subject: Freelance Contractors Freed from Red Tape! [print this page] Freelance Contractors Freed from Red Tape!
Freelance Contractor Admin and Paperwork
Temporary workers, contractors and interim professionals all require some means of handling their paperwork, red-tape and record keeping.
The best option, and the most cost effective, is to use the services of an umbrella company. You get a turn-key solution, ready-to-use and fit for purpose, for a few pounds a week.
Is an Umbrella Company the Only Option?
Not at all, there is a choice of options. However, you cannot be self-employed nor a sole-trader.
You have to find a means of trading through a limited company. The three options any freelance temporary worker has are as follows:
Set up and manage your own limited company. This requires quite a lot of your time on record keeping, form-filling and red tape.
Work through your recruitment agency. Some recruitment agencies offer this service to their contractors. This is not a popular option and the worst in terms of net earnings.
Use an umbrella company, they do all the above at a lower price. It's an all-in-one service and handles everything from start to finish.
Are Umbrella Companies All The Same?
Some services of an umbrella company are the exactly the same whichever one you choose. There are key features common across all the umbrella companies. These are:
Limited company status
Invoicing and credit control
Dealing with HMRC
When you're deciding which umbrella company to choose from, you should compare everything else over and above these aspects.
Are Umbrella Companies All Different?
The main differences between contractor umbrella companies comes down to matters like the ease of handling your account, how quickly your paperwork and customer service.
Is it important you receive your money quickly?
Some umbrella companies have one weekly pay run, others will do it every day.
Do you want easy access and 24/7 online facilities?
Some umbrella companies ask you to send in a copy of your timesheet and will manually raise an invoice to send on to your recruitment agency. Others allow you to do submit your timesheet through an online facility.
Problem solving
You need to decide whether you are happy to submit any queries and questions by email, or prefer the option of being able to talk on the phone?
Don't Worry!
Price plays a part in your decision making process, but that should not be the single deciding factor. There are some qualities that are more important than saving a few pounds each week.
Consider the importance to you of a regular and reliable service.
The best and easiest way to chose your umbrella company is to visit ContractorSupermarket, there are over 100 of the UK's top umbrella companies listed. Every one is rated and ranked by their own customers.
Plus, there's a load of information for first time contractors. Everyting you'll ever need to know about contractor umbrella companies.
