The questions people really ask us
Sorted by what concerns you. If your question is not here, write to us: we add the answers as we go.
If you are a freelance
When exactly will I be paid ?
There is no guaranteed date, and that is the heart of the agreement. Every month the company collects, it pays out between 5 and 12.5 % of its turnover to all its freelances. Your share depends on your balance compared with the others. A month without revenue is a month without payout.
And if I am never paid ?
Your balance is not written off and the company cannot close its programme without having settled its debts. That said, the risk is not nil: if the company collects nothing for a long time, your balance waits. That is why we advise devoting only two to three days a week to a Pacto programme.
Why an entry fee if I already take the risk of spread payment ?
Because Pacto takes no commission on your revenue, unlike standard platforms which withhold 5 to 15 % of every invoice. The entry fee of 345 EUR is one time and for life. It is refundable if no mission suited you, due at 24 months subject to active use. A company that invites you may bring it down to 1 EUR with a voucher.
Do I need a company ?
Yes. The programme works company to company, that is a condition of access. It is also what guarantees your independence: no subordination, no possible requalification as an employment contract.
May I decline a mission ?
Yes, without justifying yourself and as often as you like. Nobody assigns you a mission: you take the cards that suit you.
What do I invoice, and when ?
The company first pays you the amount due to you, then you file an invoice for that exact amount from your company. Without that invoice, the next payout is deferred until the situation is regularised.
If you run a company
Which percentage should I choose ?
Between 5 and 12.5 % of your turnover. The recommendation is 12.5 %: the higher the rate, the faster your freelances are settled, and the more attractive your programme stays for the profiles you are aiming at. The rate is set in your contract.
What happens if I have no revenue in a month ?
You pay out nothing that month. Balances carry over in full. That is precisely the point of the model: your cost follows what you actually collect.
May I stop my programme ?
Yes, whenever you wish, provided you have settled your debts towards your freelances. This rule must be built into your cash plan from the start: it is what makes the system acceptable to those who extend you the credit of their time.
What does it cost me, on top of the freelances ?
A one time activation fee depending on your tier, from 1,000 EUR, then a monthly royalty per seat: the floor of your tier, or 3 % of the payments actually made if that amount is higher. Never both. The detail is on the pricing page.
Is Pacto a party to the contract with my freelances ?
No. Each programme is governed by the contract signed directly between you and each freelance, on the basis of the model contract made available. Pacto provides the system, the model contract and the network.
May I invite my current freelances ?
Yes, and that is the most frequent case. You may offer them a voucher bringing their entry fee down to 1 EUR.
Money and the legal framework
Does Pacto receive the payments ?
Never. Payouts go directly from the company's account to the freelance's. Pacto does not hold the funds, does not collect on behalf of third parties and provides no payment service.
Is a balance an investment ?
No. It is a claim arising from work performed, settled progressively. It produces no yield and is not an investment instrument.
Can a balance be converted into shares or rights in the company ?
Some companies may offer this to their freelances, on their own agenda and terms. It is neither an offer from Pacto nor a component of the model, and Pacto takes nothing on those conversions. Such an operation must be validated by counsel before being carried out.
Which law applies ?
The model contract is drafted under Belgian law, with mediation then the courts of Brussels. Each company has it adapted and reviewed by its counsel before offering it to its freelances.
Could this be requalified as an employment contract ?
The arrangement is built to avoid it: company to company relationship, no exclusivity, no authority, missions taken freely, no detailed specification. That is also why autonomy is a rule and not a preference.
Your question is not here ?
Write to us. We answer, and we add the answer here if it can help others.