Quote:
Originally Posted by WhiteBear101
Hi experts,
I thought i'd post this question in here rather than in the accounting & legal section. I'm not sure if it will get through moderation but here goes anyway.
I work through an Umbrella Company - have done for about 6 weeks now.
Having spent a bit of time on line recently, it seems like this whole Agency Workers Directive thing is a really big deal. I wasn't in the industry when IR35 was introduced but certain people are saying that AWD could be as damaging.
I guess my question is this....
I want to make myself as marketable as possible, particularly to the recruitment agencies. With this in mind, will I still be able to work through an Umbrella Company in two years time or should I start making plans to setup my own limited company in advance of AWD?
Thanks
WB |
Short answer is that a professionally constituted umbrella will allow you to contract now and in the future. The same is of course the case if you set up your own company. As drafted (and we are in consultation) there is also contradictory information on
PSC status as part of
AWD too.
Many contractors use an Umbrella for the speed of setup and getting a foot on the ladder and then some choose to set up a company thereafter. For an Agency there is less hassle with using an Umbrella but of course most are very happy to work with you via a
Ltd business.
AWD will be most damaging for those providers that perhaps take a tax based route to market and will be less onerous for the high end Umbrella space where rights and forms of contingent workforce management is relatively common place.
Main issue is of course that "Umbrella" masks many forms and will BIS have resource and energy to police a difficult area? I hope so.
My advice would be to concentrate on the role and career and use the most appropriate form of trading entity that matches your views on risk and whether you aim to be "in business" or wish to use a professional employment solution.