[LRUG] Switching from solo contractor to being a development company
boss at airbladesoftware.com
Thu Feb 16 04:55:22 PST 2012
On 16 Feb 2012, at 13:29, luke saunders wrote:
> At some point I would quite like to run a development company, which
> might handle several projects at a time, employ other developers etc.
> But it's not clear how to best approach making the leap, when I am
> employed by clients they usually want to employ me and only me, if
> they need other developers or a designer they'll find them themselves.
> So probably the companies I have relations with now would not be my
> target market then.
I would think this quite likely. Companies who are used to hiring contractors probably wouldn't want to switch to hiring a development company -- and vice versa.
However I expect you could ease your transition by incorporating a company, of which initially you are the only employee, and asking anyone hiring you as a contractor to hire you through your company instead of directly. In theory it shouldn't make any practical difference to them; it would just be a procedural change for their accounting people.
> Has anyone made the jump from solo contractor to development company?
> And if so do you have any advice on how to achieve this?
I suggest just diving in: incorporate a company and get going. Presumably you already have an accountant, so they could advise you. E.g. you may need to insure yourself slightly differently.
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