Audit and Framework for Cooperation with Contractors

Many modern companies use external contractors, freelancers, or service providers. This model of collaboration can be effective and flexible, but only if it is set up correctly.

During inspections, government authorities do not merely review the wording of contracts but, above all, the actual functioning of the organization, the method of assigning work, and the de facto status of suppliers within the company.

If the collaboration is structured incorrectly, it may be reclassified as dependent work or illegal employment (the so-called “Švarc system”).

Our law firm therefore provides a service for the conceptual structuring of cooperation with contractors, which includes an analysis of the business model, processes, and contractual documentation.

On demand

Assessment of the organizational and procedural setup of the organization's functioning

The first and most important phase is a comprehensive assessment of your organization's functioning in terms of cooperation with external suppliers and contractors.

In this phase, we analyze in particular:

  • the business model for cooperation with contractors
  • the organizational setup of teamwork
  • the method of assigning work and managing projects
  • integration of contractors into the organizational structure
  • use of work tools, systems, and spaces
  • method of remuneration and invoicing
  • economic dependence of suppliers on a single organization

The aim of this phase is to identify whether the way the organization operates corresponds to business cooperation or contains signs of dependent work.

This phase is crucial because, in practice, it is the actual functioning of the organization that matters, not just the formal wording of the contract.

Data collection and audit of cooperation

The initial conceptual assessment is followed by a detailed analytical phase, which includes:

Collecting data on the functioning of cooperation

The client provides information on the actual functioning of cooperation with contractors, in particular:

  • the method of assigning work
  • the ordering and project process
  • the method of communication with contractors
  • the use of company tools and systems

Analysis of documentation

We then analyze:

  • contractor agreements
  • framework agreements
  • ordering processes
  • invoicing settings
  • internal rules of cooperation

Cooperation audit

Based on the data obtained, we perform a comprehensive audit, which assesses:

  • compliance between contractual documentation and actual operations
  • identification of risk elements of cooperation
  • the organization's readiness for labor inspection

The result is a clear risk assessment using a traffic light system:

  • low risk
  • medium risk
  • high risk

Consultation and solution proposal

We will go through the audit results with the client in detail during a strategic consultation.

At this stage, the client will receive:

  • an explanation of the identified risks
  • recommendations for adjusting the business model of cooperation
  • proposals for organizational and procedural changes
  • proposals for further legal steps

The goal is to set up cooperation in such a way that it is legally defensible and procedurally sustainable.

Implementation of solutions

Based on the audit results, we can also help clients implement recommendations in practice.

This phase may include, for example:

  • redesigning contractor agreements
  • setting up work assignment processes
  • adjusting billing and remuneration models
  • setting up internal rules for cooperation
  • preparing the organization for labor inspections

The goal of implementation is to create a cooperation model that is:

  • legally defensible
  • properly set up in terms of processes
  • sustainable in the long term.

Our goal is to benefit our clients

Choosing the right and reliable advisor is always a great help in improving yourself. Above all, legal advice is extremely broad in scope and affects almost all areas of the lives of entrepreneurs and individuals, which is why choosing a legal advisor is extremely important. At Hronček & Partners, s. r. o., we focus on professionalism and high-quality legal services with an individual approach. Our main goal is to provide legal services of the highest quality and to bring innovative and professional solutions to our clients so that we can become their trusted partner.

Hronček & Partners, s. r. o.

Smart legal service

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