A Consultancy Agreement spells out the terms when you hire an independent expert or advisor to help your business. It's a legally binding contract that defines what the consultant will do, how much they'll be paid, and how long the work will last - while making it clear they're not your employee under Indian labour laws.

The agreement protects both parties by setting clear boundaries around confidentiality, intellectual property rights, and project deliverables. Under Indian Contract Act guidelines, it should cover payment schedules, dispute resolution methods, and any non-compete restrictions. Smart businesses use these agreements to avoid misunderstandings and ensure smooth professional relationships with their consultants.

Use a Consultancy Agreement when bringing in external experts for specific projects or specialized advice - like IT consultants setting up new systems, management experts restructuring departments, or financial advisors planning investments. This protects your business interests while clearly defining the scope and expectations for both parties.

The agreement becomes essential when sharing sensitive company information, developing intellectual property, or engaging high-value consulting services. Indian businesses often need these agreements when hiring foreign consultants, implementing complex technical solutions, or seeking strategic guidance. Having it in place before work begins prevents disputes about deliverables, payment terms, and confidentiality obligations.

• Contract For Consulting Services: Standard framework for one-time project engagements with clear deliverables and timelines
• Consultant Retainer Agreement: Ongoing advisory relationship with regular monthly fees and broader scope of services
• Management Consulting Contract: Specialized agreement for organizational strategy and leadership advisory services
• Sales Consultant Contract: Revenue-focused agreement often including performance metrics and commission structures
• Business Consulting Contract: Comprehensive agreement covering multiple business aspects with flexible engagement terms

• Business Owners & Companies: Engage consultants for expertise they don't have in-house, from IT solutions to management strategies
• Independent Consultants: Professional experts who provide specialized services while maintaining their independent contractor status
• Legal Teams: Draft and review agreements to ensure compliance with Indian contract law and protect client interests
• HR Departments: Manage consultant relationships and ensure clear distinction from regular employment arrangements
• Project Managers: Oversee consultant deliverables and maintain documentation of project milestones and outcomes

• Scope Definition: Document specific deliverables, timelines, and success metrics for the consulting engagement
• Party Details: Gather complete business information, GST numbers, and authorized signatory details for both parties
• Payment Terms: Decide on fees, payment schedule, expenses policy, and any performance-linked incentives
• Project Timeline: Set clear start dates, milestones, and completion dates with review points
• Confidentiality Needs: Identify sensitive information that needs protection during and after the engagement
• Document Generation: Use our platform to create a legally-sound agreement that includes all essential elements under Indian law

• Identification Details: Full legal names, addresses, and GST numbers of both consultant and client company
• Service Description: Detailed scope of work, deliverables, and performance standards
• Payment Terms: Fee structure, payment schedule, expenses policy, and tax implications
• Duration & Termination: Contract period, renewal terms, and conditions for early termination
• Confidentiality: Protection of business secrets and client data under Indian IT Act requirements
• IP Rights: Ownership of work products and intellectual property transfer terms
• Dispute Resolution: Governing law, jurisdiction, and arbitration procedures under Indian arbitration laws

A Consultancy Agreement differs significantly from an Advisory Agreement in several key aspects, though both involve external expertise. Understanding these differences helps you choose the right document for your business needs.

• Scope and Deliverables: Consultancy Agreements typically focus on specific projects with clear deliverables and end dates, while Advisory Agreements cover ongoing strategic guidance without concrete deliverables
• Payment Structure: Consultants usually charge project-based or hourly fees, whereas advisors often receive retainers or equity compensation
• Legal Relationship: Consultants maintain more independence and often work with multiple clients simultaneously, while advisors typically have closer, long-term relationships with fewer organizations
• Liability and Responsibility: Consultancy Agreements include detailed performance metrics and accountability measures, while Advisory Agreements focus more on strategic input without direct operational control