Contractor Management Made Easy

Option 4 – Protect Yourself

Altima provides a number of tactics the burgeoning business can use to protect itself from shady contractors who might try to poach your clients.

“[The] usage of offshore sub-contractors can reduce the risk of having them steal your clients. …The client is much [less likely to use a] contractor from other side of globe. Of course, offshore outsourcing requires a stronger communication effort, but [also] has price benefits.

“Ask for a reference. If you [plan] to work with a company or person who constantly does outsourcing work, you can ask them to provide references from past clients [to whom they’ve contracted their skills].” This is a good way to check not just the quality of the contractor’s work, but to confirm their integrity.

”Indeed, we sign non-compete and non-disclosure agreement with most clients,” Altima adds, which is certainly a good way to make your expectations as the hiring party clear up-front. It also allows you to discuss with the contractor what might otherwise be a touchy subject, and gives you the opportunity to set the foundations for a solid, trusting business partnership.

Sharky explains, “I lock all my employees into a contract. I have used contractors in the past, and have also used contracts with [them]. I've spent the money to have an attorney write the contracts out correctly and [make them] air tight.”

Needless to say, signing legally-binding contracts at the commencement of a business relationship helps set a professional tone for the partnership, and establishes expectations in the contractors’ mind.

While many Community members felt, or had discovered through bitter experience, that contracts can cost more to legally enforce than the average business owner could afford, the fact that they’ve signed a legally-binding contract can simultaneously deter would-be poachers, and provide you with leverage if things get ugly.

Option 5 – Give Contractors a Good Deal

Once you find good contractors, you’ll want to hang onto them! But being a good employer can help you ensure that even brand new contracting partnerships have a better chance of success.

dhecker has some pointers.

“It’s up to you to ensure that you provide your contractors a better revenue stream than they would [gain] by stealing a single client and sacrificing their relationship with you. My programmers know that they could easily steal one of my clients and make some cash, but they also know that I've been paying their bills for years and no one client will offer them the steady work that I do.

”Professional contractors who are advanced in their career and have a reputation to uphold will probably not steal your clients. If you’re worried about this, you need better contractors, a better contract, and a better deal for the contractors themselves.”

Creating successful relationships with your contractors can only benefit your business. Good relationships mean happy contractors (who are more likely to refer other excellent colleagues to you should you need to contract further staff in future), happy clients, and an easy working relationship. Treating contractors well is the first step in the process.

Protect Your Assets

Your clients put bread on the table, which is why the relationships you establish with them must be your top priority. Expanding your business should not see you sacrifice the level of service or the closeness of the working relationship you have with clients. So take the time to explore your options, and aim to trial and review closely any systems or processes you use to manage contractors and clients.

These pointers may help you avoid having clients poached, and any ensuing law suits. Take a moment to see if and how you could work them into your expansion strategy. A dhecker says, ”It's up to you to make sure your contractors don't want to steal your clients. Treat them well and protect yourself!”