Fortune_Hunter - 9:31 pm on Oct 29, 2006 (gmt 0)

I am not sure counting on the ignorance of your contractors and help or only showing them a limited picture is a business strategy worthy of praise. First, eventually you will guess wrong and somebody will figure it all out. Second, I am not sure I really want people that aren't smart enough to figure stuff like this out as my help.

My advice would be to get a rock solid independent contractor agreement drafted by an attorney that says that can't compete for a certain period of time after leaving your employ (usually 2 years) and have clearly defined who owns all work performed (you) and penalties if they violate the agreement. Then be prepared to enforce it in court if necessary.

Next point, since I have yet to find an agreement that is bullet proof and not terribly expensive to fight it out be sure to use some character assessments and build a relationship with your contractors BEFORE you hire them. Make sure you personally feel they are trustworthy and not willing to steal from you. While this is not a stand alone tactic that is why you use the agreement.

If you have someone that is really a decent person they will have no problem signing the agreement because the thought of screwing you probably never crossed their mind in the first place.

I have been using my own advice for a couple of years and never once been screwed by a contractor even though I have let them have access to the client's site and I have had one of them try and poach any of my clients either. The relationship / Legal agreement is perfect carrot / stick approach that seems to work perfectly in my opinion.

Fortune Hunter