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What are client-initiated direct contracts?
Direct contracts are our flexible solution for clients who want to work with freelancers they’ve sourced off-platform. Whether they came from a referral, agency, or another site—this feature lets you manage those trusted relationships and pay them through Upwork.
Who can use client-initiated direct contracts?
All clients who have not already used Any Hire. If you’ve used Any Hire, you’ll continue to see that option instead of direct contracts.
You can only invite freelancers who have never had an Upwork account. If they have, you’ll see an error message when you try to invite them.
How much does a client-initiated direct contract cost?
You’ll pay $49.00 USD per month, per active contract. You’ll be charged $49.00 USD on the first day of each month for every client-initiated direct contract that was active at any time during the previous month’s billing cycle. The billing cycle runs from the first to the last day of each calendar month.
You’ll also pay a Marketplace fee or Business Plus fee for each payment to freelancers. For direct contracts, this fee is 3%, or 0% for clients who are eligible for direct to U.S. bank (ACH) transfers.
What’s included in a client-initiated direct contract?
- The ability to set up fixed-price or hourly contracts
- Our full workroom experience (messages, milestones, files, etc.)
- Unified checkout and transaction tracking
What’s not included in a client-initiated direct contract?
Direct contracts are built for relationships you already trust. That means:
- No Upwork Payment Protection
- No dispute mediation from Upwork
If you need those services, consider hiring through our traditional Marketplace.
How do I send a direct contract to a freelancer?
- Head to your direct contracts dashboard
- Select Send invites
- Fill out the job details—such as title, contract type, hourly rate or fixed price, and a description of the work. If you’re inviting a freelancer for the first time, you’ll also need to add their name and email
- Proceed to checkout to confirm
- Done! Your freelancer gets an email to let them know there’s an invitation for them to review
Note: If you're on the Business Plus plan, you can choose to invite freelancers with or without an offer, so that freelancers can join your team for future opportunities.
What happens after I send a freelancer a direct contract?
They can review and accept your offer. You’ll see their status in your direct contracts dashboard.
Can I withdraw or edit a direct contract offer?
Yes, just withdraw the current offer and start over. Your previous details will be saved.
When is a direct contract considered “active”?
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Hourly contracts: Considered active if you’ve been invoiced for any logged hours by your freelancer or a one-time payment (like a bonus) has been made.
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Fixed-price contracts with a single milestone: Active if the contract has started and the payment hasn't been made yet.
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Fixed-price contracts with multiple milestones: Active if the contract has started and at least one activated milestone hasn’t been paid.
Can I send a direct contract to an agency?
No.
Can I invite multiple freelancers to a direct contract at once?
That depends on your plan:
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Basic: You can only invite one freelancer at a time
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Business Plus: You can invite up to 50 at a time if you are inviting them without an offer