Starting out as a contractor requires confidence, a clear idea of what you can offer, and, ideally a pot of money to fall back on.
Look at job adverts
There are a number of reasons why checking permanent positions can be more productive than browsing adverts for contract vacancies:
• Often companies seeking a full-time employee will consider a contractor in the interim
• Recruiting full-time staff is one indication a company is expanding or undertaking a project, in which case it is likely they will require interims at a later date. Contacting them early puts you in a good position to exploit their needs later on.
• This approach opens a door into the organisation which may lead to work years down the line.
Look at both full and part time job adverts and make contact with the company send them your CV. If possible take the time to visit them.
Be realistic about your capacity to earn
Work on the assumption that you will possibly only earn for 50% of the available time and anything over and above that is a bonus in the current market.
If you cannot live off of that income level then contracting may not be the right move for you. When you’re not on a contract, you’ll be working hard looking for the next job and up-skilling or training.
Contracting is by no means the easy option – but it does allow great flexibility and greater freedom to determine your working patterns.
Choose a legal structure for trading
Decide whether you wish to set up a limited company, a partnership or to operate as a sole trader. Many opt for a company, which takes a little administration. CWJobs contractors can use SmartWork and planIT for exclusive contractor services.
Think through your offering
Write a great CV that reflects your unique proposition; contact and build a network of contracts with providers and go and meet them; above all, contact people in your personal network.
Do all of the above when you have work: it is easy to laugh off a rejection when it does not matter to you, and it puts you in a stronger negotiating position.
Have a pot of funds
Build up some spare cash for a rainy day – enough to tide you over for four months at least. You’ll need this when you start out. This will give you the confidence to hold out for the day rate you know you are worth.
Network and market yourself
Talk to a contractor and get their full story, warts and all, to see whether it’s a lifestyle that could suit you. Most people starting out on their own do so having been offered a contract position. Use this time to make contacts and market yourself. This should include looking at actual opportunities.
Find a good accountant
A specialist contractor accountant will save you more than they cost and be able to deal with all of the distractions such as PAYE, VAT and the dreaded IR35. Quite literally, they are worth their weight in gold.
You might also consider joining the Professional Contractors Group. CWJobs users get a 15% discount when they join.
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