The Consultant Profit Sharing Agreement is essential when businesses wish to align consultant compensation with company performance through profit-sharing mechanisms. This document, governed by Singapore law, provides a comprehensive framework for defining consulting services, profit calculation methodologies, payment structures, and associated terms. It's particularly valuable for long-term consulting engagements where traditional fee structures may not adequately serve both parties' interests. The agreement ensures compliance with Singapore's regulatory requirements while protecting both parties' rights and obligations.
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1. Parties: Identification and details of the consulting firm/individual and the client
2. Background: Context of the agreement and relationship between parties
3. Definitions: Key terms used throughout the agreement including profit calculation methodology
4. Scope of Services: Detailed description of consulting services to be provided
5. Profit Sharing Structure: Formula and mechanisms for calculating and distributing profits
6. Payment Terms: Timing, method, and conditions for profit share payments
7. Term and Termination: Duration of agreement and termination provisions
8. Confidentiality: Protection of confidential information shared during the consultation
9. Representations and Warranties: Statements of fact and assurances by both parties
10. General Provisions: Standard contractual provisions including governing law, notices, and entire agreement
1. Non-Competition: Restrictions on competitive activities during and after the agreement term
2. Intellectual Property Rights: Ownership and usage rights of IP created during consultation
3. International Provisions: Cross-border considerations and requirements for international consulting
4. Force Majeure: Provisions for unforeseen circumstances preventing performance
5. Data Protection: Compliance with Singapore Personal Data Protection Act and data handling procedures
1. Schedule 1: Profit Calculation Methodology: Detailed formula and examples of profit calculations
2. Schedule 2: Service Specification: Detailed scope of consulting services and deliverables
3. Schedule 3: Key Performance Indicators: Metrics for measuring consultant performance
4. Schedule 4: Reporting Requirements: Ƶ and timing for financial and performance reporting
5. Schedule 5: Fee Structure: Base fees, profit sharing percentages, and payment schedules
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