How to become an IT Contractor - Becoming an IT Contractor

Best advice from Parasol Group
Over 47,000 satisfied contractors.
Umbrella or Ltd? We can help. Call 0800 458 0818.

Dan Pink describes an intensification of freelance working in the UK

Posted Dec 2, 2011

Dan Pink has studied contractors and freelancers (more commonly referred to as "free agents" in his native America) and the world of work for the last 14 years ever since he gave up his career as chief speech writer for Al Gore.

In the headline freelance webinar for National Freelancers Day 2011, he describes the "intensification" of freelance working in both the UK and the US, and explores the changing relationship between individuals and organisations.

Freelancers are indeed at the cutting edge of what Dan calls the "efficient economy" where specialist talent can be sourced more precisely than ever before through the Internet.

A large number of contractors, in particular, have developed this particular way of working that is increasingly gaining recognition in business but that, sadly, is still considered by many people in many organisations to be an "aberration" and still lacks substantial support from policy makers; although, it was interesting to note a prominent endorsement from the Prime Minister, David Cameron, for National Freelancers Day 2011, which could herald an increasing level of awareness at senior political levels within the UK.

What is unequivocally clear, as Dan says, is that "...[previously] in Western Europe [...] there was a social contract of work in which the individual would give the organisation loyalty, and the organisation would give the individual security [but] that bargain is kaput." He argues that there has been a fundamental shift over the last few years and there is now a "new bargain where people exchange talent for opportunity". This should come as welcome news for the thousands of contractors and freelancers who invest huge amounts of their own time and money developing valuable expertise and gaining sought-after qualifications.

How can freelancers get ahead?

Finally, Dan offered the following practical advice for freelancers in the UK who want to really get ahead:

"...I think what's really important is to make a concerted effort to talk to people within your profession. One of the ways that people are finding gigs, [and] one of the ways that people are getting better at what they do, is through professional associations either online, ad hoc, [or in] small groups of people. That is, this idea that somebody is a freelancer or free agent means they're entirely isolated and solo is completely wrong. It's very important to plug yourself into other kinds of networks, whether it's through social media or whether it's through face to face or, ideally, both. That's a good way to keep your skills sharp, to keep your connections up there..."

He went on to add that, "...It's also very important that you have the business 'chops' and know that you're also a business person... You have to wear multiple hats when you're working for yourself [and] you're going to get rained on if you don't wear the business hat..."

More from Dan Pink

Dan Pink has written several bestselling books about the changing world of work that can be found on Amazon.

- Drive: The Surprising Truth About What Motivates Us
- A Whole New Mind: Why Right-Brainers Will Rule the Future
- The Adventures of Johnny Bunko: The Last Career Guide You'll Ever Need
- Free Agent Nation: The Future of Working for Yourself

Find the full recording of the freelance webinar at nationalfreelancersday.org.uk.

This article was written by Peter Roy, a freelance project manager and productivity consultant.

All content ©Contract Eye Ltd. Protected by Copyscape. Please scroll down for related articles.

Contractor Services


Related Articles

Doubts raised over effectiveness of 50p income tax rate
This week's public finance statistics show that the total tax received via the self assessment process fell compared to 2011, raising doubts over the effectiveness of the 50% additional tax rate.

EU agrees to cut accountancy burden for small limited companies
The EU has adopted a directive which will exempt many small companies from the accounting obligations they currently have, meaning that most contractor companies may no longer have to submit complex accounts each year.

Contractor accountant warns against anti-limited company rhetoric
Following the recent attacks on public servants who have been remunerated via their own personal service companies rather than PAYE, a leading contractor accountant says that the strong anti-limited company rhetoric we have seen in the last few weeks is damaging to the country's flexible workforce.

PCG warns against limited company hysteria following public sector remuneration revelations
The PCG is concerned that the current media hysteria over how some civil servants are being paid may give one-person limited companies a bad name.

Further IR35 irony as 25 DoH staff paid via their own limited companies
The Guardian has obtained leaked emails which suggest that more than 25 Department of Health staff are paid via their own personal companies, rather than by the more traditional tax route.

Accountant says Rangers administration fisaco should be a warning to contractors
Following the news that Rangers FC has gone into administration, a specialist contractor accountant has warned contractors that offshore EBT schemes can prove very expensive in the end.

Contractor accountant faces jail stretch for stealing clients' funds
Darren Upton, who ran a contractor accountancy firm for many years, faces 6 years in prison after being found guilty at Leeds Crown Court for using his clients' tax money to fund a luxury lifestyle.

HMRC business record checking programme suspended
HMRC much-criticised business record checking campaign has been postponed, pending changes to make the checks more targeted and 'educational'.

Contractors should benefit as web economy set to double by 2016
A landmark report from the Boston Consulting Group outlines how the digital economy is set to boom over the next five years, providing ample opportunities for contractors.

David Miliband accused of hipocrisy following income shifting revelations
The Daily Mail has revealed that the former foreign secretary has been channeling his lucrative post-Westminster earnings through a limited company, where the shares are split equally between himself and his wife.

Compliance and security key to ongoing success of Parasol
Parasol Group has announced strong results over the past year, and says the firm's commitment to compliance is a key factor in its ongoing success.

Temporary workplace expense schemes under scrutiny after HMRC wins major tax case against Reed
A landmark tax tribunal case has found a leading employment agency to be liable for substantial back taxes, after 500,000 temps were reimbursed for expenses, which should have been paid as salary.

Self employed numbers reach record high, but FCSA calls on Government to support flexible working
The latest UK employment figures show that although the unemployment rate now stands at 8.4%, the number of 'self employed' has reached a new high of 4.2m.

Clients urged to take more care preparing specs, as most IT projects deemed 'unsuccessful'
A software firm has urged the UK's businesses to take more care when providing specs for IT work, to avoid going over budget, or even having to shelve projects entirely.

Time running out to register for self assessment online
HMRC has reminded taxpayers new to self assessment that they only have a few days left to register for online submission.

Qdosconsulting

Looking for a new service provider?

Accountants
Umbrella Companies

More Contracting News