Like other independent contractors, consultants are not full-time employees. Working with and paying them requires a different kind of legal documentation. This document is called a consulting agreement.
The consultant is the intermediary between the client and the contractor. The consultant therefore needs to be even-handed and impartial in dealing with issues affecting the client and contractor. A related issue is clarity in the roles of Engineer, Engineer's Representative and Team Leader to the contract.
Moreover, a consultancy and construction firm may work together on a project. For instance, a consultancy firm may be hired to provide supervision and project management services, while the construction firm is responsible for the physical construction of the project.
Key takeaways: The primary difference between a consultant and a contractor is that a consultant advises on an organization's needs and potential solutions, while a contractor executes tasks based on those requirements.
Clients: Freelancers often work with several clients simultaneously, while contractors tend to work with one client for a long-term period or with multiple consecutive clients over a year. A contract might demand full-time hours for several months, making it harder to work with multiple clients at once.