Also, even if you are working with a friend as an IC, it is still extremely advisable to have an agreement in place.  Have you checked out my complete IC Tool box?  It contains the very agreement I use, along with plenty of other resources you may need right now: http://petsittingology.com/blog/pet-sitter-independent-contractor-tool-box/

Thanks for your question.  What kind of problems are you referring to?  Not remaining profitable problems, or problems arising if the two discuss the terms?

I do believe that it’s OK, and your option to pay any IC what you feel is fair.

Regarding the IC Agreement, it is always advisable to run it by an attorney.  The very last thing you need is to find one and have to go to court, only to learn that it does not protect you.

The pay would naturally increase, as per your next question, if you are paying a percentage rather than a flat fee.  For example, if you pay your IC 50% and the job is $100, she will be entitled to $50.  If your next job is $200, her pay at 50% would obviously increase to $100.

There is so much to discuss on this topic.  See this 90-minute Q&A call Bella Vasta and I held answering many questions on the subject.

Let me know if I can help further.

I have a small pet sitting business and am paying my new ICs a rate of 50% of the service fee as charged to the client. However I have a couple of folks that have been with me several years and am still paying them their old rate of 60%. I know you can’t give legal advice but do you foresee any problems with this? Also I am using a standard IC agreement. Do you think it is necessary to hire a lawyer to look it over? Thank you in advance.

Let me address #2 first – some insurance policies DO cover your ICs. You will simply need to talk to your agent and see if your current policy covers ICs. If not, you'll need to add the appropriate coverage.

You'll also want to make certain that your (or their) insurance covers for all potential situations. For example, in the pet sitters home (if you provide that service), in the car (for pet taxi services), overnights in the client's home and all the client's property and belongings.

To answer #1 – if you require your ICs to purchase their own insurance (a few hundred dollars per year) and they do not want to, then they are simply not right for your team.

If someone does not want to invest a small needed amount into their business (as the IC), this should be a red flag and you should continue your search for someone who wants to take it seriously.

Hope this helps.

Great questions. There is certainly a fine line between 'controling' ICs, and it comes down to showing the IC what to do versus how to do it.

You can assure that a job gets done to your standards simply by hiring the right person to begin with. This may sound easier said than done, but once you get a handle on how to find the best people to hire, you will have problem with the level of care provided.

As far as client consultations… some pet sitters choose to go on the consultations with the IC (at least for the first few) so everyone is comfortable. Then when the IC is an old pro at things, you can send them on their own.

I'm happy to answer any other Qs.

Let me address #2 first – some insurance policies DO cover your ICs. You will simply need to talk to your agent and see if your current policy covers ICs. If not, you'll need to add the appropriate coverage.

You'll also want to make certain that your (or their) insurance covers for all potential situations. For example, in the pet sitters home (if you provide that service), in the car (for pet taxi services), overnights in the client's home and all the client's property and belongings.

To answer #1 – if you require your ICs to purchase their own insurance (a few hundred dollars per year) and they do not want to, then they are simply not right for your team.

If someone does not want to invest a small needed amount into their business (as the IC), this should be a red flag and you should continue your search for someone who wants to take it seriously.

Hope this helps.