Certified Fund Raising Executive (CFRE) Practice Test

What essential element should be included in a contract between an organization and a consultant?

1. The financial agreement and payment terms

2. The scope of work describing services to be provided

3. Confidentiality and non-disclosure clauses

4. The consultant's past experiences and references

The correct answer is: The scope of work describing services to be provided

The essential element that should be included in a contract between an organization and a consultant is the scope of work describing the services to be provided. This element is critical as it clearly defines the expectations for both the organization and the consultant. It outlines what specific tasks and deliverables are expected, the timeline for completion, and any relevant milestones. By specifying the scope of work, both parties can ensure they have a mutual understanding of what is to be accomplished, which helps in avoiding misunderstandings and potential conflicts down the line. While financial agreements and payment terms, confidentiality clauses, and the consultant's past experiences are also important aspects of a contract, they do not provide the foundational framework for the work to be completed. The scope of work is the linchpin that connects all other components together, making it a fundamental part of any consulting agreement.