This management services agreement template outlines the payment terms, the conditions of the agreement, as well as all the services that will be provided as part of the contract.
This agreement is between [Contractor.FirstName] [Contractor.LastName] (hereby known as 'the Contractor' and [Client.FirstName] [Client.LastName] (hereby known as 'the Client').
The Contractor agrees they have the necessary qualifications, insurance, skills, and experience to provide management services (detailed in Amendment 1) to the Client.
If this agreement is between two businesses, use the business details instead.
You can adjust the term of this management service agreement to suit your needs. Some companies enlist management help for six months, while others sign five-year contracts.
This Agreement will begin on _________ (date) and remain in force until both parties provide written confirmation.
This Agreement will begin on _________ (date) and remain in force for the full period agreed by both parties, ending on __________ (date).
(Use the rest of this section for both options)
Extensions will require written consent from both parties.
Both the Client and the Contractor agree to do everything they can to allow the terms of this Agreement to come into effect.
The Contractor acknowledges that services provided under this Agreement will be done as an independent contractor rather than an employee. This Agreement is exclusively a service contract.
Management Services are often used for long-term projects, so regular payments are typical. However, Contractors can also offer their services for a flat fee. Depending on your agreement with the Client, you can choose from one of the two options below.
The Client agrees to pay the Contractor a flat fee of _________ (total cost) for the services they provide. This payment will be due in advance/when the services have been completed (strike out one of the options).
The Client agrees to pay the Contractor a monthly fee of ________ (monthly cost) for the full duration of this Agreement.
(Use the rest of this form for both situations)
A breakdown of the Contractor's fees will be provided in Amendment 2.
Invoices will be submitted by the Contractor in due course and will be paid by the Client within 30 days of receipt.
Contractor Bank Details:
Bank Name: _______________
Name on Account: ___________
Account No: _______________
Sort Code: ________________
Should this Agreement be terminated by the Client early, and the Contractor has not breached the contract in any way, the Contractor will be entitled to submit invoices for the work done up until the termination date.
You can calculate late fees between 1% and 2% of the total monthly amount, however, large corporations charge higher late fees. Certain states have a maximum limit on the percentage of late fees, so, make sure to check your local regulations.
If the Client fails to pay an invoice within 30 days of receipt, the Contractor may choose to suspend all service provisions until the payment is made or charge interest at a rate of (insert percentage)%.
Use this ‘Deposits’ section if a deposit is required before the services start. A deposit is often required for flat-fee projects.
The Client must pay a non-refundable deposit of __________ (price) within ________ (days) of signing this Agreement.
The Contractor maintains the right to withhold or delay services until this deposit has been made.
The Contractor will be responsible for National Insurance and Income Tax payments.
Should the Contractor incur reasonable expenses (not included in the initial fee) while providing services to the Client, the Contractor will be reimbursed.
All expense claims should be pre-approved by the Client prior to submission. Receipts for additional expenses and equipment must be submitted with all expense claims.
The Contractor agrees to notify the Client immediately of delays or problems that impact the provision of the services stated in this Agreement and provide recommendations on how to proceed.
The Client agrees to notify the Contractor of any complaints or defects in their performance of the services.
All defects highlighted by the Client or Contractor must be rectified within _________ (no. of days) or as soon as reasonably possible.
Management Services often require Contractors to have access to confidential information regarding the company. Within your service agreement, it’s important to make sure the Client knows confidentiality and ownership of intellectual property is maintained both during the Agreement and once it has ended.
The Contractor agrees to never reveal, report, or disclose any confidential information they obtain during this Agreement indefinitely.
Confidential information refers to, but is not limited to:
Data and information about the Client company Data and information about personnel (both business and personal information) Information that is not general knowledge or publically known Any information that could cause harm to the Client.All communication, information, and material provided by the Client to the Contractor are bound under the confidentiality of this agreement – regardless of whether the information was provided before, during, or after the Agreement was established.
This includes both written and oral communications.
Intellectual property includes, but is not limited to:
Trade secrets Moral rights Registrations & Applications Patent rights, trademarks, copyrights Trade names and design;and will remain the sole property of the Client.
The Contractor may not use any Intellectual Property for anything other than the services detailed in this Agreement unless the Client provides written consent.
Should the Contractor use Intellectual Property outside the remit of this Agreement without authorization, the Contractor will be responsible for all damages.
If the business provides the contractor with any equipment, materials, or property, you should list these in this managed service provider contract sample. You can add this list as an addendum if it’s extensive.
At the end of this Agreement, the Contractor agrees to return all property, documentation, and confidential records to the Client and must not retain copies.
Unless otherwise stated, all equipment needed to perform the services of this Agreement will be provided by the Contractor at their own expense.
Within management services, the Contractor may use third parties to perform certain services. It’s important to discuss whether the Client is comfortable with this before signing the Agreement.
Unless otherwise stated within this Agreement, the Contractor may subcontract third parties to perform certain services within the Agreement.
The Client agrees not to attempt to hire or engage with additional third parties to help with the services provided in this Agreement without the consent of the Contractor.
All subcontractors will be agents of the Contractor and will remain the responsibility of the Contractor.
Third-party services will be paid for by the Contractor as part of their payments from the Client.
No direct payments between the Client and the sub-contractor will be submitted.
The Contractor will retain full autonomy over their work schedule, methods, and decision-making in regard to providing the services set out in this Agreement.
The Client agrees to allow the Contractor to work autonomously. However, the Contractor must still be responsive to all concerns and needs of the Client.
Neither party will have liability for the other party with regards to: