When to sign up with an Umbrella?

[Jonny M]

Ladies and Gents, I'm a newbie who'd appreciate a bit of guidance about when to sign up with an Umbrella company.

I've looked through the First Timer section and I'm happy with the Ltd Company vs Umbrella pros and cons; as I'm new to contracting I'm looking at (initially) the Umbrella route. However, I'm not sure what the perceived wisdom is about whether to wait before securing a contract before signing up with an Umbrella (seems like the obvious choice) or whether being on board with an Umbrella gives an advantage when applying for roles?

The reason I ask is I've had a few conversations with pimps about potential opportunities and whenever the conversation turns to the subject of whether I'm planning on setting up a Ltd company or what Umbrella I'm going to use the tone of the conversation changes and they seem to become disinterested when I say I'm thinking of Umbrella but haven't decided which.

Is this because there will be an added admin delay that disadvantages them / me or because they only want to deal with specific companies?

Any guidance would be greatly appreciated!

[LisaContractorUmbrella]

Hi Jonny - there are no hard and fast rules but most umbrella companies should be able to get an account set up for you within 24 hours or so. The umbrella you choose should also arrange the necessary exchanges of paperwork with your agency.

HTH

[Denno]

No point in signing up with an Umbrella co before you've got the contract. Once you've signed, then you join (this only takes a few minutes)

There's not much admin for the agency in setting you up, but of course if you give the impression you're going to take a long time to decide what to do, this may give out the wrong signals.

Decide which one to go for now, and then once you sign - inform the agency and contact the Umbrella co.

In my experience, umbrella companies are much of a muchness. I'm with Parasol and they've been absolutely fine

[Beefy198]

Sign up whenever you like. If there pimps look uninterested that's because you're not talking about something that affects their margins.

p.s. others will now come along and tell you you should go ltd. If YOU'RE happy with using an umbrella don't listen to them.

[Beefy198]

Oh, should add.... make sure the agency doesn't have a PSL of umbrella companies that they will only work with. Some, for some unknown reason (well, they think it stops them being liable under debt transfer rules) insist that you can only go through certain companies.

[MPwannadecentincome]

As soon as you get whiff of a contract being offered then sign up, have your id ready to send to them etc., don't wait until you get the contract to sign as you will suffer a delay for a about a day whilst the umbrella sets everything then has to set up the contract for you.

When I started I was sweating trying to get all this sorted out as I waited 'til the last minute and I had to catch a flight to the far east - the contract was not approved until after I got to the customer site!

[Svalbaard]

No point in signing up with an Umbrella co before you've got the contract. Once you've signed, then you join (this only takes a few minutes)

There's not much admin for the agency in setting you up, but of course if you give the impression you're going to take a long time to decide what to do, this may give out the wrong signals.

Decide which one to go for now, and then once you sign - inform the agency and contact the Umbrella co.

In my experience, umbrella companies are much of a muchness. I'm with Parasol and they've been absolutely fine

Denno has lived up to his moniker "not worth listening to". Parasol have a flash web front-end but totally crap service levels.

Go with Contractor Umbrella. Functional web front end - fab service.

Assume the cheques in the post Lisa?

[Torran]

Parasol are fine.

[Svalbaard]

Parasol are fine.

Apart from the service levels.

[pmeswani]

Apart from the service levels.

Never had that problem myself.