Contractor 101, end of 1st term!

**XLMonkey** · 4 January 2007, 15:01

1. not drivel, makes a change really (!)
2. Easiest way to confirm working practices with the client is to send them a nice email, about a week into the contract, that tells them how well you're settling in and then describes how you're going to deliver the services. (note, it doesn't need to be contractual, it just has to be an accurate reflection of the fact that you are not an employee)
3. there should be a competition to find an alternative acronym for CP (cnutish parsarites?). But, if you are OK with the rate you are getting, and have had the existing contract reviewed to your satisfaction, then you might be cutting your nose off to spite your face a bit...
4. nice way to re-affirm your status as a business: do a customer satisfaction review every 3 months or so and keep a record of it. If the client has signed/filled in a form that makes clear that you are not seen as an employee, then it helps you (and them) to see it as a business to business relationship. It also helps enormously when it comes to renewals/finding another job, as you can prove what a good egg you are.

**Troll** · 4 January 2007, 15:13

CP are top of the krap pile

Their mission statement to "be the contractors agency of choice" is laughable
10 feet + bargepole +

**Goya** · 4 January 2007, 16:29

Originally posted by XLMonkey

4. nice way to re-affirm your status as a business: do a customer satisfaction review every 3 months or so and keep a record of it.

I'm in the process of getting business stationary done, so I'll knock up a satisfaction critique on this. I think CP sent me one of theirs when I signed up, so I'll use this as a template.

I'm also looking at putting a website up, to promote the business.

I need to sort out a few working practises, such as my work email sig - the client requested I use their standard company format, so I'll try & insert some wording to differentiate it from a permie.

Other things I've learnt over the period is things like trying to keep out of team meetings where possible, and not using the canteen as a rule. I'm also now remembering to introduce myself in meetings as working on behalf of the client, rather than "I'm [me] from [client]".

**vetran** · 4 January 2007, 16:30

2 euro cents

from my limited knowledge no pun intended.

1. Self billing not a problem AIUI - loads of businesses do EDI and buyer based invoicing - in fact most of the OEM's insist on it.

2. how? Not trying to suggest daily rate includes VAT - surely?

3. Its OK as long as CP's MD becomes personally liable for any of their shortcomings. Highlight the number of agencies that have gone to the wall.

Point out to the agent the last thing they want to do is create a static link between a person and them, that leads them wide open to employment claims etc. Suggest a minimum level of insurance instead, copy of certificate to be lodged with agent, point out you could if faced with a direct claim just wind up your assets and move to Sydney. An insurance company will pay out.

4. see 3 the customer or agent don't want to link you personally directly to their company or agents.

Did you opt out? were you coerced to opt out? You may be able to extract the agent if opted in or coerced, at the very least you weaken their position.

If you are prepared to walk (i.e. have an alternative customer) or veryu confident then get a professional contract review and then politely present the review to the agent, your deal is with them not the client. Explain the cost in IR35 terms, how much more they will need to pay you to make it up etc. The professional review does impress them. I told the end client I was going to do this out of courtesy and they said fine so long as it doesn't affect me.

Most likely reason they gave you a rubbish contract is because they can't be bothered or are too stupid to give you a good one, educate them.

Give client & agent personal project schedule once known and keep them updated with progress, they can't complain of poor service / workmanship if they are constantly accepting status updates without challenge.

IANAL

**vetran** · 4 January 2007, 16:40

Other little things

Make sure you are registered as contractor on their email, security systems, canteen & HR systems, number of good reasons can be given to the client for this

1/ security & risk - clearly labelled as a contractor people know to restrict company confidential information on a need to know basis.

2/ professionalism - If you are clearly seen as an external consultant people know how to handle your involvement and you won't be dumped with ancillary work & training that may stall the project. Also means youi avoid all that team building rubbish we on the dark side have to suffer.

3/ special deals - obviously pay the contractors rate in the canteen etc so employees still see it as a benefit. Avoid getting bumpf about the pensions etc.

Website is easy just a 1 page with a phone number won't take you long, headed paper knock up on colour laser, business cards spend some money on.

**zamzummim** · 4 January 2007, 20:44

A very useful thread !!

I was out of contracting for the last year or so, now am back I am noticing that some agencies' attitude has completely changed, some of them are members of the PCG, and hardly any of them are asking me for leads, i.e. if I say sorry am not available, I just accepted a contract, no one was interested to know where, what and who.

