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Agency Payment terms

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    Agency Payment terms

    I have secured my first contact and have been advised by the agency the following with regards to the payment terms:
    - Getting a client to sign my timesheets weekly
    - Client provides the agency with monthly authorized report
    - Me invoicing agency at the end of each month
    - Agency pays my company within 28 days upon receipt of the authorized report from a client

    Experienced contractors, please advise whether these common standards? Is it possible to bend these rules and request to invoice the agency on weekly basis instead?

    #2
    Originally posted by 7656 View Post
    I have secured my first contact and have been advised by the agency the following with regards to the payment terms:
    - Getting a client to sign my timesheets weekly
    - Client provides the agency with monthly authorized report
    - Me invoicing agency at the end of each month
    - Agency pays my company within 28 days upon receipt of the authorized report from a client

    Experienced contractors, please advise whether these common standards? Is it possible to bend these rules and request to invoice the agency on weekly basis instead?


    Seems fairly normal. How long is the contract for and what is the role?


    Unless you're doing a very basic job, it's not usual to be paid (or invoice) weekly.
    I'm perfect, in a very specific and limited way.
    Hands... out infractions
    Face... the music
    Space... between the ears

    Comment


      #3
      Originally posted by 7656 View Post
      I have secured my first contact and have been advised by the agency the following with regards to the payment terms:
      - Getting a client to sign my timesheets weekly
      - Client provides the agency with monthly authorized report
      - Me invoicing agency at the end of each month
      - Agency pays my company within 28 days upon receipt of the authorized report from a client

      Experienced contractors, please advise whether these common standards? Is it possible to bend these rules and request to invoice the agency on weekly basis instead?
      First contract? Agency should be flexible on those 28 days PT in the first few months. You are going to need cashflow. A week post invoice would be reasonable.

      Comment


        #4
        These are the standard "worse case" terms, I usually class anything better than this a win!

        Remember you are effectively offering the agency a line of credit for up to days, this in itself carried an inherent risk so some due diligence on the agency is advised
        Originally posted by Stevie Wonder Boy
        I can't see any way to do it can you please advise?

        I want my account deleted and all of my information removed, I want to invoke my right to be forgotten.

        Comment


          #5
          Originally posted by clearedforlanding View Post
          First contract? Agency should be flexible on those 28 days PT in the first few months. You are going to need cashflow. A week post invoice would be reasonable.
          Not too sure about that. Your cashflow isn't their problem, particularly if their processes are set to 28 days. We have plenty of threads evidencing agents are not often flexible on payment schedules...

          That said they maybe pulling his pants round his ankles when it comes to his cut which reading the original post is highly likely. They may show some flexibility due to the amount of free money they are making from the OP.
          'CUK forum personality of 2011 - Winner - Yes really!!!!

          Comment


            #6
            Originally posted by clearedforlanding View Post
            First contract? Agency should be flexible on those 28 days PT in the first few months. You are going to need cashflow. A week post invoice would be reasonable.
            Agency doesn't care if it's your first contract, in fact if they small fresh blood they will probably use that as an excuse to squeeze you more
            Originally posted by Stevie Wonder Boy
            I can't see any way to do it can you please advise?

            I want my account deleted and all of my information removed, I want to invoke my right to be forgotten.

            Comment


              #7
              Originally posted by northernladuk View Post
              Not too sure about that. Your cashflow isn't their problem, particularly if their processes are set to 28 days. We have plenty of threads evidencing agents are not often flexible on payment schedules...

              That said they maybe pulling his pants round his ankles when it comes to his cut which reading the original post is highly likely. They may show some flexibility due to the amount of free money they are making from the OP.
              Originally posted by SimonMac View Post
              Agency doesn't care if it's your first contract, in fact if they small fresh blood they will probably use that as an excuse to squeeze you more
              Originally posted by Stevie Wonder Boy
              I can't see any way to do it can you please advise?

              I want my account deleted and all of my information removed, I want to invoke my right to be forgotten.

              Comment


                #8
                This is the first contract (6 months term). The role is - IT Consultant (Tier 4).

                I am really not comfortable with these terms as I am left out of income for nearly 60 days. Also I am not sure if I am paid should a client company decide to cancel the contract half-way through...

                Has anyone here had a case when you were able to renegotiate these rules?

                Comment


                  #9
                  Originally posted by 7656 View Post
                  This is the first contract (6 months term). The role is - IT Consultant (Tier 4).

                  I am really not comfortable with these terms as I am left out of income for nearly 60 days. Also I am not sure if I am paid should a client company decide to cancel the contract half-way through...

                  Has anyone here had a case when you were able to renegotiate these rules?


                  It's not "rules" it's the terms of the contract.


                  As a business, it's quite normal for you to be out of pocket for the first month, because you invoice at the end of the month and that gets paid at the end of the following one.


                  In your last job, when you were paid at the end of the month, did you ever complain that you were out of pocket for 30 days?
                  I'm perfect, in a very specific and limited way.
                  Hands... out infractions
                  Face... the music
                  Space... between the ears

                  Comment


                    #10
                    Originally posted by SimonMac View Post
                    Agency doesn't care if it's your first contract, in fact if they small fresh blood they will probably use that as an excuse to squeeze you more
                    If they smell cashflow may impact services to client, they often do.

                    Comment

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