New to the site, New to freelance - have not got a clue

[MonkeyTurnip]

Hi,

I've finally decided and going to take the plunge into self employment. but thats as far as i know. i'm a CAD guy, with 16 years experience who is just about to be made redundant. the company i work for have said that they will contract me as and when, and a few other contacts are interest in my services too.

But to allow me to use any of my contacts, they all require i do things properly, and set myself up correctly. Which is where i fail. i have done alot of reading, and i am totally confused. and thats why i'm here.

[TheFaQQer]

I've finally decided and going to take the plunge into self employment. but thats as far as i know. i'm a CAD guy, with 16 years experience who is just about to be made redundant. the company i work for have said that they will contract me as and when, and a few other contacts are interest in my services too.

Why are you looking at freelance, rather than any other permanent opportunity? What attracts you to freelancing? How are you expecting to find work? What is the market like for your skillset, both in terms of availability and rate? How much have you got saved for when things go wrong?

If your company still has work for you (which is what you imply if they will contact you as and when), how are they justifying that your position is redundant? Don't believe that they will, by any means.

But to allow me to use any of my contacts, they all require i do things properly, and set myself up correctly. Which is where i fail. i have done alot of reading, and i am totally confused. and thats why i'm here.

Have you read the first timers guide? Have you looked at the PCG website for new starters? Have you done any calculations?

When you have some specific questions, you should find the advice here good - but make sure you've read the guides and have real questions or you'll get shot down.

Welcome to the real world

[northernladuk]

You sure you are not putting the cart before the horse here? Chosing your business model without working out where your business is coming from?

Working for your old employer isn't good. Read up on IR35.

I know two ex contractor CAD guys that now have completely different careers due to not being able to get work for 6-12 months a time. One kept his house, the other had to downsize.

I love this comment...

'I've finally decided and going to take the plunge into self employment. but thats as far as i know.'

I have decided to take the plunge to become a multimillionaire entrepreneur but that is far as I know. That is why I went back to doing what I know best..... know what I mean.

[MonkeyTurnip]

Why are you looking at freelance, rather than any other permanent opportunity?

After a year of looking for work, there is very little out there as a permanent option, and what there is is wither for a graduate on NMW or just above, and miles away, or they want an engineer who can also do CAD. they are not really that interested in an experienced CAD guy. But there are lots of contract work, from 4 weeks and up, the rates they offer are very attractive, but in some cases they want someone now, and not wait for a notice period. with going free lance, i can do these fixed term contracts, as well as bring in some of my own work. If i have to work evenings and weekends so be it, i already do.

What attracts you to freelancing?

the chance to finally be responsible for my fate, and not have others decided it for me.

How are you expecting to find work?

in no particular order

Through agencies in the start.
There are specialist portals where you can pick up work from.
advertising on the internet,
mail drops to small/medium companies

What is the market like for your skillset, both in terms of availability and rate?

Strong, but also bloated. there are a number of people who say they can do CAD, but do not have the experience/quality/and speed i have. plus i have possibly unique experience in many varied industries. Rates vary depending on type of work, time scale etc. but they all seem reasonable - taking into account tax etc.

How much have you got saved for when things go wrong?

approx £6000, and growing.

If your company still has work for you (which is what you imply if they will contact you as and when), how are they justifying that your position is redundant? Don't believe that they will, by any means.

they have some work, but its sporadic, its not like they have enough for a full time position. but also contacting to them, i will be cheaper as a freelance, than i would being employed, but be able to take home more per hour. the internal invoicing is a joke. at the moment i cost any project £40p/h. that my minimum, that includes PII, tea, electric, buildign costs, IT costs, etc. i'm supposed to be charged out to clients at £65p/h minimum. I can charge them alot less than the bottom figure, they make more proffit.

Have you read the first timers guide?

Not yet, i have only just found it

Have you looked at the PCG website for new starters?

again, not yet.

Have you done any calculations?

some, but i dont know what i'm supposed to be including etc.

When you have some specific questions, you should find the advice here good - but make sure you've read the guides and have real questions or you'll get shot down.

no worries

Welcome to the real world

Thanks. Theres a funny smell.

[MonkeyTurnip]

You sure you are not putting the cart before the horse here? Chosing your business model without working out where your business is coming from?

Possibly, I could have worded my OP better. i do know where some of my work will come from, i would be lying if i knew where all of it will come from. i do have a part time job that i can use as a back stop to being in some cash, but its not alot and is seasonal. i know it wont be easy to start with, and i already have a couple of people i do some casual work for already. again though that is not enough to live on.

