| iv> | | | | relationship with your client could quickly turn sour. |
| Before engaging in a formal business relationship, | | | | Consulting Contracts for System Integrators |
| system integrators and custom computer/software | | | | For systems integrators, a typical consulting services |
| programmers need to protect their business interests | | | | agreement identifies the work you are to perform |
| with appropriate legal contracts. | | | | and specifically defines the terms of your working |
| During the initial stages of project development, IT | | | | agreement with the client. It sets the limits of your |
| professionals often keep informal records by hanging | | | | responsibilities to the client, as well as the terms for |
| on to e-mails sent back and forth with the customer. | | | | price and payment. |
| While e-mail does provide a written record of | | | | The agreement also protects your intellectual |
| correspondence between you and your client, | | | | property rights and establishes confidentiality |
| it’s no substitute for a signed project | | | | standards to protect both you and your client. It |
| agreement that clearly states the who, what, | | | | limits any losses for the work you perform and |
| when, where, how, why and how much behind a | | | | prohibits your client from hiring away your key |
| project. | | | | employees. This type of project agreement also |
| As part of a good project risk management | | | | limits your liabilities in the event the client should |
| strategy, it’s especially important to have a | | | | suffer losses due to your errors or omissions. |
| consulting contract or project agreement in place | | | | Other, separate contracts that systems integrators |
| before any money changes hands. | | | | may need include: |
| A Good Project Agreement Is Good Project Risk | | | | Employment contracts |
| Management | | | | Network installation and maintenance agreements |
| Whether your business is focused on systems | | | | Staffing and placement agreements |
| integration or custom computer/software | | | | Subcontractor or independent contractor |
| programming, having a signed project agreement | | | | agreements |
| before you begin an engagement will reduce or | | | | The latter are particularly important because they |
| eliminate potential complications that could arise during | | | | govern the relationship between you and any |
| a project. Most consulting contracts clearly spell out: | | | | subcontractors you may bring in on a project, clearly |
| Each party’s duties | | | | outlining who owns licenses and intellectual property. |
| Compensation | | | | This type of agreement can also prohibit your |
| Terms | | | | subcontractor from taking your client’s |
| Expenses | | | | business away from you, or from being hired away |
| Written reports | | | | by the client. |
| Confidentiality | | | | Consulting Contracts for Computer Programmers |
| Termination rules | | | | For computer/software programmers, a typical |
| Solid project agreements or contracts are a critical | | | | custom software development agreement is |
| first step in project management, as well as an | | | | designed to govern the relationship between you and |
| important element in a project risk management plan | | | | your client. |
| to protect your business. Defining all project elements | | | | A custom software development agreement |
| up-front and in writing could help prevent legal trouble | | | | protects your intellectual property rights whenever |
| later, keeping you from spending thousands of dollars | | | | you are hired to develop software and applications |
| in legal costs and countless hours in a courtroom. | | | | for a client. It sets the terms of use, price and |
| A good project contract also helps to ensure that | | | | payment for your work, and gives you the right to |
| you receive the payment that you and your client | | | | collect payment for work performed to date, in the |
| have discussed. Too often, a project is well under | | | | event the client should terminate the agreement. |
| way when a client suddenly decides not to pay, tries | | | | This type of project agreement generally limits |
| to lower the price of your work, or changes the | | | | warranties and guarantees related to your work, and |
| terms. If any of these things happen and your client | | | | caps your total liability to the client. Such contracts |
| relationship is not governed by a contract, you could | | | | can also be used to prevent your client from hiring |
| lose a lot of time and money, and your good | | | | your employees away from your firm. |