Invoicing without contract

[Wils]

No offence dude, but you asked for help, got some from someone who knows how to do it (having actual experience of such, which is bloody unusual on CUK) and you come back and suggest your own way of doing it.

My advice would be, f**k off and do it your own way ! Is that better ?

I think you may have misunderstood my post. I was not suggesting I have a better way of doing it, I was asking what would happen if no purchase order was raised. e.g. would she end up in jail or something? And I explained why I was asking if it could be done without the purchase order.

Not sure why you interpreted it the way you did, but thanks for your charming response though. I look forward for an opportunity to return it.

[TestMangler]

I think you may have misunderstood my post. I was not suggesting I have a better way of doing it, I was asking what would happen if no purchase order was raised. e.g. would she end up in jail or something? And I explained why I was asking if it could be done without the purchase order.

Not sure why you interpreted it the way you did, but thanks for your charming response though. I look forward for an opportunity to return it.

Before you do that though, make sure you precede it with factual and succinct advice on how I could sort out a problem that I've asked for advice on.

[minstrel]

I think you may have misunderstood my post. I was not suggesting I have a better way of doing it, I was asking what would happen if no purchase order was raised. e.g. would she end up in jail or something? And I explained why I was asking if it could be done without the purchase order.

Not sure why you interpreted it the way you did, but thanks for your charming response though. I look forward for an opportunity to return it.

If you don't have a PO or contract in place then the risk is not that you will go to jail, just that there is a higher risk of not getting paid.

When you go into a restaurant, the waiter doesn't ask for a written purchase order before supplying you with your meal. Most people will pay before they leave, but if you do run off without paying there isn't much that he can do to get it back.

It's all about your appetite for risk.

[Wils]

If you don't have a PO or contract in place then the risk is not that you will go to jail, just that there is a higher risk of not getting paid.

When you go into a restaurant, the waiter doesn't ask for a written purchase order before supplying you with your meal. Most people will pay before they leave, but if you do run off without paying there isn't much that he can do to get it back.

It's all about your appetite for risk.

So, I think I understand it now. If she is working with someone she trusts and is willing to accept the risk of non-payment, an invoice is all that would be needed to keep the accountants and HMRC happy.

Thanks Minstrel.

[tractor]

So, I think I understand it now. If she is working with someone she trusts and is willing to accept the risk of non-payment, an invoice is all that would be needed to keep the accountants and HMRC happy.

Thanks Minstrel.

Not trying to be rude here but a PO is an internationally recognised commercial mechanism.

Why is there such a reticence to simply ask for one? I am sure her client is asked for and produces them all the time. Is it cash in hand stuff?

[Wils]

Not trying to be rude here but a PO is an internationally recognised commercial mechanism.

Why is there such a reticence to simply ask for one? I am sure her client is asked for and produces them all the time. Is it cash in hand stuff?

Yes I understand. What has happened is she has been asked to some work for someone she knows (and trusts) from another country who is working here in the UK for while. He comes from a country where hiring and firing is a lot more casual than it is here and is perplexed by the way things work here (as I clearly am). She doesn't want to create too much administrative headache for him as the experience she is getting is so valuable others are willing to do it for free (it's a bit more glamourous than my dull IT work.) But at the same time she needs to satisfy HMRC, the accountants, and any other laws of the land that may affect the arrangement.

[Cosmokramer]

Facing a similar situation myself. A friend has asked me to do ad-hoc work for him. This is minor stuff here and there. So far I have done 1 hour of work and would like to charge an hour equivalent of my day rate. There is no formal contract or purchase order in place. Would it be acceptable to submit an invoice for this?

If you look at the following link - Contracting - Do I really need a contract? :: Contractor UK

There seems to be a perception that lack of a contract or purchase order may raise eyebrows at HMRC?

This is not an IR35 issue in my opinion, its miles outside.

I just want to make sure everything is legit and I won't be raising any flags!

What are peoples opinions?

[yasockie]

Yes I understand. What has happened is she has been asked to some work for someone she knows (and trusts) from another country who is working here in the UK for while. He comes from a country where hiring and firing is a lot more casual than it is here and is perplexed by the way things work here (as I clearly am). She doesn't want to create too much administrative headache for him as the experience she is getting is so valuable others are willing to do it for free (it's a bit more glamourous than my dull IT work.) But at the same time she needs to satisfy HMRC, the accountants, and any other laws of the land that may affect the arrangement.

Even when dealing with overseas customers, when doing business in the UK, I offer them a very simple contract, courtesy of PCG.
If you have a written contract, then whether there is a PO each time is less of an issue. It is not much hassle to sign a contract.
The person hiring may be from abroad, but being in UK should abide by UK rules and customs.
I'll quote an old Chinese proverb: "he who does not like the house rules can sleep in the barn" - this was apparently told by some peasant to a Chinese monarch and luckily he was not beheaded
I don't see why your SO should put her in such a bad position straight away - the other party not signing a PO or a contract clearly is dodgy, in my view.