bing-bonger

Guys I have just been offered an excellent contracting opportunity, it only for 3 months, so no point is me setting up a company, and it is my fist time as a contractor.

Does any one know of a good umbrella company that pays up in time and does not cost an arm and a leg????


Also what things should I look for when choosing an umbrella company.


thanks guys/gals

Bing

BAH

Parasol....Been with them for a year or so, faultless for me.

http://www.parasolit.co.uk/?NFP

Nick

Why do you have to by a limited company, why not just be a sole trader? The only real advantage for a limited company is the limited liability aspect.

BAH

Alot of agencies for IT contracts want you to be LTD, so they can invoice and claim the VAT back.

Evil6

All I know is dont use JSA!

TopBanana

Clients don't like sole traders as they can be seen as liable for employer's NI.

bing-bonger

Parasol seem quite good i.e they don't hold mony back for sickness or holidays etc, and also they seem to only change an invoicing fee rather then taking a % of your cash!!!

Does anyone know if they cover all the isnurances required for cobtracting and BAH how have you found them in general????

Stealth

iTrader: (4)

I am in the same boat mate, I have just secured my first three month contract and have signed up to Orange Genie as my umbrella company

Jerome

I would also recommend not using them. They obviously haven't imporved over the last 10 years.

Richard130875

I am a IT and Telco recruitment consultant. There are tonnes you can use but if you dont want the hassle of setting up a Limited Companies a Management company would be your best option. Are you working in the UK or overseas? You could try, Liberty Bishop, Capital Consulting, Project Services Beta, Albany technologies. DO NOT USE PROSPERITY 4!!!

Richard130875

Also forgot to say that most end customers will not let you go Sole Trader due to co-employment law!!!

If anyone needs an agency to work through give me a call :-) !!!!

GaryK

exactly you *cannot* operate as a sole trader to go contracting, it is to do with tax liability.

Richard130875

It is to do with various issues, Co-employment, i.e. could be deemed as permanet as only one employer unlike a gardener or builder etc..... Insurance's are another issue as a sole trader will unlikely have the relevant insurance's to indemnify the end customer.

Nick

A sole trader can still be VAT registered!

Nick

Hmm fair enough, if the person is already paying PAYE & NIC through his company, then there's no issue for the Revenue to investigate because they're not losing any dosh. The minus point is the guy is paying higher tax & audit fees.

Nick

Why is that? A sole trader can buy insurances, just like a Limited Co can buy insurances if they so choose.

Richard130875

If you use a Limited Company you do not have to invoice including VAT. We will except with or without!! With regards to insurances most of my clients was high levels of PI, EL, PL, Non Owned Car etc etc etc.... and therefore for a Sole Trader to get this would be high. Most of the time clients are wary of this and therefore would rather put the contractor through an agency they have checked and have granted PSL status to.

carl

I know lots of folk operating through Giant. Personally, I run my own company, and Giant's scheme looks a bit dodgy to me but YMMV.

Have you got a copy of the PCG's "Guide to Freelancing"? It's actually worth joining the PCG for the insurance and the discussion fora, which will cover evertyhing you need to know about umbrellas.

BAH

not for 3 months

carl

PCG guide to freelancing is here

BAH

I have no problmes at all, if i generate an invoice on friday its paid the following friday, they send you a text message to say you have been payed and the amount, everything is done online. If you need to contact them there always willing to help with anything..

You can also claim back mileage and other stuff and offset againsy tax..

Richard130875

PCG is a good read. Just dont take any notice of anything said on computer contract.net.