Two contracts at once

**SandyDown** · 3 June 2008, 19:27

yeh, whatever!!

**expat** · 3 June 2008, 21:29

Originally posted by basshead View Post

I'm trying to decide the best way (i.e. most profitable) of handling the following situation:

I'm currently in contract with client A direct, IR35 friendly contract, ok work but getting pretty bored since I've been there 2yrs+ and I feel I need to do something different They pay a decent daily rate X. They will no doubt want to renew next month as I've got a lot of knowledge they can't afford to lose.

I have an opportunity for some ad-hoc/not quite full time work which could be up to 3 days per week with client B, which will broaden my skills, that can be done mostly off the client site and get me a second client in an area where there is not a great deal of contract work (North East). Rate is hourly via an agency, equating to 90% of X. I should find out more detail when I meet client B next week.

My question is how I should present the situation to client A which would get me a rate increase, and whether I should approach them before I meet client B or just wait and see what happens when I meet client B?

I'm seeing this as a way of growing the business from a bum on seat contractor affair to being a small consultancy.

Opinions appreciated

Do you want the deal with client B, or not?

If yes, then surely the question is How do you persuade client A to let you do them part-time? (That may be what you had in mind but it's not at all what you asked).

If no, then why do you think that is a reason for client A to pay you more money?

**basshead** · 3 June 2008, 21:40

Originally posted by expat View Post

Do you want the deal with client B, or not?

Yes.

I don't want to lose income but I don't want to stay at client A forever. To develop more clients spreads the risk against one of the clients going under and helps secure more work in the future. Working with client B also offers skills development.

If yes, then surely the question is How do you persuade client A to let you do them part-time? (That may be what you had in mind but it's not at all what you asked).

Correct. I think if I can put it the right way they will accept, and might go for a small rate increase. They don't have a great deal on at the moment and it could work for both of us.

**expat** · 3 June 2008, 21:49

Originally posted by basshead View Post

Yes.

I don't want to lose income but I don't want to stay at client A forever. To develop more clients spreads the risk against one of the clients going under and helps secure more work in the future. Working with client B also offers skills development.

Correct. I think if I can put it the right way they will accept, and might go for a small rate increase. They don't have a great deal on at the moment and it could work for both of us.

Analyse your work with client A, in terms of their requirements including consulting on your established knowledge. Come up with 2 parts:
1. 2 days a week, highly skilled, only you can do it. Gets them what they really need.
2. 3 days a week, slightly less skilled, anyone can do it (so they can pay someone else a little lower rate for that, and up your rate for part 1).

Remember that if you justify them not keeping you on 5 days a week, they probably won't, even if you change your mind.

**rootsnall** · 4 June 2008, 08:46

I just tried something similar and it quickly descended into a nightmare as both clients wanted more time from me than initially agreed. I had agreed 2 days at A and 3 days at B and just about kept to my side of the bargain over the initially agreed timespan. I have ended up at B all 5 days as its closer to home. Both jobs would need to be very well defined and the clients not the type to panic ie. impossible !

**ChimpMaster** · 4 June 2008, 08:53

Don't tell client A about client B.

Offer to client A to work 3 days from home, and tell them you will come in when there is an emergency or dire need to do so. Advise them that this is the only way you wish to accept a renewal - for now - and that in the near future you will return to working a more "normal" week.

Take offer from client B and work 3 days from home. Tell them you can visit on-site only if agreed with prior notice.

As client A is quiet at the moment, you will be able to manage this easily. If work ramps up, you may have to make up some time in the evenings or weekends. However, if you're good enough then you will have no issues in fitting it all in within normal working hours.

Client A still gets your services 5 days a week. Client B gets your services 3 days a week. Consultant gets to invoice 8 days for 5 days elapsed.

Everyone's happy.

**basshead** · 4 June 2008, 09:34

Originally posted by rootsnall View Post

I just tried something similar and it quickly descended into a nightmare as both clients wanted more time from me than initially agreed. I had agreed 2 days at A and 3 days at B and just about kept to my side of the bargain over the initially agreed timespan. I have ended up at B all 5 days as its closer to home. Both jobs would need to be very well defined and the clients not the type to panic ie. impossible !

I've been at Client A long enough to know things are generally panic and pressure free 90% of the time. Client B AFAIK will have varying amounts of work from week to week so I will need to be careful to set expectations at client B of the maximum commitment they would get to avoid a similar experience.

Originally posted by TazMaN View Post

Client A still gets your services 5 days a week. Client B gets your services 3 days a week. Consultant gets to invoice 8 days for 5 days elapsed.

Everyone's happy.

This might work. I've been on the same rate for 18months+ after 3 or 4 renewals and there might not be any rate rise to be had, in which case they could offer more flexibility.

Two contracts at once