Reply to: Should I quit my current job before looking for contracts?

[jmo21]

You aren't suppose to be encouraging people into debt.

There are plenty of 12 month 0% interest on purchases credit cards out there, couple with 5/6 months war chest should be plenty to get anyone started into contracting.

[Sysman]

4 month project running a team of 12 developers which was sold for 2 million on the first year with one million coming in on the second.

12 contract banking devs + you + other's rate was probably a million itself.

Indeed. Even if the team were mainly permies, the project would have been costed out using full commercial rates for their hours. Then there's the cost, again at full commercial rate, of the infrastructure: office space, space in server rooms (not cheap), cost of hardware maintenance, networking etc.

By way of comparison, I costed out a 12 man team of (permie) software developers plus 2 or 3 book keepers / secretaries with their own offices, server room etc. at a million a year, and that was in 1992!

[Sysman]

When I quit my permie job to go contracting I had 4 months permie salary in the bank. The day after I resigned the turbo on my car blew, costing me 1500 euros in repairs plus 500 for car hire while waiting for repairs (not saying this will happen to you, and I hope not, but a setback can happen any time and Sod's law says it'll happen when you can't afford it). I got a contract very quickly, but had to stay in a B&B close to clientco, costing me 45 euros per night, plus eating out in the evenings, so my warchest was depleted very quickly. Turned out OK as the agent paid 30 days after first invoice, but it was close.

Sound advice. I had a car blow up on me on the way to a contract, which seriously dented my finances. Added to that the B&B wouldn't take credit cards or a company cheque, so it had to be cash each week.

[Sysman]

Get a credit card. Quit your job.

Not a good idea without reserves for the essentials, and it's amazing how much you can cut down on expenditure if you really try.

One of the better ways into contracting is a nice fat redundancy package where the employer will organise head hunters for you and let you approach their existing clients... but that was a long time ago.

[Sysman]

So, don't keep doing it. Arrange phone interviews. Arrange interviews out of hours. Be flexible - a friend of mine interviewed at Manchester Airport one night having flown back from the project, and got the gig.

For what was at the time my best paid contract yet I had a breakfast interview in a hotel in Leeds. They paid for my breakfast too.

I've also had 5/6 pm interviews.

[Sands of Time]

Why did you say this Sands of Time? Surely the market for an ITSM/ITIL isn't that bad. I suspect you are tryiing to discouraghe the OP not to defect - less competion for you ?

Really, how odd.


Bing!

[xchaotic]

4 month project running a team of 12 developers which was sold for 2 million on the first year with one million coming in on the second.

12 contract banking devs + you + other's rate was probably a million itself.

As for the contract stuff - do not quit yourself too quickly - I've had permie periods in my life and the contracts I got after were all ok with 1 month notice.
If you do get sacked for going to too many interviews then that's exactly what're after isn't it?
Also, ideally go for one interview, get the gig, hand in notice, relax, train and sort out the paperwork for 1 month and then hit the ground running and try to be useful and productive quickly.
That's how I roll...

[Mich the Tester]

Those Java exams are worthless as a gauge of ability.

I wouldn't disagree; lots of certificates are quite easy to gain by reading the exam material and then going for it. However, purchasing departments, agents and HR numpties don't see it that way, and they form the first hurdles when getting a contract, so if the certificate helps to get your CV to the person who's hiring then it seems to me to be a worthwhile investment.

[aussielong]

I am a sun certified java programmer, sun certified java developer and a sun certified JEE architect that has been a voter in the JCP for 9 years and run a java.net open source framework. Worked on DB2, oracle, sybase, mySQL, HSQLDB, apache derby, postgres & sql server databases.

It is not how good you are it is how good the rest of the market is and...

"I am a java/j2ee developer with experience with Oracle and PL/SQL"

..might not cut it.

Those Java exams are worthless as a gauge of ability. I've done them during a boring job where I had little work to do, including the arch one (flight booking project still?) ... they are too easy and too much cheating goes on these days. I'm interviewing chaps that have them all ... and they are generally useless as nobody seems to want to work in Asia.

