Pym's Technology Lawyers
Pym's Technology Lawyers

Consulting & Development

INTRODUCTION

Pym’s Technology Lawyers is pleased to provide information in respect of the consulting and software development business for visitors to the AIIA.biz website.  This section provides information in respect of consulting and software development, which is available to all visitors to the AIIA.biz website.  There are additional sections of “Key Commercial Issues” and “Tips to Make Money” which are Premium Content and are only available to AIIA Members.

Pym’s Technology Lawyers is also pleased to provide a comprehensive suite of Online Contract Templates which can be used as the basis of creating agreements for consulting and software development services. These Online Contract Templates are the basis of a master time and materials consulting services agreement and a fixed price software development agreement.  



WHY DO YOU NEED AN AGREEMENT FOR CONSULTING SERVICES OR SOFTWARE DEVELOPMENT SERVICES?

A consulting business operates by providing its skilled personnel to its customers on either a time and materials basis or a fixed price basis.

The key critical success factor in any consulting business is the ability of the ICT supplier to be able to sell the time of its skilled personnel for a higher amount than it costs the ICT supplier to pay the salaries of those personnel and the associated costs of running the consultancy business. 

A consultancy agreement is the document which describes which of these business models is to be used for the particular transaction, allocates the risks associated with the supply of the services between the ICT supplier and the customer, and provides for a number of protections for both the ICT supplier and the customer.

Without a consulting services agreement the ICT supplier will:

  1. take on many unmanaged risks;
  2. have difficulty enforcing payment arrangements;
  3. not have clarity as to which business model is being used for the project;
  4. have an unclear position on the rights of the customer to use the deliverables; and
  5. have unlimited liability for breach of contract.


Next, learn about Consulting Business Models.


 
 

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