A service provider is a third-party individual or organization you pay to perform specific work for your project.
What qualifies as a service provider
A service provider:
Is external to your organization
Provides specialized services for your project
Charges fees for work performed
Examples include:
Testing services
Installation support
Technical or scientific expertise
Consulting services
Rules you must follow
You must follow all of these rules:
Independence
The service provider must be independent of you
There must be no conflict of interest
No dual roles
You cannot be both:
A funding recipient
A subcontractor on the same project
No partnerships
A service provider cannot be a project partner
Cost eligibility
Costs must:
Be directly related to project activities
Be clearly measurable and documented
Be incurred and paid during the project
Key requirement
You must be able to clearly show that the service provider’s work supports your approved project activities.