Fixed Fee Subcontractor Agreement Template

Fixed Fee Subcontractor Agreement


This Fixed Fee Subcontractor Agreement is designed for use by a main contractor wishing to take on other independent trades-people on the basis of a fixed fee.

In this template, the appointment of the sub-contractor is non-exclusive. The work order is at his discretion. He is free to engage the services of others at his own expense. Faulty work must be put right at his expense. Equipment must be provided by him. Payment is to be made on completion of work.

The drafting of this agreement aims to reduce the risk that the individual sub-contractor might be deemed a de-facto employee of the main contractor rather than a self-employed sub-contractor, but whether in law he is self-employed rather than an employee will depend on all of the circumstances (not just on the terms of this sub-contract agreement).

If the subcontractor is deemed to be an employee, he will be subject to different levels of tax and National Insurance Contributions. Furthermore, the payment of income tax and National Insurance will be the responsibility of the main contractor that hired the sub-contractor.

Further guidance on tax and employment status of individuals who act as sub-contractors can be found on the information page for the sub-contracts in this subfolder but we recommend that you take professional legal and tax advice before using this template.

This agreement is written from the perspective of a company as the main contractor. The main contractor does not have to be a company and any references to this can be changed without altering the meaning or purpose of the document.

This Fixed Fee Subcontractor’s Agreement contains the following clauses:
1. Engagement of the sub-contractor
2. Indemnity
3. Provision of Equipment and Protective Clothing
4. Status of the Sub-Contractor
5. Consideration
6. Non-Competition and Non Solicitation
7. Termination
8. Miscellaneous
9. Governing Law and Jurisdiction

This document is in open format. Either enter the requisite details in the highlighted fields or adjust the wording to suit your purposes.

When you click on the “Download Document” button below you will be asked what you want to do with the file. It is recommended that you Save the document to a location of your choice prior to viewing.