In terms of career preferences, contracting has risen to the ranks during the last decade, taking the overall number of self-employed professionals in the UK to 4.8 million, and their economic contribution to £255 billion, but why the popularity?
Firstly, the perks and upsides of running a limited company can improve productivity, a point highlighted in Matthew Taylor’s Review of Modern Working Practices. It may also be the autonomy, the freedom of choice, or the opportunity to break the glass ceiling that makes the career path so popular.
Here’s our three point round-up:
1. Autonomous to the core
As the director of a limited company, you’ll be responsible for the day-to-day running of your business, you’ll govern your own affairs, and you’ll practically be your own boss – a job not for the faint hearted. If you’re not keen on being tied down to a job description, and you’re all for feeling a sense of satisfaction for every contract you score– Contracting may be the way to go.
2. Workplace Wisdom
A positive working environment can breed a good work culture, after all – the best ideas are usually born in the most peculiar of places, this article by Fizzle backs up my point exactly. Huffington Post also refers to the 2020 Intuit Report which says, “Imagine a world where companies motivate and manage employees who never set foot in their corporate office,” which is where they think the workplace ethic is heading towards.
As a contractor, you can decide where you want your workplace to be, whether this may be a coworking space or your home – the decision is yours. Download our updated Limited Company guide to find out how you can claim back expenses for using your home as an office.
3. Breaking the glass ceiling
What’s a glass ceiling? It’s defined as ‘an unacknowledged barrier to advancement in a profession, typically used for women, but there’s no doubt that it also applies to men, as pointed out by the Huffington Post.
As the Director of a Limited Company, you’ve taken the first step towards shattering the glass ceiling above you as you’re the head of your own business. On the other hand, the real challenge may be trying to secure a contract in a gender-stereotyped sector. The bottom line is that as a contractor, there is no hierarchy which is pretty much a perk in itself.
At Gorilla Accounting,we offer anall-inclusive accountancypackage for Contractors and Freelancersfor just £85 plus vat per month.If you have any questions, get in touch with a member of our New Business Team by calling 0330 024 0406 or emailinfo@gorillaaccounting.com. Alternatively, use our tax calculator to work our your take home pay after tax.
