Must-have Contractor of Record (COR) RFP template in 2025

Hiring contractors globally is one of the fastest ways to scale — but it’s also one of the riskiest if you don’t have the right guardrails in place. Every country defines “independent contractor” differently. Missteps can lead to steep fines, retroactive benefits, or even back taxes. 

That’s where a Contractor of Record (COR) comes in: they legally engage the contractor on your behalf, handle classification and compliance, and, when done right, assume liability for covered misclassification claims.

The challenge? Not all COR providers are created equal. Some only paper over risk, while others rely on patchwork partners that create inconsistent experiences. The right provider gives you peace of mind on compliance and payments while also letting you manage contractors alongside employees in one system.

This guide breaks down the critical areas you should evaluate in your COR RFP. Plus, we’ll give you a free downloadable template so you can start evaluating vendors ASAP.

1. Worker classification and risk assessment

Classification isn’t a checkbox — it’s the heart of contractor compliance. The rules vary wildly by country. 

For example, global contractors working full-time hours, under close supervision, or using company equipment could easily be deemed employees. A strong COR provider screens every engagement against country-specific rules, flags absolute blockers, and re-assesses if circumstances change.

Rippling does this contractor by contractor. It applies strict thresholds in high-risk countries, prompts annual re-attestations, and surfaces red flags early so you can either adjust the engagement or consider shifting to employment. That way, you don’t find out in an audit that a contractor never should have been one.

Questions to ask vendors

• What signals do you screen for (hours, tenure, equipment, control)? Which are automatic blockers?

• How do you adapt classification thresholds country by country?

• How often do you re-assess engagements? Do you require annual audits?

• What systems are in place to flag when roles drift into employee-like work?

• How do you keep assessments consistent?

2. Misclassification indemnification

Even with careful screening, you need a partner who will stand behind their work if regulators knock on the door. Many COR providers use slippery language or low liability caps, leaving companies exposed to consequences for misclassification. 

Rippling is one of the only COR providers that indemnifies you in real financial terms. If you’ve provided accurate information, Rippling covers contractor costs with no cap, and your costs up to 18 months of fees paid for that engagement. That means you can scale confidently, knowing Rippling shares the risk — not just the paperwork. And when roles evolve, Rippling gives you clear options: mitigate risk, shift to EOR, or hire directly with your own liability.

Questions to ask vendors

• What liability do you assume if a contractor is reclassified?

• What are the caps for contractor costs vs. customer costs?

• Do you cover both legal fees and back payments?

• What conditions void indemnification? (e.g., late notice, inaccurate disclosures)

• How do you handle roles that evolve mid-engagement?

3. Compliance guardrails

Contracts alone don’t prevent misclassification — day-to-day behavior does. Contractors working 40+ hours a week for years, or getting company laptops and emails, start to look like employees. If your COR doesn’t monitor this, you’re exposed.

Rippling builds guardrails directly into the product. It flags tenure limits, hours worked, and risky patterns like company-provided equipment or overlapping roles with employees. Admins get alerts with actionable next steps: adjust scope, reclassify, or transition to employment. Because this is automated, you don’t rely on memory or manual reviews — you get proactive protection.

Questions to ask vendors

• What ongoing compliance checks do you run?

• How do you flag risky patterns like excessive tenure or weekly hours?

• Do you prevent admins from setting up ineligible contracts in the first place?

• How are issues communicated — alerts, dashboards, or workflows?

• Do you support contractor vs. employee comparisons within teams?

• Can we generate compliance reports for auditors on demand?

4. Contractor agreements and IP protection

Your contracts need to stand up in local courts. Weak agreements mean disputes over IP, confidentiality, or taxes can drag on for years.

Rippling supplies lawyer-vetted, country-specific agreements that must be signed before contractors start. Every agreement includes IP assignment, confidentiality, and termination clauses tailored for the local jurisdiction. Rippling updates these templates automatically as laws change, so you never have to worry about outdated terms. And because everything lives in one platform, contracts are stored, searchable, and auditable in seconds.

Questions to ask vendors

• Who authors and maintains your contract templates?

• How often do you update them, and how fast after a law changes?

• Do agreements cover IP assignment and confidentiality in every country?

• What protections exist around early termination?

• Can we customize contracts without losing legal enforceability?

• How are agreements stored and surfaced for audits?

5. Legal support and regulatory updates

When laws change, you can’t afford to find out six months late. Some COR providers leave updates in the fine print or expect you to track them yourself.

Rippling has an in-house COR legal team plus a global network of outside counsel. When a law shifts, Rippling updates workflows and contracts in the product, then proactively notifies you. If a regulator ever inquires, Rippling supplies documentation to demonstrate compliance, while you and your counsel handle strategy. Instead of being left in the dark, you get a partner that keeps you a step ahead.

