Abstract: The psychological contract is a very well know topic amongst academics and practitioners. The majority of the literature sheds light to most of the areas of the psychological contract but lies heavily on larger organizations and mainly assessing the employee side. In this paper we investigate the existence of the psychological contract contrary to popular research in the field of small business while choosing small firms as our organizational setting. Through extensive interviews we attempt to draw conclusions about the existence, form and management of the psychological contract in this context.