Negotiatin contract extension.

[thunderlizard]

Well, their initial margin of 25% is on the fat side, but not mega mega. Mordac's right too: at the moment, walking away isn't going to be too bad: you're unlikely to have more than a few weeks out. Tell the agent you've been looking at the weather forecast and that the prospect of spending April catching up on the gardening is very tempting.

Three plays spring to mind.

(1) completely openly. Everybody knows what everybody else is paying/getting and you eventually come to a figure you're all happy with.

(2) pincer movement. You deal with the agent, the client deals with the agent, but you and the client go behind the agent's back and keep each other informed of the numbers. Usually has the same end result as (1), and requires the contractor and client to be both canny and complicit. Give away one wrong word and the agent will suss what you're up to (but usually can't do anything about it!). So only do this if (1) isn't an option.

(3) acceptable figure. This is a more pleasant way of doing it. You forget about what the agent is charging the client, and just concentrate on getting a price you're happy with. If the agent's managing to get 35% on top of that, good luck to him. Often the rate you end up with will be higher than if you'd gone into it trying to get the agent's margin down: because your negotiation will be more focused.

[bfg]

Yes

Didn't sign, despite huge pressure, the rate was way too low. Very aggressive at driving down their suppliers prices and very confrontational when it doesn't work. Probably explains why they seem to have a high proportion of "new fish".

[Mordac]

Computer People

Mostly bad. Also best avoided. Wait and see how many positive feedback responses they get. It won't be many (it shouldn't be any).
CP are a body shop these days, rather than an agency. I long since stopped returning their calls. Plenty of other (far better) agencies out there.

[davidh]

If they dont budge and get aggressive on me again, I might be better to ask the client if we can use a different agency.

Would it normally be the client or the contractor that looks for a new agency?

I have had enough of CP and their BS now.

[Mordac]

If they dont budge and get aggressive on me again, I might be better to ask the client if we can use a different agency.

Forget it. CP will have a clause in their contract with the client which means they can't use you through any other means except them for a certain period. Knowing CP that's likely to be 12 months. CP will sue them (or threaten to) at which point the client will drop you like a lit firework.
Chalk it down to experience, and keep in contact with the client; there's nothing to stop you going back through a different agent in a few months. I did it several years ago, and CP never found out. They really are an unpleasant bunch of arses.

[zipbamboo]

They can have what they want as long as I get mine.

I really don't care what the agencey is charging the client. They have done the work to find the client, they should get paid. What I care about is,

a: What do I think I am worth.

b: Can I get that here or somewhere else.

c: Am I getting paid what was agreed.

d: Do they pay on time

When it comes to renewal I allways ask for a increase, and more often than not have got it, but have twice had to walk away and twice accepted no increase.

Its not a case of whats right or wrong, its a case of what can you live with. How strong do you feel, and how strong is the market.

[cojak]

Those guys tried to get me to sign a contract £20 pd lower than my lowest rate/the stated job rate *after* going to the interview on the basis that "what's 20 quid these days?"

The client were going to pay the stated rate but CP squeeze hard and only newbies/the desperate fall for it.

I didn't.

PS.
Zipbamboo is spot on, Newbies - heed his advice carefully...

[The Lone Gunman]

If you are happy to walk and have another place to go then tell the client you have been offered x£ an hour elsewhere and that they can not match that so you are leaving. Tell the agent the same thing.

Give them both the opportunity to match the figure if you feel like staying.

The agent can not accuse you of discussing rate as you have only mentioned the figure offered nto the one you are on.

Be prepared to walk.

CP do not have a good rep. They are often mentioned on this and other contractor boards.

[Alexander Coe]

Computer People.
Anyone had good or bad experience with them?

Bad, they suck.

[IT contract agent]

; most agents would probably try and get away with up to about 14-15%....

15% and under is seen by most decent agencies to be PSL level business. Anything below about 17/18% is seen as dropping our pants. Good business is seen to be above 20% - usually between 22-26% is ok.

hope this sheds some light on margins for you guys. I don't get paid commission on deals that are 15% or lower.