Hi everyone and thanks for your comments on my previous thread below.
Having worked through my own Ltd co. for two years and now (for my own reasons) wanting to work through an umbrella company, am I classed as a Ltd company contractor?
Anyway, I have a nice new contract lined up, I have agreed the start date with client, the umbrella and financials are all in place and oh, what's this? (excerpt from agency email)....
"Ok moving forward as you are the first contractor to opt in at <company name>, we will have to draw up appropriate contracts, basically both legal department will have to work on these, which may delay your start date. Until we get a contract in place we cannot make payments to <umbrella company> or technically have you on site. Please be aware of this. Additionally when you eventually do start your own limited company you will almost certainly fall under the IR35 rules."
In addition to this, I have just taken a call from the agency basically stating that the CLIENT may cancel the contract altogether if I decide to stay opted in. Rock and a hard place? Nice to see I actually have a choice...
However the agency most definately did not make this option available...
"Most IT and engineering contractors contracting via an agency will come within the Regulations including limited company contractors which are specifically included by regulation 32. In the case of limited company contractors, however, the individual worker and his limited company can agree that the regulations are not to apply and providing they then give notice of that agreement to the agency before being introduced to the client or starting work, the regulations will not apply. The ability to opt-out in this way applies only to limited company contractors.
And I most definately feel that they ARE doing the opposite of this...
"It is unlawful for the agency to make assignments conditional upon the limited company contractor opting out in this way. "
Bearing in mind that sofar this is the agency speaking and NOT the client. I feel as though the contract IS conditional upon opting out.
Do I:
A) Accept the agencies view (bearing in mind I want the contract).
B) Phone client directly (very possible) to get horses mouth view.
C) Stick to my guns and risk losing contract altogether.
The benefit of anybodies wisdom would be very well received
Many thanks in advance,
Steve
Having worked through my own Ltd co. for two years and now (for my own reasons) wanting to work through an umbrella company, am I classed as a Ltd company contractor?
Anyway, I have a nice new contract lined up, I have agreed the start date with client, the umbrella and financials are all in place and oh, what's this? (excerpt from agency email)....
"Ok moving forward as you are the first contractor to opt in at <company name>, we will have to draw up appropriate contracts, basically both legal department will have to work on these, which may delay your start date. Until we get a contract in place we cannot make payments to <umbrella company> or technically have you on site. Please be aware of this. Additionally when you eventually do start your own limited company you will almost certainly fall under the IR35 rules."
In addition to this, I have just taken a call from the agency basically stating that the CLIENT may cancel the contract altogether if I decide to stay opted in. Rock and a hard place? Nice to see I actually have a choice...
However the agency most definately did not make this option available...
"Most IT and engineering contractors contracting via an agency will come within the Regulations including limited company contractors which are specifically included by regulation 32. In the case of limited company contractors, however, the individual worker and his limited company can agree that the regulations are not to apply and providing they then give notice of that agreement to the agency before being introduced to the client or starting work, the regulations will not apply. The ability to opt-out in this way applies only to limited company contractors.
And I most definately feel that they ARE doing the opposite of this...
"It is unlawful for the agency to make assignments conditional upon the limited company contractor opting out in this way. "
Bearing in mind that sofar this is the agency speaking and NOT the client. I feel as though the contract IS conditional upon opting out.
Do I:
A) Accept the agencies view (bearing in mind I want the contract).
B) Phone client directly (very possible) to get horses mouth view.
C) Stick to my guns and risk losing contract altogether.
The benefit of anybodies wisdom would be very well received
Many thanks in advance,
Steve
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