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3 Tips on Engaging With Independent Contractors

When looking to engage a contractor for your business, it is important to know the process so you can find the best possible fit for your business. Continue reading to learn how to simplify the process of engaging with independent professionals.

When looking to engage a contractor for your business, it is important to know the process so you can find the best possible fit for your business. Many small to medium-sized businesses opt to engage with independent contractors as there can be less paperwork or administrative burden and more flexibility than hiring a new employee for an extraneous task. Independent contractors are also a viable option for special projects that require you to outsource a certain level of expertise for a shorter period of time. Continue reading to learn how to simplify the process of engaging with independent professionals.

1.   Plan ahead

Skilled independent contractors are a growing sector of the workforce. It has become a popular solution for many professionals as it allows the contractor to direct their careers how they see fit. The needs and time constraints of contractors are bound to be different than your own internal employees. Getting your business ready to work with individuals outside of your organization can take time, but will allow you to offload some tasks to professionals so you can concentrate on the tasks your business needs.

2.   Research and develop an engagement strategy

Developing your strategy for hiring an independent contractor is essential to minimize complications and accelerate how fast your contractor can start working. To develop a consistent engagement strategy, it can be helpful to become familiar with independent contractor engagement firms. These firms can ensure that contractors pass compliance tests and will not incur misclassification risks.

There are laws and regulations for independent contractors that contractors must adhere to. It is important to become familiar with these laws and regulations to ensure that both you and your future contractor remain compliant. Because these laws are constantly changing and there are distinctions between the state and federal regulations, staying up to date and remaining compliant with these rules will help you have success with external contractors.

Building a program to engage with independent contractors will help you fulfill your business goals. Your internal policies should be well defined across all industries to be able to find, work with, and manage independent contractors.

3.   Remain flexible

Each independent contractor you work with will have different terms, conditions, and requirements. In order for different contractors with different requirements to remain compliant, it is important to have your business’s strategies and policies flexible enough to attract talent that can help your business thrive.

Outsourcing work to independent contractors can be a big step for your business with big payoffs. Adding new talent to your team and making them a part of your team can help your business accomplish more without incurring stress on your internal employees. Working with independent contractors can be a simplified way of working with new individuals who bring value to your business. With KPMG Spark, you are also able to outsource your bookkeeping and accounting to dedicated CPAs who work with you through our managed accounting platform.

Click here to schedule a consultation to learn more about how KPMG Spark managed accounting solution can help make your life easier so you can focus on your business’ needs.

 

 

The views and opinions expressed herein are those of the author and do not necessarily represent the views and opinions of KPMG LLP.

This blog article is not intended to address or provide advice concerning the specific circumstances of any particular individual or entity and does not constitute an endorsement of any entity or its products or services.

Some or all of the services described herein may not be permissible for KPMG audit clients and their affiliates or related entities.

The following information is not intended to be “written advice concerning one or more Federal tax matters” subject to the requirements of section 10.37(a)(2) of Treasury Department Circular 230. The information contained herein is of a general nature and based on authorities that are subject to change. Applicability of the information to specific situations should be determined through consultation with your tax adviser.

Ben AsplundJuly 12, 2022Posted In: Business Tips

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