Guide To Becoming A Professional ContractorIntroduction
This is a guide for those professionals who are in permanent employment and would be interested in understanding what it means to be a freelance contractor. Much of this guide may seem obvious to UK professionals, where contracting is more widespread. However, many people have not yet been exposed to the concept of "being freelance". The guide shall therefore seem very basic to many seasoned contractors, but should act as a serious guide to newcomers.
What is a "Contractor"?
IT contractors (or "freelancers") are consultants who provide specific IT services to a company for a set fee and duration, rather than being employed by that company.
Most contracts become long-term, often lasting for years at a time. Even if a contract starts as a short-term assignment, the nature of specific IT expertise is such that contract extensions are normal practice. Alternatively, if contractors have, say, holiday plans, they may opt for a short-term assignment as a "fill in" for a limited duration.
Traditionally, IT contractors are paid more (much more) than permanent employees, partly in order to compensate for the "uncertainty" of being independent and on a fixed-term contract. However, the current IT market-place insures that consultants can move from one contract to another without a break.
Contractors are therefore always in work and earning high salaries, which makes contracting a very attractive option, compared to almost any position as an employee.
Why is there a need for so many contractors?
The implementation, Development, or Support of any systems stretches the personnel and expertise of any IT department to the limit. However, the skills are only temporary. Once the system, Support or Development has been successful, the head-count in the IT department drops. Many companies therefore prefer using contractors for their projects / problems to hiring new staff and investing money and resources into them (only for them to leave with all their know-how as soon as the project is over).
What are the advantages of being a contractor as opposed to a permanent employee?
The main reason that people choose to be a contractor in the world of IT is financial.
Even more the case of Niche Markets: As a freelancer working with specific skills and knowledge through a reputable agency you can expect to earn up to several times what you can earn as a permanent employee. A contractor does not have to climb the management ladder in order to advance career and income.
There is no hierarchy - an independent consultant may be well rewarded for technical abilities alone. As an independent contractor you are your own boss and therefore more able to develop your own business opportunities.
More variety - contractors need never be bored as they can choose which assignment they take.
Travel - It is the contractor's decision whether they travel the world or stays near their home.
Many consultants who have worked for large management consultancies are tired of being sent all over the world for months at a time and working ungodly hours in anonymous subsidiary companies.They find that being a contractor gives them more chance to find an interesting long term assignment near their home and be with their families and friends.
On the other hand, clients are located worldwide, from Asia to Europe the US and South America.If a consultant is willing to travel, he or she can have the pick of the contracts available and has the opportunity to sample new cultures and lifestyles.
Holidays and other planning considerations - as an independent contractor, everything is negotiable, so you are free to take a holiday whenever you wish, within the bounds of professional conduct of course.
|
