Stuck with a "Consultancy Agreement"?

[Base_Saint]

Hello everyone, I'm just taking my first steps into contracting, I apologise if my post stinks of ignorance!

I have been sent contract by the "Contracts Administrator" of the agency that put me forward for the role. From trying to digest the contract, I've realised that the agency that put my CV forward want to handle my payroll.

I had planned to work directly with the client through my own ltd company, I want to cut out the agency at this stage if possible, can I basically tell them to shove off? I assume that I have no obligation to work through the agency, can I just go to the client's HR dept. now and finalise things?

I don’t see any benefit to working through the agency, could there be any good reason to stick with them? I would rather get rid of that extra layer between me and my pay.

If anyone is interested, I have linked to a censored version of the contract I have been sent: http://www.mediafire.com/?a3v5nbhtzxt


Thanks in advance!


(Also, I wanted to PM some people on this board regarding finding an accountant but cannot seem to, am I too new a user to PM people?)

<mod note>Will ask the main admin to give you PM permissions</mod note>

[Sausage Surprise]

Agency gets you the role, you work through the agency. That's how it works.

You can still work as Ltd company though.

I use Nixon Williams for accountancy.

[TheBigYinJames]

Agency gets you the role, you work through the agency. That's how it works.

Not quite, I work through many agencies and none of them do my PAYE for me. I use my own brolly for that (or a Ltd if I still had one) - there is no neccessity for you to work through their PAYE except if they are insisting (which some do, HAYS do AFAIK, never worked through them)

You cannot go to the end client HR dept directly, since their contract is with the agency not you. They will have no idea what terms you are workign under witht he agency, PAYE or Ltd. You can only deal with the agency. It may be a bit late int he day to ask not to go through their PAYE, but they may be OK. Ask them.

Eitehr way, their PAYE or your Ltd, you'll still have an extra 'layer' between you and the money - your own Ltd is uinder your control, however.

Welcome to contracting. Next time, make sure you and the agency have agreed general terms before comitting to accpting a contract!

[Lucy]

Darren Upton is very good

[slackbloke]

Hello everyone, I'm just taking my first steps into contracting, I apologise if my post stinks of ignorance!

I have been sent contract by the "Contracts Administrator" of the agency that put me forward for the role. From trying to digest the contract, I've realised that the agency that put my CV forward want to handle my payroll.

I had planned to work directly with the client through my own ltd company, I want to cut out the agency at this stage if possible, can I basically tell them to shove off? I assume that I have no obligation to work through the agency, can I just go to the client's HR dept. now and finalise things?

I don’t see any benefit to working through the agency, could there be any good reason to stick with them? I would rather get rid of that extra layer between me and my pay.

If anyone is interested, I have linked to a censored version of the contract I have been sent: http://www.mediafire.com/?a3v5nbhtzxt


Thanks in advance!


(Also, I wanted to PM some people on this board regarding finding an accountant but cannot seem to, am I too new a user to PM people?)

<mod note>Will ask the main admin to give you PM permissions</mod note>

Fantastic notion...........but like the Nationwide advert says 'It doesn't work like that'. Also, it is not just because you found the gig through the agent; most companies (especially the bigger ones) simply won't deal directly with a contractor's company.

[Alan @ BroomeAffinity]

You use your ltd co to invoice the agency who in turn bill the client for your time plus a hefty margin. Thats basically how the cotnracting market works.

[ratewhore]

Darren Upton is very good

Seconded...

[Base_Saint]

Thanks for your responses, I feared that going through the agency meant they'd automatically tax all earnings and I'd lose all the advantages of setting up a limited company.

So, as long as I set it up correctly, the agency will be sending me my gross pay before taxes, leaving my company+accountant to handle taxation and the like?

Thanks again.

[malvolio]

Thanks for your responses, I feared that going through the agency meant they'd automatically tax all earnings and I'd lose all the advantages of setting up a limited company.

So, as long as I set it up correctly, the agency will be sending me my gross pay before taxes, leaving my company+accountant to handle taxation and the like?

Thanks again.

Hmmm.... <bites tongue helmie>

Haven't read the guides yet, have you? I suggest you do so, quickly.

[Base_Saint]

I was doing quite well until then wasn't I?

I read the PCG guide to freelancers... have I got it properly wrong? Will go away and try and read up some more...