IT Contractors need to get smarter to make a load of money

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Lots of Money
Lots of Money for Ex IT Contractor

Load of Money

IT Contractors need to get smarter to pull in a load of money.

I know from contracting that one takes whatever contract that comes along in whatever sector.

Contractors seldom ask an agency what sector the contract is in before quoting a rate.

They would do well to do a bit of swotting up before doing so if they want to make a load of money from IT Contracting.

Quoting Contract Rates

If their normal rate is £400 a day and they have a skill that can be used in Foreign Exchange then they may find the agency making a load of money out of them if they get the contract.

The going rate for Foreign exchange is £600 a day so the agency could easily quote £800 a day and have a 100% mark-up on the contractor.

No wonder agencies are always doing contractors over.

Contractors seldom do their homework.

Contractor Sectors

They just take the last rate they were on and add a little bit to it.

They don’t take the sector that the contract is in at all normally.

Also, all those who are working in the sectors near the bottom, e.g. Law could add 50% to 100% to their daily rates without working any harder by just changing sector.

Investment Banking

Of course, saying ‘change sector’ is easier to do than actually changing it.

It’s not easy to change from NHS to Investment Banking.

However, often different sectors use similar tools and languages. So, if you have those skills then you can hop sectors and make a load of money.

Next Contract

The trick, to make a load of money, is to realise that when you have hopped sectors that you stay in the lucrative ones and don’t hop back to the less lucrative sector just because that is the first contract that comes up.

I worked in multiple sectors when IT contracting and tended to take the next contract which came up in whatever sector if it matched the rate I was asking.

Contract Market Info

I should have been a lot smarter than that and had a lot more information on the job market at my fingertips.

After all this is the Information Age and they say that the biggest differentiator between companies will be the best access to the best information.

We should know that better than most – and should act upon it accordingly.

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