Reply to: Contracting direct with Company

[malvolio]

PCG forum?

Grab a copy of the PCG's standard template contract and get this submitted to the client ASAP. Stumping up with your own terms of business will head off them producing their own dodgy ones full of stupid clauses that you have to argue the point over.

Why use the standard one when there's a fully-configured direct-to-client one?

[Wanderer]

where is their forum? Can't find it :/

PCG forum?

Grab a copy of the PCG's standard template contract and get this submitted to the client ASAP. Stumping up with your own terms of business will head off them producing their own dodgy ones full of stupid clauses that you have to argue the point over.

[Ticktock]

Or you might find yourself obliged to have an argument about why you're not obliged to pay the agent his cut regardless of having the clause in the contract.

I believe what OG may be referring to is the fact that most agents put in a standard exclusion term of 12 months, regardless of the length of the actual contract, and more often than not these would be unenforceable as they would be seen as an unreasonable restraint of trade.

[Old Greg]

You should check whether your contract through the agent last year included an exclusivity clause, and if so how long the exclusivity period is. Otherwise you might find yourself obliged to pay the agent his cut regardless of having gone direct.

Or you might find yourself obliged to have an argument about why you're not obliged to pay the agent his cut regardless of having the clause in the contract.

[aoxomoxoa]

Hi guys,

I have been offered a 3 month contract with a company that I did a 3 month contract stint with last year. Now is it a simple and respected process to do this without going through an agency?

Who draws up a contract?
Are there any negatives?
What about IR35?
Am I missing anything?

I'm pretty new to this game so any help will be massively appreciated.

I am a member of the PCG.


Thanks in advance!

You should check whether your contract through the agent last year included an exclusivity clause, and if so how long the exclusivity period is. Otherwise you might find yourself obliged to pay the agent his cut regardless of having gone direct.

[Old Greg]

Either you or the client. If the client rarely takes on someone direct, then I'd try and do it yourself. PCG and QDOS have samples to use.

Most clients pay slower than an agency.
What about it?

The only time I went direct (except for one or two very small pieces of work done on an email and a handshake) was with a client who had never used a direct contractor. We used the PCG template, which I said were my standard term and conditions.

[malvolio]

Thanks malvio but where is their forum? Can't find it :/

Login (top right of the main page) if you aren't already, then go to MyPCG at the right hand end of the list of grey buttons at the top of the page. There will be an obvious link from there.

Also use a PCG one and you won't need an IR35 review, provided what the contract says and how you work are fully aligned.

[Antman]

Thanks jeebo72, who 'reviews for IR35' purpose?

The same people that you use/pay for when you work through an agency. Not going to mention the usual suspects but do a search.

[TheFaQQer]

Thanks malvio but where is their forum? Can't find it :/

https://forum.pcg.org.uk/forum.php

Or go to "My PCG" and there is a big button labelled "Visit Forum"

[TheFaQQer]

Who draws up a contract?

Either you or the client. If the client rarely takes on someone direct, then I'd try and do it yourself. PCG and QDOS have samples to use.

Are there any negatives?

Most clients pay slower than an agency.

What about IR35?

What about it?

[No2politics]

They will draw up contract. You get it reviewed for IR35 amongst other things. Then off you go. Very easy. In my experience tho' the payment terms (payment schedule wise) are usualy pretty poor if it's a big company and you often have to chase invoices. You're just another supplier, and small fry at that. But factor in the agency cut for your dailly rate.

I'm in the process of agreeing a contract direct with a client. First time I have done this. After reading similar comments regarding payments I have requested they change their payment terms from 30 days to 7. Will see what happens!

[icemancomeths]

If you're a PCG member, why not (a) ask their forums for an opinion ( ) and (b) offer one of the PCG standard template contracts to the client (there is a direct supplier one for exactly that purpose). Then you have a basis for negotiation if the client wants to use their own; this is a two-way, business to business agreement, after all.

Thanks malvio but where is their forum? Can't find it :/

[icemancomeths]

They will draw up contract. You get it reviewed for IR35 amongst other things. Then off you go. Very easy. In my experience tho' the payment terms (payment schedule wise) are usualy pretty poor if it's a big company and you often have to chase invoices. You're just another supplier, and small fry at that. But factor in the agency cut for your dailly rate.

Thanks jeebo72, who 'reviews for IR35' purpose?

[malvolio]

If you're a PCG member, why not (a) ask their forums for an opinion ( ) and (b) offer one of the PCG standard template contracts to the client (there is a direct supplier one for exactly that purpose). Then you have a basis for negotiation if the client wants to use their own; this is a two-way, business to business agreement, after all.

[Jeebo72]

They will draw up contract. You get it reviewed for IR35 amongst other things. Then off you go. Very easy. In my experience tho' the payment terms (payment schedule wise) are usualy pretty poor if it's a big company and you often have to chase invoices. You're just another supplier, and small fry at that. But factor in the agency cut for your dailly rate.