Offered new contract! Rate increase methodology

[Fleetwood]

I got my pimp down to six and two thirds per cent once, but I'd been at the place for years and felt that the ag*nt wasn't really "adding value".
Of course, had I felt that the agent was in fact <frantic rabbit's ears> adding value</frantic rabbit's ears> I would have accepted him making a lot higher margin. Il va de soi.

[malvolio]

I don't know any agency who will work at 5% - if you think that most agencies work at between 5% and 10%......you're wrong!

Ermm - mine takes 4%...

[PerlOfWisdom]

Ermm - mine takes 4%...

Luxury! The best I could manage was 9% at BT.

[DodgyAgent]

I don't know any agency who will work at 5% - if you think that most agencies work at between 5% and 10%......you're wrong!

Citibank 6% margins
M&S 5%

there's two clients who have agencies supplying to them at low margins to start with

[ChimpMaster]

Citibank 6% margins
M&S 5%

there's two clients who have agencies supplying to them at low margins to start with

Barclays 4% through preferred agencies ....

[ratewhore]

mine takes 8% and I am happy for him to do so as a) my invoices get paid before they get the timesheet and b) I'm very happy with my rate...

...he also got asked to do a referral for 2%. Rightly so he told them to feck off!!!

[XLMonkey]

I don't know any agency who will work at 5% - if you think that most agencies work at between 5% and 10%......you're wrong!

I wasn't saying that most agents work at between 5 and 10%. I was saying that, once you negotiate to a mark-up in that range, then you have reached the limit and are unlikely to get any further.

Clearly, agents will take as much as a mark-up as the market will bear (just as the contractor will take as high a daily rate as the market will bear).

thanks all to the various posters with rates between 5-10%, it's always nice to have some corroboration.

I claim my £5 for pro-agency spam from IT Contract Agent there

[DodgyAgent]

I wasn't saying that most agents work at between 5 and 10%. I was saying that, once you negotiate to a mark-up in that range, then you have reached the limit and are unlikely to get any further.

Clearly, agents will take as much as a mark-up as the market will bear (just as the contractor will take as high a daily rate as the market will bear).

thanks all to the various posters with rates between 5-10%, it's always nice to have some corroboration.

I claim my £5 for pro-agency spam from IT Contract Agent there

Everything is negotiable

[MikeB]

Margin

I think I know the answer to this already, but....... I'm going through this process at the moment. My Agent is on 17% and having been offered an extension, I am trying to negotiate a reduction in that margin. One quote from the Agent is that "17% is about average". I would have said 10% was about average, am I right/wrong?

[ratewhore]

17% leaves a lot of room for movement on their part. I refer you to my post on page 1 of this thread. Set your rate and be willing to walk...


addendum: I'd be after 5% of that margin personally.