Experis contract to perm % cut Experis contract to perm % cut
Posts 1 to 9 of 9
  1. #1

    Should post faster


    Join Date
    Jun 2014
    Posts
    153

    Default Experis contract to perm % cut

    What's the general agency percentage margin for a contractor these days working in the City? Anyone know the Experis margin for a contractor?

    And in the event of an Experis contractor to perm - what is the agency cut in such situations?

    Trying to work out how much leverage there is in the event of going perm.

  2. #2

    My post count is Majestic

    northernladuk's Avatar
    Join Date
    Mar 2009
    Posts
    43,291

    Default

    Ask them if they are on a fixed margin in which case they will be happy to tell you. Many agents with big clients are on them.

    If they are major supplier of a lot of contractors to a large client I'd guess between 4 and 6%. If not I'd guess around 10.

    Get that lambo ordered.
    'CUK forum personality of 2011 - Winner - Yes really!!!!

  3. #3

    Fingers like lightning

    Andy Hallett's Avatar
    Join Date
    Dec 2012
    Location
    London
    Posts
    922

    Default

    Generally you will find with banks there are no hand-cuff clauses. I'd suspect they can take you for free.

  4. #4

    My post count is Majestic

    northernladuk's Avatar
    Join Date
    Mar 2009
    Posts
    43,291

    Default

    Quote Originally Posted by Andy Hallett View Post
    Generally you will find with banks there are no hand-cuff clauses. I'd suspect they can take you for free.
    I think he's trying to work out how much extra he can charge with no agent involved.
    'CUK forum personality of 2011 - Winner - Yes really!!!!

  5. #5

    Fingers like lightning

    Andy Hallett's Avatar
    Join Date
    Dec 2012
    Location
    London
    Posts
    922

    Default

    Depends on his tenure there.

  6. #6

    My post count is Majestic

    northernladuk's Avatar
    Join Date
    Mar 2009
    Posts
    43,291

    Default

    Quote Originally Posted by Andy Hallett View Post
    Depends on his tenure there.
    Don't be trying to use your fancy agency speak to bamboozle me!!
    'CUK forum personality of 2011 - Winner - Yes really!!!!

  7. #7

    Should post faster


    Join Date
    Jun 2014
    Posts
    153

    Default

    Quote Originally Posted by northernladuk View Post
    I think he's trying to work out how much extra he can charge with no agent involved.
    Quite the opposite, I'm direct (no third party involved) and trying to ascertain what the client pays with Experis, so I can negotiate appropriately.

  8. #8

    My post count is Majestic

    northernladuk's Avatar
    Join Date
    Mar 2009
    Posts
    43,291

    Default

    Quote Originally Posted by ContractorBanking View Post
    Quite the opposite, I'm direct (no third party involved) and trying to ascertain what the client pays with Experis, so I can negotiate appropriately.
    I thought that was more or less the same same as I said.

    Remember thought. The agency earn that money for the work they do. We've had a couple of threads over the year where the contractor expected the gross and was disappointed not to get ythe agency cut as well. If a client doesn't understand this you've a good chance of getting the gross amount. If they are well aware they will not consider it if you get me.

    Did the percentages I gave help at all though?
    'CUK forum personality of 2011 - Winner - Yes really!!!!

  9. #9

    Should post faster


    Join Date
    Jun 2014
    Posts
    153

    Default

    Quote Originally Posted by ContractorBanking View Post
    Quite the opposite, I'm direct (no third party involved) and trying to ascertain what the client pays with Experis, so I can negotiate appropriately.
    Thanks NL, yes, that was very useful.

    I won't mention those numbers and see what the client comes back with, but great to have a benchmark to set expectations (assuming they decide to move accordingly).

    One last question, banks cannot reclaim the 20% VAT, but is this true of software houses? Which institutions cannot reclaim the VAT? (again, that would be a useful negotiating ploy)

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •