Choosing an umbrella company shouldn’t be a decision taken lightly. After all it is your umbrella company that is responsible for safely delivering your income to you!
Often contractors are ‘guided’ towards a specific umbrella company by their recruitment agency. That’s fine as long as it is a reputable, compliant organisation that offers the service you expect. We’d recommend that whatever you are told about a prospective umbrella company you should always check them out yourself before trusting them with your hard earned pay.
Here are some basic things to check for:
- If your recruitment agency recommends an umbrella company ask them
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- How long they have worked with them
- If they have credit checked them
- Take a look at the umbrella company’s website
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- Is their address clearly displayed? Be very wary of a business that doesn’t appear to have a proper office base.
- Are they UK based?
- Do they have a professional online image? (A professional looking website may not always be an indication of a reputable company but a website that doesn’t look professional is definitely an early warning sign of one that isn’t!)
- Do they have good feedback from current customers/employees
- Are they making realistic promises? Using an umbrella company is often the most tax efficient way to be paid if you are a contractor. However you should be cautious of unrealistic take home pay offers. All expense claims must be allowable and tax is still payable. If an organisation suggests you can claim expenses without producing legitimate receipts then alarm bells should be ringing!
- Look for personal recommendations. Do you know anyone who is using them? A recommendation from someone you know can be a good indication that an umbrella company is reliable and offers a good level of customer service.
- Will you have a dedicated Account Manager?
- Do they have a service level agreement in place?
- Are they members or associate members of the FCSA?
Call the company you are considering and see how helpful they are. Be sure to speak to someone directly and ask questions. They should be able to answer confidently and reassure you that they are fully compliant. Being able to register and manage your details online can be an advantage particularly if you work long or anti social hours but always check that you can phone during office hours and speak to a real person if you ever need to.
Here at Exchequer Solutions we’re happy to talk to you about our service and what we can offer. Whether you are new to using an umbrella company or are considering changing if you have any questions at all just ask and we’ll be happy to talk you through everything.
