Reply to: Please advice. Struggling

[Snarf]

Hi Guys,

I'm 36, have been in Travel and Tourism business for more than 16 years.

Since last few years things have gone horribly wrong, lost major clients and suppliers also organic SEO ranking on Google went down. Don’t have any funds for marketing and advertise.

I have no source of income at the moment. I'm in debt of approx. £35K (Bank OD, Credit Cards, Friends/Family). Tried everything possible but don’t see any hope in this business unless I bring in some new investment. Which I don’t want to at the moment, had too much stress in last few year to make sure business repay back all the bank loans. Don’t want to liquidate the company neither do I want to go bankrupt.

I'm thinking of taking a break from business and getting into contracting for a year or so, payback my debt and have some survival funds for few months to get back into some other business.

I'm from NON IT/ Non tech background. I can see contracting opportunity are mostly in IT and fintech related. I have experience mostly into management and day to day operations, I have managed IT service providers and teams of approx. 20 staff (contractors and permanents).

What would you advice to someone from NON IT background

Q- What skill I should have which are in demand or can be learned quickly to get into contracting to get paid £200-£500 PD ?

I can see there are lot of courses on Udemy and other websites. Will be happy to work voluntary for a month or so to get bit of experience if needed also happy to work anywhere in country.

Q- How easy do you think it will be to get into contracting ?

Thanks

Dev

Ive been in IT for 15 years but I Watched a few hours of casualty on iplayer earlier today.
Can't wait to start my new career as a registrar within the NHS next week.

Seriously, I waited ten years before I felt like I have enough knowledge and experience to start contracting.. do.people just think.companies will hand them money because they spent a few hours on udemy?

[Old Greg]

OP sounds like my 15 year old son who says he wants to be a YouTube blogger when he grows up and earn $1 miillion a year.

I tell him "if it were that simple why isn't everyone doing it".

Similarly, a lot of my family think I'm "lucky" because I earn loads by just sitting in an office all day. (They have no idea what I earn but guess). As you all know, there is a bit more to it than that.....

You mean you're signing on as well?

[simes]

I think the OP has disappeared. And anyway, bearing in mind that not just the title, but the entire post is delightfully carefree of grammar and structure, his English may indeed be a second language.

But since he has to date not imposed his attitude and omni-present, know-it-all nature on the world, live and let live.

[DeludedKitten]

Careful. He is a practised wordsmith who helpfully points out and encourages betterment in others' language deficiencies...

And yet 28 posts into the thread nobody has commented on the title being incorrect

[simes]

Sometimes, I wish some contractors would be mute

Careful. He is a practised wordsmith who helpfully points out and encourages betterment in others' language deficiencies...

[DeludedKitten]

If we are suggesting inside IR35 then contracting is mute

Sometimes, I wish some contractors would be mute

[psychocandy]

OP sounds like my 15 year old son who says he wants to be a YouTube blogger when he grows up and earn $1 miillion a year.

I tell him "if it were that simple why isn't everyone doing it".

Similarly, a lot of my family think I'm "lucky" because I earn loads by just sitting in an office all day. (They have no idea what I earn but guess). As you all know, there is a bit more to it than that.....

[simes]

And that's it. You have no idea what you are talking about and you give bad advice.

Perhaps if I were to use my first language, things would be clearer.

At the end of the day, let's see what the OP has to say. If he ever returns.

[Contractor101101]

Sorry, £72k pa. Yes indeed there were some assumptions to be made. Such as ~20 working days per month and essentially 20 days off. So, if one earns £300/day for 12 months, then absolutely yes, £6k/month x 12 months equals £72k. This still leaves 20 days off due to Bank Holiday and whatever else.

I was assuming outside IR35. Why are you assuming inside? If one is working through an Umbrella then there is no need to know how to run a business as essentially you are an employee. My understanding does extend that far. You can't have it both ways.

Ok, one last time for the OP's benefit. This is like talking to a child but the OP doesn't know anything about contracting.

