IR35-aware drafting

Freelance Contract Generator - IR35 Compliant Agreements

Draft a freelance services agreement that is genuinely outside IR35: substantive substitution rights, no mutuality of obligation, no control language. Or generate the equivalent under US, EU, German or French law in the same flow.

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Why freelancers need a real contract

A freelance contract isn't just for the client. Without one the freelancer faces three avoidable risks: late or unpaid invoices with no statutory interest entitlement, IR35 reclassification that hands HMRC a tax bill, and IP disputes about who owns the deliverables. A good contract takes ninety seconds and removes all three.

IR35 ready: the three ingredients

HMRC and the courts assess IR35 status against three primary tests. Lexara drafts each one explicitly and unambiguously:

1. Substitution

An unfettered right to send a suitably qualified substitute, exercisable without client veto. The clause must be operationally meaningful, not just on paper. Lexara's default substitution language has been tested against the leading IR35 cases (PGMOL, Atholl House, Kickabout).

2. Mutuality of obligation

No obligation on the client to offer work, no obligation on the freelancer to accept. The contract recites this explicitly, and any minimum hours or retainer terms are framed accordingly.

3. Control

The freelancer decides how, where and when work is performed (subject to project requirements and reasonable client co-operation). Equipment, premises and methodology stay with the freelancer.

What's included in every freelance contract

UK vs US vs EU freelance law

The contract changes depending on where the work happens:

Frequently Asked Questions

What is IR35?
IR35 is the UK off-payroll working legislation contained in Chapter 8 (Part 2) of ITEPA 2003 and Chapter 10 for medium and large clients. It treats freelancers who would be employees if not for an intermediary as employees for tax purposes. A contract that fails IR35 leaves the fee-payer liable for income tax and National Insurance.
What makes a contract 'outside IR35'?
An outside-IR35 engagement requires three substantive features: a genuine right of substitution (the freelancer can send a qualified replacement), no mutuality of obligation (the client need not offer work, the freelancer need not accept) and lack of control (the freelancer decides how, when and where to work). Lexara drafts every freelance contract with these features explicit and operational.
Do US freelancers need IR35-style language?
No. The US uses the IRS common-law test (behavioural, financial, type of relationship) and state-specific tests like California's ABC test (Labor Code §2775). Lexara drafts US freelance contracts with the right Form W-9 / 1099-NEC framing and IP assignment language for those rules.
Who owns the IP in a freelance contract?
Default common-law position is that the freelancer owns IP they create unless the contract assigns it. Lexara contracts default to assignment to the client on payment with the freelancer retaining pre-existing 'background' IP. You can override either side from the form.
What insurance should a freelancer have?
Most professional engagements expect Professional Indemnity (£1m+ typical) and Public Liability (£1m+). Construction subcontracting requires Employers' Liability (£5m statutory minimum if the freelancer engages anyone).
This content is for informational purposes only and does not constitute legal advice. We recommend consulting a qualified solicitor for complex legal matters.