There are many ways to get paid for work and likewise numerous ways to pay a worker. Be wary of slanted business agreements. These payment methods include the installment plan, whereby the worker is paid at each stage of a project; with an initial retainer being paid at the onset of the assignment. Commission only payments, based on a percentage of the sale of a good (real estate), or to be paid upon the recovery of either a debt, or a payment made in bad faith require detailed contractual terms.
In each of the above-noted payment structures there is the potential for a lopsided balance of power by the employer over the worker. To avoid working and not being fairly compensated or paid what will be owed for accomplished work a well written contract for service should be created and signed by both parties to the agreement. Therefore, all of the terms of the employment relationship will be clearly spelled out.
In this type of an agreement, each party should have equally contributed their input as to how the work will be done, objectives to be achieved and the compensation to be awarded, as well as the timelines for payment. Other factors are extremely important and should be considered and included in the employment agreement. Employer expectations for sales, work performance, expansion of customer or client base and brand development and or marketing of company image are important components of a contract for employment. If staff know exactly what is expected of them, they can strive to meet the employer’s expectations and possibly exceed them. When entering into a contract it is always advisable to seek the advice and assistance of a competent and qualified legal practitioner, such as a lawyer or paralegal.
Oftentimes when friends or acquaintances enter into a working relationship there is a likely possibility for misunderstandings of actual intentions or meanings of what is said during business communication. To avoid such potentially unpleasant dialogues, a written agreement should be accompanied with a direct and professional discussion that outlines the specific parameters for the work affiliation. In all cases the agreement should be drafted and reviewed by a qualified legal practitioner.
Wherever possible, friends should strive to not work together in business matters. One relationship will be adversely affected by the change in association. Either the business relationship might fail, or the value of friendship might depreciate.
Originally posted 2013-08-05 18:25:22.