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The Benefits of Umbrella Companies

By Julia Roger Subscribe to RSS | August 8th 2012 | Views:
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umbrella companies gained popularity with the introduction of the IR35 legislation way back in the year 2000. These companies are also called service companies at times, act as employers to freelancers, independent contractors, or any such person for that matter, who work independently and under fixed term contracts. Since, the administration is completely and properly looked after by such a company, the freelancers and contractors, therefore, feel free to carry out their individual work in the best possible way.

The use of umbrella company services can help in several ways. The most important benefit can be enjoyed through the financial gain that comes with their service. This means that independent workers, like contractors and freelancers, can earn a great deal with the assistance of the services provided by the umbrella companies. A good and genuine umbrella company will always stick to the guidelines laid down by Inland Revenue and offer pay calculators. As a result, people working under the guidance of an umbrella company are able to take home more money. Apart from this, freelancers and contractors can also enjoy their status of employment once they start working under a reputed umbrella company. This is because, as employees, they get to enjoy the same rights as enjoyed by the employees of a standard company such as sick pay and holidays.

Another very interesting and significant advantage of these services is they also offer public liability insurance. An umbrella company will represent contractors or freelancers in case any legal cases are filed against them. Important sectors in which umbrella companies specialize include construction, IT and teaching since much of their job is based on contracts. Hence, when you are looking for an umbrella company service make sure to check the market places where they operate so that the services suit the business model.

Julia Roger - About Author:
For more information on umbrella company, check out the info available online; these will help you learn to find the umbrella companies!

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