Questions to ask vendors

• How do you track global contractor law changes?

• How quickly do you update agreements and workflows?

• Do you provide customer notifications and summaries of changes?

• What support do you offer if we receive a government inquiry?

• Can you share examples of recent law updates you’ve implemented?

6. Global coverage

Global reach is only useful if it’s consistent. Some CORs outsource to local partners, which means different processes, quality, and liabilities in every country.

Rippling runs COR through its own entities — not a patchwork of third parties — covering 170+ countries and supporting payments in over 50 currencies. That means every contractor, everywhere, goes through the same experience, with the same protections and reporting. You can expand into new markets without juggling different vendors or workflows.

Questions to ask vendors

• Which countries are live today, and what’s on your roadmap?

• Do you use your own entities or third-party partners?

• Are there countries where COR is unavailable or restricted?

• Which currencies and payout methods do you support?

• How do you manage local banking restrictions or FX fees?

7. Payments, invoicing, and deposits

Late or missed payments can ruin your reputation with contractors. A COR must guarantee timely payouts regardless of your internal funding cycles.

Rippling pays contractors on time, every time. Contractors submit invoices in the platform, you approve them, and payouts go out in 50+ currencies. To guarantee reliability, Rippling requires a refundable deposit sized by contract type (monthly, hourly, or milestone). That way, even if your payment fails, contractors aren’t left waiting. Both contractors and admins can track invoice and payment status in real time, ensuring full transparency.

Questions to ask vendors

• How are invoices created, approved, and tracked?

• How do you guarantee on-time payments if we miss a funding deadline?

• How are deposits calculated, and when are they refunded?

• Which currencies and payment rails do you support?

• How do you handle failed payments or FX volatility?

• Can contractors see their payout status in real time?

8. Onboarding

Contractors can’t start until agreements, tax checks, and banking are complete. If your provider doesn’t make this smooth, start dates slip and productivity suffers.

Rippling makes onboarding seamless. Contractors sign their agreements, complete KYC in Contractor Balance, and set up banking before day one. Everything is standardized, so contractors can start work without delays — and you don’t get stuck chasing missing paperwork.

Questions to ask vendors

• What steps must be completed before a contractor can start?

• How long does onboarding typically take from contract signature to first pay?

• How do you ensure compliance with local KYC and banking rules?

• What escalation paths exist for urgent hires?

• Can contractors self-serve their onboarding to reduce admin overhead?

9. Roles and responsibilities

With COR, you need absolute clarity: what’s yours, and what’s theirs. If the split isn’t clear, you’ll end up with gaps and risk.

Rippling makes the division simple. Rippling owns onboarding, agreements, compliance checks, payments, and offboarding. You own the day-to-day scope, deliverables, and supervision — staying within contractor-appropriate boundaries. If issues come up, Rippling’s Global Advisor team guides you on compliant options, and terminations can be handled directly in the platform with built-in workflows.

Questions to ask vendors

• Which tasks do you handle end to end, and which stay with us?

• How do you support performance issues and compliant terminations?

• What documentation is retained for disputes or audits?

• How do you ensure supervisors don’t accidentally cross contractor boundaries?

• Do you provide best-practice guidance for managing contractors at scale?

10. Unified experience for admins and contractors

Running contractors in a separate system from employees creates blind spots and duplicate work. You want one workforce, one dashboard, one source of truth.

Rippling brings contractors right into the same system as employees. One org chart, one approval workflow, one reporting dashboard. Admins can run headcount, spend, and compliance reports across the entire workforce. Contractors get self-service tools to manage invoices, payouts, and support tickets — all from the same app employees already use for HR, payroll, and IT. No more stitching together spreadsheets or juggling multiple platforms.

Questions to ask vendors

• Do contractors appear in the same org chart and reporting dashboards as employees?

• What self-service tools do contractors get (invoices, payouts, expenses)?

• Can we run unified headcount and spend reports?

• How do approvals work across employees and contractors?

• Which HR and finance modules extend to contractors (time tracking, expenses, docs)?

How Rippling helps enterprises

Rippling COR gives you the confidence to scale contractors globally without the fear of misclassification or the pain of fragmented systems. With Rippling, every engagement is screened against country-specific rules, contractors are paid on time in 50+ currencies, and covered misclassification claims are indemnified. Most importantly, contractors live right alongside employees in the same platform you already use for HR, payroll, and IT.

Instead of piecing together vendors or hoping your contracts hold up, you get one unified system that keeps you compliant, protects your business, and makes global scaling simple.

Rippling RFP for contractor of record (COR) example

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This blog is based on information available to Rippling as of September 24, 2025.