Consultancy Engagement Letter

Free Consultancy Engagement Letter Template

Use this free template as a starting point for a consultancy engagement letter. Copy and customise it to suit your client, scope of work, and commercial terms.

CONSULTANCY ENGAGEMENT LETTER

Date: [Date]

From: [Consultancy company name] [Registered address] Company number: [Number]

To: [Client company name] Attn: [Recipient name] [Client address]

Dear [Recipient name],

RE: Engagement of [Consultancy company name] for [Project / Service description]

Thank you for selecting [Consultancy company name] to support you with [brief description of the engagement]. This letter sets out the terms on which we will provide our services to [Client company name] ("Client") in connection with this engagement.

1. Scope of Services

We will provide the following services (the "Services"):

• [Specific deliverable or workstream 1]
• [Specific deliverable or workstream 2]
• [Specific deliverable or workstream 3]
• [Status reporting cadence, e.g. weekly progress updates]

Out of scope (unless agreed in writing as a change order):

• [Excluded item 1]
• [Excluded item 2]

2. Timeline

• Start date: [Date]
• Estimated completion: [Date or milestone]
• Key milestones:
  • date]
  • date]
  • date]

3. Our Team

The engagement will be led by [Lead consultant name and title]. The wider team will include [other named consultants and roles]. We may substitute team members of equivalent seniority and expertise as needed; material substitutions will be communicated in advance.

4. Fees and Payment Terms

[Option A: Fixed fee]

• Total fixed fee: [Currency and amount] (plus VAT/GST where applicable)
• Payment schedule: [e.g. 30% on signature, 30% at midpoint, 40% on completion]

[Option B: Time and materials]

• Daily rates: [Lead consultant £/$X, Senior £/$X, Consultant £/$X]
• Estimated total: [Currency and amount range]
• Invoicing: monthly, in arrears

[Option C: Retainer]

• Monthly retainer: [Currency and amount] for up to [X] days per month
• Excess days charged at [rate]
• Invoicing: monthly, in advance

Expenses (travel, accommodation, materials) will be invoiced at cost with reasonable prior approval. Payment terms: [Net 30] days from invoice date. Late payment may incur interest at [statutory rate / contractual rate].

5. Client Responsibilities

To enable us to perform the Services effectively, the Client will:

• Provide timely access to relevant information, data, and personnel
• Nominate a principal contact authorised to make decisions on the Client's behalf
• Review deliverables and provide feedback within [5 working days] of receipt
• Make payments in accordance with the agreed terms

6. Intellectual Property

• The Client shall own the deliverables prepared specifically for the Client under this engagement, upon full payment of all fees.
• The Consultancy retains ownership of its pre-existing methodologies, frameworks, tools, and templates ("Background IP"), and grants the Client a non-exclusive licence to use Background IP solely as embedded in the deliverables.
• The Consultancy may use anonymised learnings from the engagement to improve its services.

7. Confidentiality

Each Party shall keep confidential all non-public information of the other Party received in connection with this engagement, and shall use it only for the purpose of performing or receiving the Services. This obligation continues for [3] years after the engagement ends.

8. Limitation of Liability

Our total liability arising from this engagement is limited to the fees paid under this Letter, except for liability that cannot be limited by law (e.g. fraud or personal injury caused by negligence). Neither Party is liable for indirect or consequential loss.

9. Termination

Either Party may terminate this engagement by giving [30] days' written notice. The Client shall pay for Services performed and expenses incurred up to the termination date. Either Party may terminate immediately for material breach not remedied within [14] days of written notice.

10. Governing Law

This Engagement Letter is governed by the laws of [Jurisdiction] and the Parties submit to the exclusive jurisdiction of the courts of [Jurisdiction].

Acceptance

Please confirm your acceptance of these terms by signing and returning a copy of this letter (electronic signature is acceptable).

Yours sincerely,

[Lead consultant name] [Title] For and on behalf of [Consultancy company name]

[Signature] Date: _

Acknowledged and accepted on behalf of [Client company name]:

Name: _ Position: _

Signature: _ Date: _

This is a basic template provided for informational purposes. For a professionally generated and legally tailored document, use Bind's contract automation platform.