IR35 and "work finding agreement"

[SueEllen]

Hi All,
I am new to contracting. I received my first contract a week ago. After doing my research I sent it to a IR35 specialist where I purchased insurances for review.
Then I asked the Agency to make the amendments to the contract as per review. They removed some sections as requested but also come up with additional agreement called "work finding agreement" in addition to the "service company agreement".

I will review them again through IR35 specialist but would like to know your opinion if you have heard of it or had to sign it.

"work finding agreement" says it is a agreement directly between me (not my limited company) and the agency.
It is not only has "work finding service" terms in it but also "terms that apply to each assignment" and "general section".
It also states once the wok is found, the limited company used will have to adhere to the terms.

Any help appreciated.

Cheers

I was given something like that once but refused to sign it.

I already had my contract reviewed, amended and agreed then the agency added another document on to the contract so I told them to p*ss off.

The idea is to make you commit to future contract changes without any fuss. I suggest you get the IR35 reviewer to look at it and ask them "Does this mean the agency can change the contract in future and I would not be able to amend it?"

In regards to the client signing a "Confirmation of Arrangements" Letter most will refuse to sign it. Therefore it's up to you to ensure your working practices are outside IR35.

If you use the search facility on the site you will find lots of threads on IR35. Basically anything that is Health and Safety or Security that is invoked by the client you have to abide by. However other things like planning holidays and working times you do it in away that you don't p*ss the client off.

[Clare@InTouch]

Thank you. I asked them to confirm that contract mirrors the upper contract between the agency and the end client.
But you have given me a good point so I will do some search and find a template for 'Confirmation of Arrangements letter' and will request them to sign it because they said it mirrors each other.

Regarding the working practice, once the contract is agreed, I am going to spend some time regarding the practices I should follow at work place as well as trying to be in the lower band of 'business entity test'

I'd echo what Lisa says, but add in that you should be wary of following the Business Entity Tests. They are not a reflection of the actual law and they have no legal grounding - they are HMRC's (rather biased) viewpoint. If you want to research working conditions then look at existing case law and prior IR35 cases.

[LisaContractorUmbrella]

Thank you. I asked them to confirm that contract mirrors the upper contract between the agency and the end client.
But you have given me a good point so I will do some search and find a template for 'Confirmation of Arrangements letter' and will request them to sign it because they said it mirrors each other.

Regarding the working practice, once the contract is agreed, I am going to spend some time regarding the practices I should follow at work place as well as trying to be in the lower band of 'business entity test'

The contract should accurately reflect your working practises so you should consider the two together

[sasi]

Personally I'd want to see the whole lot together as one could undermine or contradict the other. I'd also want reassurance that any changes they made in the contract were reflected in the upper contract between the agency and the end client, otherwise they won't hold water anyway.

You might also want to look into getting a Confirmation of Arrangements letter in place direct with the client, it's better proof than a standard agency contract would be, and make sure you're working conditions don't put you at risk - don't go to staff parties, don't become part of the furniture, get insurance, get stationery, act "like a business" etc

Thank you. I asked them to confirm that contract mirrors the upper contract between the agency and the end client.
But you have given me a good point so I will do some search and find a template for 'Confirmation of Arrangements letter' and will request them to sign it because they said it mirrors each other.

Regarding the working practice, once the contract is agreed, I am going to spend some time regarding the practices I should follow at work place as well as trying to be in the lower band of 'business entity test'

[Clare@InTouch]

Personally I'd want to see the whole lot together as one could undermine or contradict the other. I'd also want reassurance that any changes they made in the contract were reflected in the upper contract between the agency and the end client, otherwise they won't hold water anyway.

You might also want to look into getting a Confirmation of Arrangements letter in place direct with the client, it's better proof than a standard agency contract would be, and make sure you're working conditions don't put you at risk - don't go to staff parties, don't become part of the furniture, get insurance, get stationery, act "like a business" etc

[sasi]

Hi All,
I am new to contracting. I received my first contract a week ago. After doing my research I sent it to a IR35 specialist where I purchased insurances for review.
Then I asked the Agency to make the amendments to the contract as per review. They removed some sections as requested but also come up with additional agreement called "work finding agreement" in addition to the "service company agreement".

I will review them again through IR35 specialist but would like to know your opinion if you have heard of it or had to sign it.

"work finding agreement" says it is a agreement directly between me (not my limited company) and the agency.
It is not only has "work finding service" terms in it but also "terms that apply to each assignment" and "general section".
It also states once the wok is found, the limited company used will have to adhere to the terms.

Any help appreciated.

Cheers