Top 5 Qualities To Look For In An Umbrella company
Many people are now considering the services of contractors and the industry has exponentially grown over the years. As a result of the rise of the need for contractors; umbrella companies have also become popular because they literally make the lives of contractors easier.
An umbrella team will handle the admin tasks for the contractor or freelancer. This is very beneficial to the contractor since they do not have to go through the hassles of creating a limited company and they can instead focus on their projects knowing that the umbrella team is taking care of the back-office requirements.
What To Consider In An Umbrella Services Team
If you are a contractor and you think that you can greatly benefit from an umbrella team; then here are the top 5 factors to help you choose the best company:
- PSL or Preferred Supplier List
Recruiting firms or end clients rely on their PSL which is a list of different suppliers that helps them get the job done. Check if the umbrella is listed on the PSL which is a good indication that they are efficient in the industry.
- Track Record
The umbrella must have extensive experience and a good reputation so that the contractor will have that peace of mind knowing that they are dealing with one of the best in the industry. Choose a reputable company with a proven track record showing that they are adept in assisting contractors.
A legitimate Umbrella company must be transparent in all of its transactions. There should be no hidden fees or anything that is not stated in the contract. The umbrella must be able to provide a complete breakdown of the payslip ensuring that the contractor will get compensated according to the timesheet that they have submitted.
The umbrella must not have any add-on fees such as termination or joining costs. The contractor on their part must ask pertinent questions and get as much information so they can choose the most able company.
- Comprehensive Contract
The umbrella must be able to provide the contractor with an employment contract that is comprehensive and reasonable. The contract allows the contractor or freelancer to have the same benefits as regular employees.
The contract must indicate the benefits such as holiday pay, maternity or paternity leave or sick pay. As a contractor; always demand that these benefits are stipulated in the contract since it is your right and privilege.
- Clear Payment Processing System
Most umbrella companies may be handling several contractors at one time which may lead to delays in payments. However, a good umbrella team will have an operative payment system which means that there will be no delays or any other related problems.
A reliable umbrella team will make sure to keep track of the contractor’s receipts and will regularly update the contractor on which costs are allowed and other relevant information. The umbrella team must always have the best interests of the contractors at heart.