IT Contractor Forum | ACME Contracts

Q. What is contracting?

A. Contracting is a method of employment, whereby you hire out your skills to a company through a limited company, thus the end company can hire you as and when they need you, by hiring your company. Generally when you become an absolute professional within your specific skill set, you become valuable to industry and companies. You can trade on this through becoming a contractor. More information about it can be found on www.wikipedia.org

Q. I'm thinking of venturing into contracting, but I've heard bad stories from colleagues.

A. We have heard this line many times. The real answer is, Contracting does not suit everyone. To evaluate if you think you're ready to become a contractor you should weight up your skills, your sense of professionalism, and your ability to be a self driver. If you are this kind of character, you should be able to cope. You should speak to a financial advisor. There are big rewards if you can cut the mustard. You should be flexible with the location of your contract. If you're not the motivated type, you may find it a struggle to keep a contract at a top notch firm.

Q. I want to contract, but I do not have a limited company or an accountant, I find this a bit daunting too.

A. We recommend first time contractors to use the services of an Umberella company like Oxygen 360, which have an excellent record and the probably the best payouts.

Q. How much pay could I expect to receive as a contractor?

A. Generally three times your normal permanent salary. This is negotiable with the agency and will also be dependant on whether your skill sets are in high demand, if your skills are in high demand you could dictate what rate you are willing to accept! You should judge the marketplace.

Q. I have heard that contracting suffers when there is a period of economic decline?

A. The contracting market (in terms of # contracts) is not reflective of economic forces, as companies can recruit and layoff contractors with ease compared with permanent staff. The rate at which clients are willing to pay can fluctuate. Contractors play a huge part in running the economy and building business strength, they are usually the best in their field.

Q. If I want to return to permanent work after contracting will this affect my chances of permanent opportunities?

A. NO! In fact contract staff are most sort after when recruiting for permanent jobs. Usually as contract staff are 'professional experts' in their field of work. Don't be surprised if during a contract you are offered to take the role on in a permanent capacity - be prepared to negotiate!