How to Write a Freelance Contract
- Federation of Small Businesses

- Oct 22
- 4 min read
Getting all the details in black and white is crucial. We share our top tips for writing your next freelance contract and explain why they’re so important.

Why are contracts so important as a freelancer?
No matter what kind of freelance work you're doing, contracts are part of everyday life as a freelancer, but the devil is in the detail. A freelancing contract, commonly in the form of a contract for services or consultancy agreement, should include the details and expectations that both parties hold including, but not limited to, pay rates and scope of work. Covering all your bases before signing on the dotted line helps you to get paid on time, manage your client’s expectations and stay on top of your IR35 compliance duties.
Whilst ‘freelancer’ is not a term used in taxation legislation or employment law, a freelancer is generally understood to mean a self-employed person who is not an employee or worker of the company that engages them and who is responsible for their own taxation on a self-employed basis. A freelancer typically has multiple clients and projects on the go at any one time and determines their own freelance rates.
Self-employed workers aren’t paid through PAYE, and they don’t have the employment rights and responsibilities of employees, such as the right to claim unfair dismissal or degree of control in how the work is carried out. Neither do self-employed individuals have statutory worker rights, such as entitlement to holiday and sick pay. In any tribunal or court claim where the employment status of the freelancer is in dispute, this is determined by the reality of the working relationship rather than the wording of the contract alone.
Here are three reasons why an air-tight contract is key to a successful client relationship.
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