1. Contractor vs. EOR: The Onboarding Decision
Before adding a contractor, understand the compliance differences between a Contractor and an Employer of Record (EOR) to mitigate legal risk.
| Feature | Contractor | Employer of Record (EOR) |
|---|---|---|
| Definition | Self-employed independent workers for specific projects. Responsible for their own taxes, benefits, and insurance. | A third-party organization that legally employs full-time workers on your behalf in countries where you lack a legal entity. |
| Legal Status | Independent and self-employed. | Full-time employees of the EOR. |
| Benefits | Do not receive statutory benefits. | Receive statutory benefits (health insurance, pension, PTO). |
| Compliance Risk | High misclassification risk if hired for long-term, directed work, potentially leading to legal fines and back taxes. | Mitigated risk by providing compliant full-time employment and handling local labor laws, payroll, and taxes. |
| Control | Less control over how they perform their work. | Companies have direct supervision over the employee. |
Compliance Note: Remofirst maintains contractor compliance through a structured onboarding process, automated identity verification, and ongoing monitoring to mitigate risks like fraud, money laundering, and tax misclassification.
2. Step-by-Step Guide: Adding a New Contractor
Step 0. Login to the Platform
- Go to https://www.remofirst.com/ and press Login.
- Enter your account email and password, then press Log In.
Step 1. Navigate to Team
Go to the Team page on the side navigation menu.
Step 2. Initiate Contractor Addition
Press the Add contractor button.
Step 3. Enter Personal Details
Provide the contractor’s personal details, which include name, email, country of hire, and region. You will also be asked if you would like to use the RemoCheck service for a background check.
Step 4. Enter Job Details
Provide the job title and description of work (required fields).
- Specify the Line manager, who will receive all contractor-related notifications (optional, can be added later). If the manager is not listed, you must add them first.
- Department is an optional field.
Step 5. Provide Compensation Details
Specify the contract term (provide an End date if it is a Fixed term contract). Select the rate type: Monthly, Daily, Hourly, or Milestone.
- For Monthly/Daily Rates: Specify the contract currency (USD or local currency), the contractor rate (amount paid a month or day), and select the payment frequency.
- For Hourly Rates: Specify the contract currency, the hourly rate, the estimated number of hours, and select the payment frequency.
Step 6. Finalize and Invite
Select Add contractor. An invitation will be sent to the contractor to begin their onboarding, and you can monitor their progress in the Team area. Click on Continue and add contract to complete the process.
3. Step-by-Step Guide: Adding a Contract
You have two options for adding a contract: Create contract (using Remofirst’s tool) or Upload pre-signed contract.
Option 1: Create Contract (Remofirst Contract Tool)
- Review and Confirm Client Company Information: Ensure your registered company name is accurate and compliant.
- Confirm Signatory: Designate the authorized signatory. If another person is signing, select "No" and choose or invite the new manager/signatory.
- Review Agreement and Send: Review the entire agreement and click Confirm and Preview to proceed.
- E-Sign: Review the agreement, click Get started, input your signature and full name, and click I agree.
- Contractor Signing: The legally binding contract is shared with the contractor for e-signing. You will be notified upon their signature.
Option 2: Upload Pre-signed Contract
- Select the pre-signed contract file from your storage.
- Click on the Complete setup.
Note: Remofirst holds no legal responsibility for contracts uploaded via this option. You can add a contract agreement to an existing contractor at any time.
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