So a contractor would know that currently a significant number of contracts (a significant % of contracts) are initially for 6 months. Even if they are for a longer period, it cannot be assumed ever that they will either last the full term or will be renewed.

Which means when I'm stating that the OP would be lucky to earn £300 a day, realistically that probably means £250 and realistically would look at 6 months at most. Especially as a first contract.

Which is nowhere near the equivalent of £72,000 pa. Following me so far?

If we are suggesting inside IR35 then contracting is mute since he would be paying the equivalent of PAYE tax. Meaning that - subject to permanent pay in the travel sector and his management experience - most likely he wouldn't be worse off going permanent.

He would also not have to stress about learning about how contracting works.

If he went down the Umbrella route - which would be advisable as a first time contractor as he probably doesn't know about liability insurance, IR35 insurance, etc - the above argument is even more valid.

You are advocating umbrella - which completely kills the argument that he would be having the tax advantages because these advantages are associated with being outside IR35 AND having his own Ltd. In fact! He would be worse off than in a permanent role because he would also pay employer NI and umbrella fees.

And that's it. You have no idea what you are talking about and you give bad advice.

[quackhandle]

"I'm thinking of taking a break from business and getting into contracting for a year or so"

Running a business isn't a hobby.

qh

[northernladuk]

I see. Perhaps my loquacity isn't what it was...

Still the usual crap through.

[simes]

I highly doubt that you are a contractor, no disrespect. Every contractor knows that up to £300 a day does not translate directly to # of working days in a year x max day rate. This is something extremely basic to understand.

Then on top of that understanding that inside IR35 means paying tax pretty much like a PAYE - which would mean with his experience as a Manager, his net earnings would be similar to an employee. Very simple concept to understand for a contractor.

Sorry, £72k pa. Yes indeed there were some assumptions to be made. Such as ~20 working days per month and essentially 20 days off. So, if one earns £300/day for 12 months, then absolutely yes, £6k/month x 12 months equals £72k. This still leaves 20 days off due to Bank Holiday and whatever else.

I was assuming outside IR35. Why are you assuming inside? If one is working through an Umbrella then there is no need to know how to run a business as essentially you are an employee. My understanding does extend that far. You can't have it both ways.

You are definitely not a contractor and not a native English speaker.

I see. Perhaps my loquacity isn't what it was...

[LondonManc]

it would entirely depend on social skills. Selling requires little brain and being an extrovert with patience.

Difficult then.

[Contractor101101]

OP, how easy do you think it would be for a Java Developer to suddenly switch tracks and become a successful travel consultant?

it would entirely depend on social skills. Selling requires little brain and being an extrovert with patience.

[Contractor101101]

18 years and counting. But really, again for the most of us, we issue one invoice a month which generally does not need to be chased, and we do not have employees on our books which mean we do not have to earn a bottom line to meet running costs. There are businesses and there are businesses. That is all I am trying to say.

Nope. £300/day equates to £72 pa and with better than permie style tax implications, the debt would be cleared far quicker.

I highly doubt that you are a contractor, no disrespect. Every contractor knows that up to £300 a day does not translate directly to # of working days in a year x max day rate. This is something extremely basic to understand.

Then on top of that understanding that inside IR35 means paying tax pretty much like a PAYE - which would mean with his experience as a Manager, his net earnings would be similar to an employee. Very simple concept to understand for a contractor.

The chap, who seems not to have returned, said he was in management. If he finds himself in an environment with BA's, Solution Designers and Operations people to cover the technical requirements, his 'management' could be directed towards project management.

As for where this thinking is coming from, I am 'business PM existing in a technical environment'. I have not technical skills, but there are management experiences.

As for what is possible, my words are not founded on baseless whim. I have helped friends with CVs to move from one environment to PMO and PM environments, and in contracting. And once in, they haven't found it too difficult to work, earn or 'learn to run a business.'

Anyway, horses for courses. Stories and advice. Can be taken or left.

You are definitely not a contractor and not a native English speaker.