Hiring Contract Resource Through Limited Co

[kaiser78]

Where I am currently on contract, we are looking at bringing in short term resource for a period of 2 months, which I am thinking of doing via my limited company.

Questions I have are;

1) is it worth doing this for 2 months
2)how do I do this in terms of advertising - Jobserve, or I thought via this board,
3) how would payment work,
4) what sort of contract would I need etc. Is there a sample contract anyone can provide me with ?

Appreciate there are advantages for IR35 and would also need to look into FRS but I will cover this off.

Any help greatly appreciated.

[jmo21]

<bite>
1 - yes
2 - no, if you just concentrate really hard on what you want, people will just turn up for interviews
3, 4 - you have your own limited company you contract through, and you have no idea how it might possibly work with regards to paying this bloke and contracts you might have with him?
</bite>

[kaiser78]

<bite>
3, 4 - you have your own limited company you contract through, and you have no idea how it might possibly work with regards to paying this bloke and contracts you might have with him?
</bite>

Sorry - what I mean is would I essentially just have the same contract as I have with my agent now ? Does it in effect get passed down the line ?

[jmo21]

if your contract with the agent is decent terms, then yeah, you could use it and change the names in the correct places.

But it doesn't "in effect get passed down the line". You could put in all sorts of nasty crap the way many agents would do to you.

the contracts are entirely separate business documents remember. They may refer to the same piece of work getting done, but that's about it.

[NotAllThere]

1) Take them on as PAYE employees for two months. Pay them gross about 25% of your daily rate. Or whatever you can get away with.

2) Establish b2b contracts with their limited company (or brolly). Pay them 25% of your daily rate under that.

If you can, get the client to pay you direct for the extra resources. If you can't, then you'll have to invoice your agency for two extra resources. If you wanted to be picky, you could negotiate with the agency a different rate for the two extras, seeing as you found them, but for two months it's hardly worth it.

[Durbs]

I'd say its certainly worth it but PAYE sounds like a lot of work on your behalf so i'd work on a subcontractor basis, see if http://www.businesslink.gov.uk/bdotg...mId=1074451280 has any info you can use.

Also talk to your insurance co and make sure your cover is adequate to employ resources on site.

[jim2406]

for 2 months, unless you are helping out a mate or can make a huge margin, not worth it IMO

there will be implications for VAT, if you're on flat rate you will lose money or need to change

if the subcontractor messes up, its a bad reflection on you

if you can't hire someone in time, it also doesn't reflect well on you, since you'll have committed to undertake the task

you are liable for paying the subcontractor, even if the client doesn't pay you. so if the client goes bust you could be doubly out of pocket.

12 months might be different, or if its '2 months then possibly a lot longer', but if its just for a few weeks i wouldnt bother

etc

[Bright Spark]

1) If you can hire someone who can do the work remotely (ie. India or Eastern Europe) at a fixed price then obviously more profitable.

2) There are a lot of free job posting (oodle.com) sites, also you can advertise fixed
price work on elance.com

3) Probably best to pay subcontractor once you get paid by client
and put in terms that the work has to be approved or signed of
by the end client before any payments are made.

4) It's not free but it's cheaper than bespoke one's who would charge
around £500. http://www.simply-docs.co.uk/Documen...ocumentID=1286

[Turion]

Do you need the hassle and responsibility for little gain? If you do, it will come back and bite you in the arse.

So, stop dreaming and leave the resource hiring to the client/agency like any normal person would. At best you can participate by screening CV's and possibly interviewing.

This is a chance for a benched contractor to get a couple of months work at a market rate, not for you to try and make a fast buck, Del-boy style.

[Bright Spark]

Do you need the hassle and responsibility for little gain? If you do, it will come back and bite you in the arse.

So, stop dreaming and leave the resource hiring to the client/agency like any normal person would. At best you can participate by screening CV's and possibly interviewing.

This is a chance for a benched contractor to get a couple of months work at a market rate, not for you to try and make a fast buck, Del-boy style.

But it's the experience and learning which is more important, if he's tried and
knows the process of how it works surely next time a more lucrative opportunity comes along he'll be better placed and would have learned
from last time, you gotta start from somewhere innitt me old china, lovely jubly...This time next year we'll be millionaries...