
• Confidentiality obligations - How sensitive information is protected during and after engagement
• Independence of consultant - Consultant status (independent contractor vs. employee determination)
• Limitation of liability - Caps on liability exposure for both parties
• Insurance requirements - Professional indemnity insurance or other required coverage
• Termination provisions - Notice periods and grounds for termination
• Non-solicitation clause - Restrictions on hiring client employees or soliciting clients
• Dispute resolution - Jurisdiction, mediation, or arbitration procedures

Our agreement is crafted by legal professionals and business professionals and includes all essential clauses for UK compliance.

Legal and Financial Risks:

• Scope creep disputes: Without defined deliverables, clients expect more work than agreed, leading to unpaid overtime and relationship breakdown
• Payment disputes: Unclear payment terms result in late or incomplete payment, creating cash flow problems and potential bad debt
• Intellectual property claims: Without written IP assignment, clients may claim ownership of your methodologies, frameworks, or work product
• Misclassification penalties: HMRC may reclassify consultants as employees, resulting in backdated PAYE, National Insurance, and substantial penalties
• Liability exposure: Without limitation of liability clauses, you face unlimited legal exposure if something goes wrong
• Confidentiality breaches: No written confidentiality terms mean you have no legal recourse if client information is misused
• Employment law issues: Ambiguous consultant status triggers employment tribunal claims for holiday pay, minimum wage, or other worker rights
• Non-compete violations: Without non-solicitation clauses, clients can immediately poach your expertise or hire your team

Common Consultancy Disputes:

Scope creep leading to unpaid work, payment delays or refusals, IP ownership disputes, breach of confidentiality, misclassification claims, and liability disputes. These disputes cost UK consultants and agencies millions annually in lost revenue and legal fees.

A £10 agreement prevents £10,000+ disputes and protects your consulting practice.

Comprehensive Consultancy Protection:

• ✓ Consultant and client identification section
• ✓ Detailed scope of services definition
• ✓ Specific deliverables and project milestones
• ✓ Project term, start date, and completion timeline
• ✓ Flexible fee structure options (hourly, project, retainer)
• ✓ Clear payment terms and invoice frequency
• ✓ Expenses and reimbursement procedures
• ✓ Intellectual property ownership clause
• ✓ Pre-existing IP protection
• ✓ Work product ownership terms
• ✓ Confidentiality and non-disclosure provisions
• ✓ Independent contractor status confirmation
• ✓ Limitation of liability clause
• ✓ Insurance requirements (if applicable)
• ✓ Termination notice periods
• ✓ Grounds for termination
• ✓ Non-solicitation restrictions
• ✓ Non-compete provisions
• ✓ Dispute resolution procedures
• ✓ Governing law and jurisdiction
• ✓ ACAS Early Conciliation reference
• ✓ Data protection and GDPR compliance

Professional, legally compliant, and ready to use immediately.

Don't Make These Critical Errors:

• Vague scope of services: Leaving deliverables undefined leads to scope creep where clients expect unlimited work and refuse final payment.
• No clear payment terms: Ambiguous payment schedules result in late or partial payment, damaging your cash flow and client relationships.
• Missing IP assignment clause: Without written IP ownership terms, clients may claim they own your methodologies or work product, limiting your ability to reuse frameworks.
• No liability limitation: Without liability caps, a single client issue could expose you to unlimited legal and financial liability.
• Misclassified as employee: Failing to clearly establish independent contractor status triggers HMRC reclassification, resulting in £1000s in backdated PAYE and NI.
• No confidentiality clause: Without written confidentiality terms, you have no recourse if client information or methodologies are disclosed or used by competitors.
• Absence of termination clause: No clear exit terms mean disputes over when the agreement ends and potential litigation over final deliverables and payment.
• No expense reimbursement terms: Unclear expense policies lead to disputes over what's reimbursable and payment delays for legitimate business costs.
• Missing non-solicitation protection: Without non-solicitation clauses, clients can immediately hire your team or your team can solicit your clients.
• No dispute resolution clause: Absence of mediation or arbitration terms means all disputes go to court, multiplying legal costs and timelines.

Our agreement prevents all these costly mistakes with legally compliant, business-professional terms.