This is an alternative to the standard Principal Model for MSP used in markets where the MSP is legally prohibited from acting as a Principal intermediary. Here, the MSP appoints local staffing agencies to source contingent workers. The MSP will have contracts with individual agencies, but once candidates are identified, the MSP contracts directly with the contingent workers and supplies them to the end user acting as the contractual intermediary. Under this Model, the MSP will assume responsibility for paying the contingent workers and will also pay a margin to the staffing agency that sourced the contingent workers. A prerequisite of the Margin only model is that the MSP is properly licensed as a staffing agency. (See also: Principal Model MSP and Agency Model MSP.)