Contract Policy

The contract policy defines how contracts are approved and signed. Non-trivial changes to this policy require a project-wide decision.

This policy is to reflect the higher risk that contracts represent, and aims to provide a proportional approach depending on risk.

Budgeted Contracts

• Contracts defined as part of the yearly budget requires two board member signatures to be legally binding

  • Any contract greater than 6000€ must be approved by the Board.

  • Any contract of these categories must be approved by the Board:

    • real estate transactions;

    • borrowing, loans or guarantees;

    • opening or closing bank accounts and changing bank signatories;

    • strategic partnerships or commitments outside the ordinary activities of the Association;

    • litigation or settlement of significant claims;

    • transactions involving a conflict of interest or a related party;

    • contracts creating significant long-term obligations;

    • hiring or termination of the day-to-day manager

    • matters expressly reserved to the Board by law or the statutes;

    • and any matter which the Board has expressly reserved to itself.

• Contracts not part of the yearly budget must be approved by the Board before signature.

Payment Process in Open Collective

Contracts are to be paid out using through the association’s Open Collective using the Invoice deposit feature. Contracted Persons either send the invoice themselves or, in the case of a third-party (e.g: a company you work for), then the invoice has to be added manually by the finance team for them to create a vendor.

• The finance team reviews each invoice according to the contract policy and the signed contract.

• All 3 finance team members must agree with the invoice, either via discussion in chat, mail, real life or by writing “LGTM” (Looks Good To Me) as comment in the expense on Open Collective.

• The last finance team member to approve clicks the Approve button (instead of leaving a comment that says that they approve).

For Contracts involving employees, they will be paid through payroll following the employment conditions policy.

Invoicing requirements

To get paid for some work in Nura, first make sure the finance team knows about the work you are doing, to avoid issues with the work not being approved afterward. Once you know the work can be paid for, and have executed the project, send an invoice with the following requirements:

• The invoice should have a valid format. An example invoice template is available for access by the team, ask the Board for more information.

• The invoice should be addressed to the name and address of Nura Project.

• If you are invoicing from a country with VAT or similar tax (like HST and friends in Canada), the invoice must be charged with VAT, and the supplier (the person or entity getting paid for the work) must be registered and pay it to the corresponding tax authorities. This is a requirement, unless a valid exemption exists. Current exemptions we have used so far:

  • If living in Canada, and have invoiced less than 30 000 CAD in the last tax year, the person can adhere to the “small supplier” exemption: VAT (HST/GST/QST) exemption according to section 240 (1) (a) of the Excise Tax Act. The supplier confirms to be a small supplier exempt from registration for VAT collection.

  • If billing for an EU company with small income in EU countries other than where it is registered, registration for VAT collection might not be necessary, but you must ask for an exemption number to your relevant tax authority. In such case: This invoice is issued under the EU VAT scheme for small enterprises as defined in Directive 2006/112/EC Article 284(1), as amended by Directive (EU) 2020/285. The supply is exempt from VAT. The supplier is registered under the scheme and does not exceed the applicable turnover thresholds. Exemption ID: .