Advice

[smahlatz]

Hi,

First of all, apologies for posting something which has probably been posted hundreds of times before - please don't bite my head off.

I am currently considering taking up contract work - preferably in the London area. I currently am permanently employed, but am on a 2 month notice period, which seems to me is going to make it a bit of a hassle finding a contract.

Can anyone offer advice here - should I just hand in my notice, and start looking in a month's time? (I have about 8 years development experience, with just over 2 years J2EE - wanting a J2EE contract).

Is it worth talking to someone at an agency about what the prospects are like - so I can get some idea of what I can expect - I don't want to find myself unable to find a contract once I've quit the last job.

Any advice would be most welcome.

[lost_paul]

re: Advice

If you are serious about contracting then why not hand your notice in, go sick and use the time to find yourself a contract. Worked for me! I even started my contract before my permie role had officially ended.

[bridder]

I don't think making the jump to contracting is the life or death decision that warrants major soul searching, having said that I'd be sure you are ready for it and understand the implications. Ask yourself the following questions; I've no doubt missed some really critical ones too...

Will I do this through an umbrella or as a limited company?
Have I been a good boy/girl with my money and have enough to see me through for a while should I find it difficult to secure my first contract?
What rates am I going to charge? What are the market rates for my skillset?
Do I understand the legal implications re companies, tax, expenses?

If you want to dip your toes in the water, maybe look at using an umbrella short term to see if you are happy with contracting for yourself, if you are thinking more long term and have plans, go with the limited option. I'd say it is a good idea to talk to some agents re market trends and opportunities, having said that I think you should be sure of yourself and have done the investigative work yourself anyway, lets face it, some agent turns to you and says, "Yeh, theres loads going for your skillset, jump aboard", then you find out he was full of sh*t and you are without a job and no money coming in, you will only have yourself to blame.

I handed my notice in and then had last summer off (watching cricket), I'd saved some money and could do it, when I was ready I started looking for contracts and had one within a couple of weeks, thanks to fellow contractor friends and friendly advice from people off here. I've never been afraid to make career changes though, I'm either very brave or very stupid...

Think supply and demand, if you know there is a need for your skills in the area that you wish to work, go for it, if you are full of doubts and lack confidence maybe you should wait a while, research, research and research some more, also read the beginners guide linked on the front page, know what you are getting into, join the pcg, get an accountant etc, etc, etc...

good luck in whatever you do,
J.

[cojak]

A text book answer from young bridder there.

and to stop other dumb 1st posts (search first guys!), heed his particular advice...

Have I been a good boy/girl with my money and have enough to see me through for a while should I find it difficult to secure my first contract?

If you're supporting a family and can't afford to miss a week let alone a month (or 2) think very carefully about the jump .

My history was I handed my notice in without a contract but I didn't have a car, a mortgage or kids to worry about.

[boredsenseless]

The advice is correct if you haven't got a financial safety net behind you then shelve the idea and save like mad (unless you are single and can live of nothing if you had to).

Even if you get a contract on day one you'll wait some time for the first payment.

That said, if you have the financial cushion to suppor tyou through the lean times then contracting will be the best decision you ever make.

[Denny]

Hi,

Is it worth talking to someone at an agency about what the prospects are like - so I can get some idea of what I can expect - I don't want to find myself unable to find a contract once I've quit the last job.

Any advice would be most welcome.

Like others have said, I would think long and hard about whether contracting is for you. The best way to start contracting is to test out your personal 'risk' factor. You should ideally leave your job first and then scout the market for contracting, just like any new business would have to do. Contracting should be intrinsically attractive to you because you want to substitute flexible lifestyle, wider opportunities with a variety of organisations, self-pride in running your own business etc for safety, security, promotion and regular benefits. It should never be because you 'know' or 'think you know' that the financial benefits of contracting would outweigh what you would get as a permie. When there is a downturn in the market that is rarely the case but 'real contractors' who have a 'contractor' mentality wouldn't suddenly rush to become permies as a result that's why it is quite hard, if not impossible, for contractors to re-enter the permie market once they have been contracting for many years. It's the same scenario but in reverse. Many employers believe that once the market picks up again - they would be off.

It seems, from what you've written above, that contracting is only attractive to you provided you are never out of work - hence, even at the start you unwilling to leave your present job without having a contract in the bag.

This is a poor way to begin as you are not managing your own expectations realistically. Contracting can be lucrative if you have the right skills, but it is also high risk and expecting never to be out of work is not something you should ever contemplate at any stage if you want to make the leap from permie to contractor.

[carpenteri]

Just like to say, whilst this question has been asked and answered a few (hundred) times, I would like to thank you guys for the responses,

I have found them very useful.

Cheers

[bridder]

cojak...

I don't mean to stomp all over the original posters thread but I just wanted to say, you put my fears to rest re Pathways payments and the online timesheets, just to confirm they have paid like clockwork, brilliant, I'd definitely use Pathway again.

What am I doing, rubber stamping an agency, throw things at me please...

thanks cojak,
J.

[expat]

If you're supporting a family and can't afford to miss a week let alone a month (or 2) think very carefully about the jump .

My history was I handed my notice in without a contract but I didn't have a car, a mortgage or kids to worry about.

Ideal rules for going contract for the first time:

1. don't have a family or debts to worry about.
2. Do it when the market's buoyant.

Personally I think #2 is now. Absence of #1 can be mitigated by having a cash reserve to see you through. A partner may do the same thing.


Few if any here regret having gone contract. But nobody here will pay your mortgage if you don't get a contract quickly enough.

[cojak]

*graciously waves gloved hand in bridder's direction...*