A compliant independent contractor agreement for hiring in Bolivia

Answering all your questions about independent contractor agreements in Bolivia

You may have questions. We’re here to answer them. Below, you’ll learn all the extra stuff you should probably know before putting together an independent contractor agreement for Bolivia.

Why do I need an independent contractor agreement in Bolivia?

For most business arrangements with independent contractors, you aren’t legally required to have a written agreement. If you’re planning to hire a contractor for a specific period of time, Bolivian law requires a written contract. In either circumstance, though, it’s best to get the terms of your partnership in writing instead of relying on a verbal agreement. Without an independent contractor agreement, the important details of your partnership like the scope of work, deadlines, and pay can get confused, which can lead to a poor outcome for your business.

More importantly, independent contractor agreements are a great tool for protecting your legal interests. Written agreements establish a legal relationship between you and a contractor and hold you accountable to the terms you originally agreed to. Because arrangements with independent contractors are mostly governed by civil law in Bolivia, written agreements are often the only basis on which to bring disputes against the other party. An agreement signed by both partners is useful evidence for a judge in the event that there is a lawsuit between you and a contractor.

So should you bother with an independent contractor agreement? Definitely. In Bolivia, and anywhere else you conduct business.

What do contractor agreements in Bolivia typically need to have?

Every contractor agreement in Bolivia (and, the rest of the world) can be broken up into two parts:

• Contract-specific variables: This includes things like scope of work, rate, and deadline. They’re the project-specific variables that you’ll include with each contract, and are totally dependent on what type of work you’re hiring a contractor to do.
• ‍Everything else: Besides things like scope and deadline, every independent contractor agreement in Bolivia should follow a similar structure. If you want to grab your own contract with a compliant structure for Bolivia, sign up to Thera

What makes contractors different from employees in Bolivia?

Business owners typically find that hiring contractors is cheaper, faster, and easier than hiring employees. However, there are some major differences between contractors and employees, even after the hiring stage.

Here are a few of the key things that make contractors different from employees in Bolivia:

• Contractors can set their own schedules
• Contractors can work with their own software and tools
• Contractors can work for other clients
• Contractors rarely receive benefits, like health insurance*

For many professionals, employment at a single company is too restrictive for their interests. By working as independent contractors, they get to be self-employed and have discretion over how many clients they want to take on. For business owners, this means they get to contract with people who really believe in their company’s vision, without having to directly supervise them or provide as many benefits as they might have to provide to employees. If this sounds right for your company, Thera can help you get started on your independent contractor agreement.

*With Thera, you can get your contractors access to sign up for premium global health insurance, from SafetyWing, at a 50% discount.

Click here to learn more about hiring your team in Bolivia.