Key takeaways:

• Determine worker classification and draft a contract with relevant details.
• Verify legal and regulatory compliance in the country where the independent contractor will be working.
• Determine payment and invoicing process, protect sensitive information, and build a strong working relationship with the contractor.

How do I hire independent contractors?

Below is a short checklist you can use to hire independent contractors, all across the globe.

Determine worker classification: The first step in hiring independent contractors is to determine whether they will be classified as employees or independent contractors. This can have significant legal and financial implications, so it's important to consult with legal counsel to ensure that you are classifying workers correctly.

Draft a contract: Once you've determined the worker classification, it's important to draft a contract that outlines the terms of the working relationship. The contract should include information about pay rates, project deadlines, scope of work, and any other relevant details.

Verify legal and regulatory compliance: It's important to verify that you are complying with all relevant laws and regulations in the country where the independent contractor will be working. For example, in the European Union, there are specific requirements for contracts with independent contractors, including provisions around termination and non-compete clauses. Be sure to consult with legal counsel to ensure that you are complying with all relevant laws and regulations.

Determine payment and invoicing process: It's important to determine the payment and invoicing process for the independent contractor. This can include setting up a payment schedule and determining the method of payment (at Thera we're here to make payroll way easier, give us a try!).

Protect sensitive information: If the independent contractor will have access to sensitive information, it's important to protect that information with a confidentiality agreement or non-disclosure agreement (NDA). This can help to prevent the contractor from disclosing sensitive information to unauthorized parties.

Build a relationship: Finally, it's important to build a strong working relationship with your independent contractor. This can include regular check-ins, feedback sessions, and other communication to ensure that the project is progressing smoothly and that any issues are addressed quickly.

Hiring independent contractors abroad can be a valuable way to grow your business, but it's important to follow a comprehensive checklist to ensure that you're complying with all relevant laws and regulations, protecting your business, and building strong relationships with your contractors. By understanding the contractor hiring process, you can make informed decisions that benefit your business and your independent contractors.

Hiring contractors? Thera can save you a ton of time

If you’re hiring contractors, you’re probably spending too much time on their payroll, contracts, and tax documents. Which is why we built Thera, which saves you 90% the time you spend on contractor paperwork each month.

With Thera, you can compliantly hire your contractors in 150+ countries, onboard them in minutes, and pay them all at once (in a click). It’s global contractor payroll, finally simplified.

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