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What is the difference between a project partner and a service provider?

Written by CFIN Staff

Service Provider

A service provider:

  • Bills you for services

  • Is paid as part of the project budget

  • Cannot be a project partner

Project Partner

A partner:

  • Contributes to the project (e.g., funding, testing, collaboration)

  • May act as a customer, test site, or strategic collaborator

  • Does not bill as a service provider

Key Rule

  • One organization cannot be both a partner and a service provider on the same project.

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