Surviving Recession Through Contracting

By Alexander Tang

Just been made redundant, can't secure a new job because of age. Difficult to find new positions in a recession. Have experience and valuable skills. You can find alternative employment by being your own boss through contracting.

• Language: English
• Publisher: Lulu.com
• Release date: Apr 11, 2011
• ISBN: 9781447634416

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Preface

As an IT specialist in 2001, I found myself a casualty of the dot.com bubble crash and out of permanent employment. Bewildered and frightened at the prospect of being unexpectedly with no income, I frantically searched for work in a shrinking market amongst growing competition. At that time luck was not with me and as my desperation grew I began applying for non-permanent roles, after all short term financial stability was better than none at all!

Eventually, following a successful interview, I was offered a short term (6 months) Security Analyst contract with a big utilities firm and was asked to provide details of either my Limited Company or the Umbrella Company that I would be using. At this point I was at a complete loss and had no idea what the client was asking! I desperately needed guidance and turned to the recruitment agency (which unbeknown to me was also an Umbrella Company) for advice. Predictably I then opted for the Umbrella Company to manage my invoice and payment as this seemed to be the most straightforward option. All I had to do was get my time-sheets signed by management and faxed to the recruitment agency.

As my contract end date approached I was informed that my contract was not up for renewal. Though disappointed and apprehensive at the prospect of being out of work again, I was grateful for the notice period and began my search for another contract role. The economy at this point had not yet recovered and getting another contract was not easy, but after a number job interviews I did eventually manage to secure another contract.

Around this time, I began meeting other contractors; they gave me advice on how to maximise returns from my rates. Through them I learned the pros and cons of using an Umbrella and Limited Company. As my confidence and understanding grew, I began to enjoy the freedom, rewards and challenges contracting offered.

Presently I am still contracting my services, though no longer via an Umbrella Company. I now trade through my Limited Company which, in addition to managing my contract hires, offers a range of business services including Book Publishing, E-commerce Trading as well as