Also the agency I got the gig through this time actually did ask me for a reference before the interview, they took a long time to interview me, so I gave them the name of an ex manager who I trusted well (after taking the manager's permission) the manager got back to me, told me they were very professional and asked regular reference questions etc, and didn't try to sell services.

Anyhow I have a question, some of you says that you send an email to the client confirming what you are going to deliver, I just started this project, its a change management and the programme is huge, as I have vast experience in both system and organisational change am getting pulled into all kind of directions, I know from previous experience this is a very dangerous thing, I'll end up doing a bit of everything and may not be able to do the tasks in the required in-dept... what does the panel here think, is it best to keep a hand in lots of stuff (i.e. considered valuable for all workstreams) or just stick to one set of deliverables in one workstream and say to the others its not my job!! I've always found it hard to say 'NO' to people asking me stuff and by nature like to have an overarching roles, but don't want to rum myself down and do all sort of tasks while not getting paid for them.

**Denny** · 4 January 2007, 23:04

Originally posted by zamzummim

A very useful thread !!

I was out of contracting for the last year or so, now am back I am noticing that some agencies' attitude has completely changed, some of them are members of the PCG, and hardly any of them are asking me for leads, i.e. if I say sorry am not available, I just accepted a contract, no one was interested to know where, what and who.

Also the agency I got the gig through this time actually did ask me for a reference before the interview, they took a long time to interview me, so I gave them the name of an ex manager who I trusted well (after taking the manager's permission) the manager got back to me, told me they were very professional and asked regular reference questions etc, and didn't try to sell services.

Anyhow I have a question, some of you says that you send an email to the client confirming what you are going to deliver, I just started this project, its a change management and the programme is huge, as I have vast experience in both system and organisational change am getting pulled into all kind of directions, I know from previous experience this is a very dangerous thing, I'll end up doing a bit of everything and may not be able to do the tasks in the required in-dept... what does the panel here think, is it best to keep a hand in lots of stuff (i.e. considered valuable for all workstreams) or just stick to one set of deliverables in one workstream and say to the others its not my job!! I've always found it hard to say 'NO' to people asking me stuff and by nature like to have an overarching roles, but don't want to rum myself down and do all sort of tasks while not getting paid for them.

The e-mail to client idea would be unnecessary and is probably useless in an IR investigation. Just telling the client you are a business and how you will deliver won't impress the IR one bit. Any idiot could do that. It would carry more weight with the IR if you had a Schedule of Works drawn up with the main deliverables for a set period listed on it. Get one drawn up if you haven't already.

That way you can tell the client that those deliverables will be worked on a certain way. Present your client with a Confirmation of Arrangement document, if you are unsure. That makes it a bit easier to take on ad hoc work if requested but make sure it's compatible with what you are meant to be doing anyway and preferably forms a subsidiary part of it, otherwise you are straying dangerously into a MOO situation whereby your time is considerable more important that the deliverables you are being hired for and are just a worker on site.

The point is to make yourself cooperative without screwing up your IR35 exemption position.

**vetran** · 5 January 2007, 00:29

Actually I was suggesting slightly more than an email, a self generated project plan presented to the customer is useful for many reasons.

1/ same hymn sheet. Clarify objectives.
2/ Cover your rear.
3/ limit your deliverables to ones you actually know about.
4/ help plan work & timing to avoid surprises.
5/ Establish reason for renewal.
6/ Look professional.
7/ upset Hector.

probably in that order.

I'm rubbish at doing them, but when I bother it saves a whole world of pain.

**XLMonkey** · 5 January 2007, 11:46

Originally posted by Denny

The e-mail to client idea would be unnecessary and is probably useless in an IR investigation. Just telling the client you are a business and how you will deliver won't impress the IR one bit. Any idiot could do that.

...but, oddly, most idiots don't.

Not sure I agree with the gist of this - mainly because my understanding of the application of IR35 is that it rests on the demonstration of an implied contract, rather than what is set out in the written contract.

The cases that I've read about (and the one that I was personally involved in), centred around an HMRC argument that went
"regardless of what's written in the contract, the actual working arrangements were those of an employment relationship. Therefore, an employment contract existed".

and a defence went along the lines of
"the actual working relationship was clearly not that of an employee to employer, look at all this evidence (emails, customer satisfaction forms, reports, milestones, as well as contracts) to the contrary"

Therefore, I view things like emails, progress reports and all of the other, less formal records, as being very useful. In practice, the case officer from HMRC felt the same (as she dropped the investigation in pretty short order once they were presented).

Contractor 101, end of 1st term!