Advise on contracting via another ltd company Advise on contracting via another ltd company - Page 2
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  1. #11

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    If it's a genuine case of sub-contracting via a B2B arrangement, a statement of Ts and Cs for the engagement between yourco and theirco should be sufficient. Amicably discuss the payment schedule (you may have to settle for a lower rate if they have to invoice factor and pay you weekly for example) and other things that you consider key (IP, etc.) and get them documented and signed off by a director from both parties.
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  2. #12

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    Quote Originally Posted by xenomorph View Post
    Apart from payment terms is there anything else I should be aware of?
    Anything to cause problems.
    Get all your correspondence on the matter spelling and grammar checked...

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  3. #13

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    Quote Originally Posted by northernladuk View Post
    Get all your correspondence on the matter spelling and grammar checked...

    HTH
    You mean ensure the contract is checked for grammar and spelling errors?
    Or you joking? lol

    Quote Originally Posted by LondonManc View Post
    If it's a genuine case of sub-contracting via a B2B arrangement, a statement of Ts and Cs for the engagement between yourco and theirco should be sufficient. Amicably discuss the payment schedule (you may have to settle for a lower rate if they have to invoice factor and pay you weekly for example) and other things that you consider key (IP, etc.) and get them documented and signed off by a director from both parties.
    They mentioned I could get better rate as less fees will be charged on the day rate vs against agency. But I suspect if they take £50 a day from my rate it would only leave me with £25 extra a day which is what the total cost of agency fees were for the client.
    Last edited by xenomorph; 3rd June 2020 at 20:31.

  4. #14

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    Quote Originally Posted by xenomorph View Post
    You mean ensure the contract is checked for grammar and spelling errors?
    Or you joking? lol
    Advise on contracting via another ltd comoany
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  5. #15

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    Quote Originally Posted by northernladuk View Post
    Advise on contracting via another ltd comoany

    oops did not even notice that!
    cant edit it now

  6. #16

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    Quote Originally Posted by xenomorph View Post

    oops did not even notice that!
    cant edit it now
    So need some advise on any major risk of the following

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  7. #17

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    Quote Originally Posted by xenomorph View Post

    oops did not even notice that!
    cant edit it now
    I can.

    But I like the idea of limited co-moany.
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  8. #18

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    Quote Originally Posted by xenomorph View Post
    They mentioned I could get better rate as less fees will be charged on the day rate vs against agency. But I suspect if they take £50 a day from my rate it would only leave me with £25 extra a day which is what the total cost of agency fees were for the client.
    All down to trust for you then - I've operated like that on a paid-when-paid basis. No timesheets to worry about because there's nobody to sign them.

    I presume yourco will be invoicing subcontracting co? If so, do it in the first couple of days of the next month for the previous month's work:

    x consultancy days @ £y
    create the total
    add the VAT
    expect that amount z days later.

    There are standard templates for this online.
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  9. #19

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    Quote Originally Posted by LondonManc View Post
    All down to trust for you then - I've operated like that on a paid-when-paid basis. No timesheets to worry about because there's nobody to sign them.

    I presume yourco will be invoicing subcontracting co? If so, do it in the first couple of days of the next month for the previous month's work:

    x consultancy days @ £y
    create the total
    add the VAT
    expect that amount z days later.

    There are standard templates for this online.
    Yes it would me by company having contract with other persons company.
    Will have a look at those templates and see what they think about payment terms.
    Thanks all

  10. #20

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    Quote Originally Posted by xenomorph View Post
    Yes it would me by company having contract with other persons company.
    Will have a look at those templates and see what they think about payment terms.
    Thanks all
    As I said, all down to trust - if you trust the guys you're subcontracting for then the only issue is them not getting paid by the client for the work you've done.

    Part of the job when there's lack of timesheets (if there will be in your case) is to drop a summary of work carried out each week to the people that you'll be invoicing to demonstrate what you're delivering each week. That's purely to prove that you're invoicing genuinely for 10, 15, 20 days, whatever it may be.
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