Management Company vs Self-Employed for non-resident of UK?

[robinmak]

Hi,

I am new to contracting in Europe. I got an offer for a contract job overseas (outside of UK). I am not a resident of UK and I am not living in UK. The recruitment agency, which is based in UK, suggested me to look for a management company.

I would like to seek some advice on the best way to deal with this situation.

1. Is it necessary in this case to use a management company if the management company only provides timesheet and invoicing services? The management company does not need to provide tax solution as I am declaring taxes myself in my home country. Also, the management company that I've spoken to charges % of my salary for the management services.

2. If I am using Self-Employed solution in this case, how can I be covered for a) Professional Indemnity Insurance and b) Employers and Public Liability Insurance. These insurances are required and stated in the contract.

3. What are the pros and cons, and things to watch out for if I choose a) Management Company and b) Self-Employed solution?

Thanks.

[tim123]

Hi,

The management company does not need to provide tax solution as I am declaring taxes myself in my home country.

You cannot just decide to do this.

If the rules of the country that you are working in are such that you should pay tax there first, then that is what you have to do. That is why you (might) need the management company.

tim