I would love to think the best gauge of ability would be to stand on their toes, put your face 1 inch from theirs and shout at them like a drill seargent. If they don't cry, they can have the job. I can teach most people decent programming tricks - cant teach them to be honest and not be a baby. Too much fannying around these days. If your work is sh1t you should be kicked out.

[SueEllen]

They'll pay within the terms of whatever the contract says, if its 30 day terms you'll get a weeks pay 30 days after your first completed week.

WHS

Plus lots of things could go wrong ranging from simple accounting mistakes at the agency which will delay you getting paid, to agency trouble like the agency going bust or disputing your work and not paying you.

So ideally you want to have lots of savings, no debt and a credit card with a good limit before you quit your job.

Also be prepared to work anywhere in the UK for your first 2/3 contracts and even in the EU.

[gingerjedi]

I see. Thanks for the info. If I joined a brolly which guarantees to pay weekly. Does that mean they will pay me regardless of the delay?

They'll pay within the terms of whatever the contract says, if its 30 day terms you'll get a weeks pay 30 days after your first completed week.

[kevinlam]

Kevin,

Better to have 5 or 6 months reserve. Remember, you first need to find a contract and start. Then you need to work a month, and then invoice; some agents and clientcos will pay within 30 days, others 60 and a very few in 15. So assume you'll go for 3 months before money comes in, and during that time you'll have business costs for transport/accomodation, indemnity insurance, disability insurance, printer paper etc (all the normal business costs), and you might have a financial setback along the way. Put these costs on paper and work out how much you need to work for 3 to 4 months before payment.

When I quit my permie job to go contracting I had 4 months permie salary in the bank. The day after I resigned the turbo on my car blew, costing me 1500 euros in repairs plus 500 for car hire while waiting for repairs (not saying this will happen to you, and I hope not, but a setback can happen any time and Sod's law says it'll happen when you can't afford it). I got a contract very quickly, but had to stay in a B&B close to clientco, costing me 45 euros per night, plus eating out in the evenings, so my warchest was depleted very quickly. Turned out OK as the agent paid 30 days after first invoice, but it was close.

I see. Thanks for the info. If I joined a brolly which guarantees to pay weekly. Does that mean they will pay me regardless of the delay?

[Mich the Tester]

Kevin,

Better to have 5 or 6 months reserve. Remember, you first need to find a contract and start. Then you need to work a month, and then invoice; some agents and clientcos will pay within 30 days, others 60 and a very few in 15. So assume you'll go for 3 months before money comes in, and during that time you'll have business costs for transport/accomodation, indemnity insurance, disability insurance, printer paper etc (all the normal business costs), and you might have a financial setback along the way. Put these costs on paper and work out how much you need to work for 3 to 4 months before payment.

When I quit my permie job to go contracting I had 4 months permie salary in the bank. The day after I resigned the turbo on my car blew, costing me 1500 euros in repairs plus 500 for car hire while waiting for repairs (not saying this will happen to you, and I hope not, but a setback can happen any time and Sod's law says it'll happen when you can't afford it). I got a contract very quickly, but had to stay in a B&B close to clientco, costing me 45 euros per night, plus eating out in the evenings, so my warchest was depleted very quickly. Turned out OK as the agent paid 30 days after first invoice, but it was close.

[Ilu]

I would say...

If you're somesort of developer type / datacentre chappie or something in Finance - I'd say yes, DO IT!...

If you are an ITSM / ITIL Expert Geezer - then don't go contracting, my advice is to give up your job and do something else...

Please pass my details to your boss on the way out!

Bing!
v3 Expert

Why did you say this Sands of Time? Surely the market for an ITSM/ITIL isn't that bad. I suspect you are tryiing to discouraghe the OP not to defect - less competion for you ?

[minestrone]

I am a java/j2ee developer with experience with Oracle and PL/SQL. And I have 4 months of reserve , would that be enough to look for the first contract?

I am a sun certified java programmer, sun certified java developer and a sun certified JEE architect that has been a voter in the JCP for 9 years and run a java.net open source framework. Worked on DB2, oracle, sybase, mySQL, HSQLDB, apache derby, postgres & sql server databases.

It is not how good you are it is how good the rest of the market is and...

"I am a java/j2ee developer with experience with Oracle and PL/SQL"

..might not cut it.