As an experienced white label designer, I’m super familiar with white label contracts. (Since, you know, every client I’ve ever done white label design work for has signed one!)
But, everything I’ve learned about white label design contracts, from what a white label contract is, key terms to understand, essential aspects to include, and what to look out for when signing one, can be applied to all kinds of white label service agreements!
So if you’ve been wondering what the heck to include (and what to look out for) in a white label contract, let’s break it down, friend!
(P.S. I’m a white label designer, NOT a lawyer, so all of this is shared from my personal experience with the contract I use as a service provider with my own white label clients.)
What is a white label contract/service agreement?
A white label contract, or service agreement, is a signed document between two parties where one party is agreeing to do work for the other party under that party’s brand name.
While there are lots of similarities between a normal service contract and a white label service contract, there are a few key differences in what you want to include (or look out for when signing your white labeler’s service agreement).
6 Key Elements to Include in Your White Label Contract
Depending on your white label partner, you might be the one sending the white label contract to the person you want to outsource some of your work to. However, some white label pros send a contract of their own (like me!), so you might not need to send one.
If you’re sending a white label contract of your own, here are 6 key elements worth including:
1. Contract Essentials
This might go without saying, but you always want to include service contract essentials like: Services, Pricing, Term & Termination, Governing Law, etc. Basically, the essential elements of a contract you’d send to a client you’re working with apply to a white label contract as well!
2. Intellectual Property
Intellectual property in a white label contract spells out who owns the work after the work is completed.
While this is something you would include in a normal contract, too, it’s extra important to include in a white label contract because you want to make sure that the work you’re paying someone for will belong to you at the end. That way, you can give the “intellectual property” to YOUR client!
3. Non-Disparagement
Your white label contract should include a “Non-Disparagement” section that specifies how neither party will make any public statements or communications that put down the other party.
This is worth including in your service agreement because a white label subcontractor gets a glimpse inside of your business in a different way than a client would! Since you’ll be assigning them work, deadlines, and potentially sharing inside business info (and more!), they’ll have a different peek into your process, and you don’t want them to talk poorly about you on the interwebs, in general, or about anything they’ve specifically seen.
4. Independent Contractor
Your white label contract definitely, positively, absolutely needs to say that you’re hiring this subcontractor as an independent contractor and NOT as an employee.
That means that your white label subcontractor will be responsible for paying their own taxes, are able to work on their own schedule (although they will be agreeing to a specific deadline/set amount of hours), can hire subcontractors themselves, can work with other companies (meaning, they don’t work for you exclusively), and more.
(Legally, in most cases, you can’t tell an independent contractor who they can and can’t work with, which is why I didn’t include a Non-Compete clause in this blog post! If you want more details, check out this article written by a lawyer.)
5. Confidentiality/Sharing and Citation
The Confidentiality or Sharing and Citation portion of your white label service agreement needs to make it explicitly clear what the white label subcontractor you’re hiring can and can’t do when it comes to sharing the work they do for you.
If you do not want them to talk about the work they’re doing for your client in any way (or if your client has requested you sign an NDA), you will need to send your white label subcontractor an NDA too.
This section looks different for everyone and depends on your preferences! Some of my clients who hire me for white label design work are comfortable with me sharing whatever, while some have it in their white label contracts that I can’t share the work publicly until 6 months after our project has finished. It’s about whatever feels most comfortable to you!
6. Cybersecurity/Data Protection and Privacy
The Cybersecurity and Data Protection and Privacy sections of a white label service agreement state that both parties will do what is needed to protect personal data or sensitive information and obey privacy laws and regulations.
I included these sections because sometimes when working with a white label partner, information like passwords, payment details, or other private information gets shared!
What to Look for When Signing a White Label Contract and Hiring a White Label Service Provider
If the service provider you’re hiring to do white label work for you is sending you a white label contract (like I do with all of my white label design clients!), you’ll want to go through and look for all of the aspects we talked about above!
You’ll want to make sure all of the essential aspects—like services/deliverables, pricing, schedule, etc. are included—and I’d recommend double-checking:
- Intellectual Property: Do they clearly state that you’ll own the rights to the work after they’re finished?
- Confidentiality/Sharing and Citation: What are their expectations around sharing the work they do for you (on social media, in their portfolio, etc.)?
- Independent Contractor: Are you both on the same page about your white label service provider being able to work for others, being responsible for their own taxes, and more?
- Client Responsibilities: What are they expecting from you? (This usually includes information about being responsive, communicating deadlines clearly, and more!)
Do You Have to Sign a Contract EVERY Time You Start a Project with the Same White Label Service Provider?
Yes and no! Every time you start a new project, it’s important to sign a contract with your white label partner so all expectations are written clearly in case anything goes wrong.
But, if you’re working with the same white label partner again and again, re-signing a big contract might feel like a pain. That’s why I have clients sign a Master Services Agreement once and then a Statement of Work for every project we do together.
The Master Services Agreement includes all of the legal aspects listed above, but, the Statement of Work is super simple and only includes:
- Deliverables
- Timeline
- Pricing and payment schedule
- And a note about out-of-scope work
And that works for me and my clients because in my Master Services Agreement, I include this section:
That section basically states the Master Services Agreement applies to every project moving forward, but for project specifics, I’ll send them a Statement of Work.
TDLR: White Label Service Agreements are Really Freaking Important
While you can decide whether you’d prefer if your subcontractor sent you a white label contract or you want to send your own, and can decide what makes the most sense to include in that contract based on your business (or after talking to a lawyer because I’m not one!), you should always be signing one.
If you’re looking for a contract, I’d recommend The Contract Shop! (In full disclosure, I make a small commission if you use that link to purchase a contract, but I recommend The Contract Shop because that’s what I use and love!)