Working for your old employer isn't good. Read up on IR35.

Ok, will do

I know two ex contractor CAD guys that now have completely different careers due to not being able to get work for 6-12 months a time. One kept his house, the other had to downsize.

I dont "own" a house, i rent. the way the market looks, i cant see why i would be out of work for 6-12 months. thats not being balshy, but i have alot of strings to my bow, and can and will do most things (legal) for money. there is alot of fixed term contracts out there for CAD now, as businesses see it as an expensive overhead, when they can just buy in the skill when they need it. hopefully i can get "in" with one of these companies, and they keep comming back for repeat work. but then that might not happen.

I love this comment...

'I've finally decided and going to take the plunge into self employment. but thats as far as i know.'

I have decided to take the plunge to become a multimillionaire entrepreneur but that is far as I know. That is why I went back to doing what I know best..... know what I mean.

I'm glad i can amuse. what i should have said was more along the lines of gathering all relevant information. its not a 100% guranted done deal, that i'm going to be freelance. i could tomorrow be offered a permanent role. but i'm trying to make the best informed decission for my future. and one is going freelance, as i have a skill people/businesses are willing to "buy" in when they need it. i would just need to make sure that its my phone they ring.

[TheFaQQer]

I think you know more than your original post implied - you've got some answers to the questions I and NLUK put, which is a good start

Be wary of expecting work to be there - make sure that you don't blow everything expecting there to be a market. I turned down an extension some years back and then had nearly 7 months of not working (partly through choice, but not for that length of time).

Don't look at things to buy and think "oh, that's only a couple of days work..." - it doesn't work like that. Also, if you go that way, there is a chance you'll never take a holiday because it "costs too much". I worked with one guy who worked all the time - one day off in two years on the contract, worked weekends where possible. No life outside the project makes you dull (and in his case, he was pretty dull without it, I reckon!).

Final tip - stay out of the General forum here until you've found your way a little bit Advice in the professional sections (Business/Contracts, Accounting/Legal) may be "plain talking" but you're very unlikely to face the abuse that General will throw your way!!

Good luck with it.

[MonkeyTurnip]

I think you know more than your original post implied - you've got some answers to the questions I and NLUK put, which is a good start

yeah, on reflection i did. but i think what you 2 asked, helped me actually think about it and put it in writing. but its all the legal stuff/tax, etc that i am confused on. (the boring, but very important bits) i've read so much, and its contradictory in some parts, and not in idiot speak.

Be wary of expecting work to be there - make sure that you don't blow everything expecting there to be a market. I turned down an extension some years back and then had nearly 7 months of not working (partly through choice, but not for that length of time).

fully aware of that. seen it happen to friends etc.

Don't look at things to buy and think "oh, that's only a couple of days work..." - it doesn't work like that. Also, if you go that way, there is a chance you'll never take a holiday because it "costs too much". I worked with one guy who worked all the time - one day off in two years on the contract, worked weekends where possible. No life outside the project makes you dull (and in his case, he was pretty dull without it, I reckon!).

thats not me, i am more like the guy in your example, I've had some major cash issues in the past. i didnt go Bankrupt or IVA, but it was bleak. i learned the value of money though. my biggest weakness is i like my toys (gadgets of any description, if it has buttons and lights its like catnip to me, chrome.......i'll fight you for it). and what will be hard, will be cutting down on those until i can actually afford them. but i do run the risk of working every hour. but i have a very good everything manager, who will make sure she gets the Holiday's, and if she goes i do to. but i could take a laptop with me......

Final tip - stay out of the General forum here until you've found your way a little bit Advice in the professional sections (Business/Contracts, Accounting/Legal) may be "plain talking" but you're very unlikely to face the abuse that General will throw your way!!

yeah, about that......i had a look

Good luck with it.

Thank you

[northernladuk]

The most important thing before starting on your own.. Do you like gladiators?

[MonkeyTurnip]

The most important thing before starting on your own.. Do you like gladiators?

for 15 mins, i have pondered this question. i have walked the meditation garden to seek my true feeling on said subject. i have seen things i do not wish to explain. and in this time i have come to the conclusion


yes, yes i do like the gladiators. But what has that got to do with the price of fish?

[cojak]

It's all part of the rich charm of CUK.

That and bleeding radiators...