Direct with the client and agreeing a rate... room for movement with the agent?

[SlipTheJab]

Saying that I'm direct but the client use an agency for payroll, they're on 4% and pay weekly, mind you they have tens of 'direct' contractors on the books for this client so economies of scale kick in.

[clearedforlanding]

12.5%!!! As the agency did no work finding the role and are just there to do the payroll I would say 5% is a fair sum

I think 12.5% is just a figure that major accounts settled on for large volumes, and agencies have adopted it as their benchmark. As many are factoring their invoices I think 10% is OK, as we must keep some 100 Octane in their Audis.

I did negotiate a fixed per day rate with Alexander Mann on one occasion, for simple intermediary stuff.

Agree if you're on less that 400 notes a day then 5% starts looking as unfair as an agency who's doing no more than payroll taking 12.5% on top of 600 quid a day.

Agreed, but if they have fixed this in their PSL upstream contract then it is sadly a case of one size fits all, regardless of whether they actually performed the recruitment or not. HR do not give a tulip and OP doesn't have other invoicing avenues.

[SlipTheJab]

But if the rate is 100 quid less than market the percentage won't work. 5% of not much might just not be worth it.

Agree if you're on less that 400 notes a day then 5% starts looking as unfair as an agency who's doing no more than payroll taking 12.5% on top of 600 quid a day.

[northernladuk]

12.5%!!! As the agency did no work finding the role and are just there to do the payroll I would say 5% is a fair sum

But if the rate is 100 quid less than market the percentage won't work. 5% of not much might just not be worth it.

[SlipTheJab]

Quality of life can play a big part as well as rate.

Yes. On a simple delimitation of clientco contract/invoicing/payment effort they should be charging no more than 12.5% margin, 10 would be what I would aim for.



That really depends on the cost incurred at the other location and and % value of the contract of the monetary difference.

Quality of life can play a big part as well as rate.

12.5%!!! As the agency did no work finding the role and are just there to do the payroll I would say 5% is a fair sum

[northernladuk]

Ahh that kind of mileage and situation at home does make a massive difference. Just hope this gig is a long one as its a little quite out there.

[BND100]

They grow up quickly. I wish I had made an emotive call rather than a financial one at that point in my children's lives.

If the relationship with the client is good, why not start by asking them the agency's margin, and negotiate from that position?

Great shout... The contact who deals with the agent I am fairly friendly with so I will find about beforehand.

Yep it was an experienced contractor of 10 years who told me the difference is worth its weight in gold being able to go home every night.

I was away for 3 nights last week and I am sure he has grown a full head of hair in that time!

[clearedforlanding]

Worth mentioning the £100 more is 90 miles away so would require lots of travel hours or working away... got a 6 month old so being close to home is appealing.

I thought it was worth asking the question now before I am put through the agent.

They grow up quickly. I wish I had made an emotive call rather than a financial one at that point in my children's lives.

If the relationship with the client is good, why not start by asking them the agency's margin, and negotiate from that position?

[BND100]

Worth mentioning the £100 more is 90 miles away so would require lots of travel hours or working away... got a 6 month old so being close to home is appealing.

My thinking was if they have said "This is the max we can give you" I imagine the amount the agency is getting is higher... therefore can I ask the agent outright what the full invoice is for? I have a very good relationship with the client so am not worried about upsetting them. I thought it was worth asking the question now before I am put through the agent.

[northernladuk]

Man... Quoting all that for two line reply really screws up on the Mobile App.

[clearedforlanding]

Is it worth a conversation with the agency after agreeing directly with the client?

Quality of life can play a big part as well as rate.

Yes. On a simple delimitation of clientco contract/invoicing/payment effort they should be charging no more than 12.5% margin, 10 would be what I would aim for.

The benefits of location and work will be gone in 3 months and you'll be back to square one missing a lot of money.

That really depends on the cost incurred at the other location and and % value of the contract of the monetary difference.

Quality of life can play a big part as well as rate.

[northernladuk]

What do you mean will I be able to negotiate with the agent? Or have a conversation with them. Surely you are going to have rondo that to engage with them? You aren't thinking you are going to get more from the agent are you?

IMO at 100 quid a day I'd be sacking it off. You will got lots of gig's with lots of clients. The gig you have been offered is as long as the advertised (or as long as your notice period to be pedantic)(but notice periods are for permies) but anyway, they are short term pieces of work. The benefits of location and work will be gone in 3 months and you'll be back to square one missing a lot of money.

[BND100]

Hi,

I have two offers on the table for my first contract.

The latter is a better all round package (due to location and work) but it is £100/125 less a day. The client has gone to the maximum they can offer but would I be able to negotiate with the agent?

It is a company I have worked for previously and I have dealt with them directly... I understand if they offer tomorrow I will need to go through their agency... obviously they have done none of the ground work to place me but I understand they still play a part.

Is it worth a conversation with the agency after agreeing directly with the client?