What are the legal differences between agencies and consultants?

The main legal difference between agencies and consultants lies in the relationship they have with their clients. Agencies typically operate as separate entities that contract with clients on behalf of their employees or subcontractors. This means that agencies are responsible for managing the employment relationship, including compliance with labor laws, taxes, and insurance. Consultants, on the other hand, work as independent contractors and are responsible for their own legal and financial obligations. This distinction impacts liability, taxation, and other legal considerations, making it important for businesses to understand the legal implications of their choice between hiring an agency or a consultant.

This mind map was published on 15 October 2024 and has been viewed 44 times.