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Previously on "Its not going away, so live with it"
For those that are genuine contractors, they're already doing this.
For those not already doing this, they're permietractors. Basically temps who have ideas above their station, reliant upon agencies to find them work engaged in under dodgy contracts that barely (if at all) separate the business entity from the consultant, and the vast majority of people on here are exactly this.
Correct. I've been approached directly by three clients (two managers who I worked for elsewhere, another was a colleague) while I've also introduced people on several occasions. The agent then gets added in afterwards and told what everything is, including their cut.
Here's an idea: Why don't we go direct to our customers, build relationships, use enabling contracts and project-based, fixed price schedules? That puts us well clear of IR35, and allows us to continue to serve industry.....
For those that are genuine contractors, they're already doing this.
For those not already doing this, they're permietractors. Basically temps who have ideas above their station, reliant upon agencies to find them work engaged in under dodgy contracts that barely (if at all) separate the business entity from the consultant, and the vast majority of people on here are exactly this.
While it would have been ideal to have a solution a while ago don't let that stop you. The benefit is everyone is desperately looking for a way out at the moment so you will have everyone's attention.
Go for it.
The issue I see is that clients dont want to have lots of supplier agreements with lots of small companies, haivng to do checks and setup paperwork for all of them. Thats why they go to engage all their contractors
Agreed, I've seen more and more that medium and large companies have a moved to a preferred supplier list which only includes larger agencies and MSCs. Years ago I could contract direct but it got to the point where I was working last that there were three intermediaries all taking their piece due to new preferred suppliers brought in over time. Big clients like it as it puts the burden on finding and supplying resources to these companies and also allows them to drive down their own costs - both from dealing with fewer agents and economies of scale with these suppliers. My experience is that the large agencies and MSCs don't care one jot about the contractors they bring in, only meeting their SOWs and margins. The market has been broken a while by greed and ignorance of where it would lead.
You can get direct engagements with local government but the process to win this work can be drawn out and in my experience it is a total can of worms due to the difficulties working with the structure and people there. Very often this is an old boys club where not much of value is delivered for the money and nobody is accountable.
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The issue I see is that clients dont want to have lots of supplier agreements with lots of small companies, haivng to do checks and setup paperwork for all of them. Thats why they go to engage all their contractors
They don't have to. Agencies are already doing that for them. What needs to happen is for clients to understand what it is they actually require and for agencies to understand that the clients need a specialist service provider. The logistics don't change in the slightest, but the basis of supply and the relationship between the various parties in the chain does.
We can but dream... the major problem is the way agencies work right now, using cheap and pretty much unskilled labour for the bulk of their work (their good, expensive people are talking to the clients, not the likes of us) is money for old rope, so why change?
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