Provider Companies and Affiliated Contractors

One of the most important and exciting ways to use oDesk is to build a professional services firm.

Working as an Affiliated Contractor works very much the same way as working as an Independent Contractor. The main difference is that an Affiliated Contractor is "affiliated" with a Provider Company.

What is a Provider Company?

A Provider Company is a Company with a roster of Providers working on its behalf. Many Provider Companies are IT services firms around the world who work for oDesk Buyers, but others are less formal networks of Providers who work together.

The Company managers can staff their "Affiliated Contractors" (or AC's) on jobs posted by oDesk Buyers. The Company accrues feedback for the work performed by its ACs, and all money earned goes to the Company.

What does it mean to be an Affiliated Contractor?

There are three main differences between being an Independent Contractor and an Affiliated Contractor:

1. As an Affiliated Contractor, your Provider Company appears in your Provider Profile and next to your name throughout the system. That way, the history and reputation of your Provider Company reflects on you as well.
2. Whatever hours you work and feedback you earn apply to your Provider Company as well. This allows Buyers to evaluate whether hiring someone from your Provider Company is a good bet.
3. All of your earnings as an Affiliated Contractor go into your Provider Company's account. Your Provider Company is responsible for paying you directly. The ability for a Provider Company to automatically pay an Affiliated Contractor inside the oDesk financial system is currently in development.

What is a "non-exclusive" Affiliated Contractor?

Most ACs on oDesk are "exclusive". This means that they can work only behalf of their (one) Provider Company. However, there is another option - you can invite an oDesk provider to join your team as a "non-exclusive" AC. A non-exclusive AC can work on your behalf, but can also work independently or on behalf of other Provider Companies. Use this option for ad-hoc subcontracting relationships, or for providers who have active assignments as an independent contractor.

You use the Invite User form under Team Admin. There are two ways to add a new AC:

1. If your ACs are not already on oDesk (for instance, they are your employees and they work in your office with you, or you have friends or colleagues you'd like to bring into oDesk), you can invite them by email address. Make sure you select "Affiliated Contractor" in the Invite User form. They will receive an invitation, which will prompt them to register for a (free) oDesk account. Once they do, the invitation will be activated and they will become ACs in your Company
2. If there is an existing oDesk provider you'd like to invite to join your Company, you can invite by oDesk User ID. Bear in mind that any work done on behalf of your company will result in all earnings going to you - you will be responsible for paying your ACs "outside the system"

I tried to invite someone (or myself) as an exclusive AC, but I got an error.

An exclusive AC is just that: exclusive. If you have an active assignment as an independent contractor (IC) or on behalf of another Provider Company, you can not become exclusive. This is no problem - just invite the provider as a non-exclusive affiliate, and ask them to set their default team to your team.

But I want to pay my ACs inside oDesk!

We are working on it!

If you have more questions about getting started or managing your Provider Company, please submit a help ticket and our support team will be happy to help you.