[Gllug] Consultancy Question

[Jason Clifford]

On Thu, 11 Aug 2005, Richard Jones wrote:

> I would ask for somewhere between 300 and 600 pounds per day,
> depending on your experience and the length of the contract.

Don't forget that the amount you charge should also be based upon what you 
think the customer can and will pay.

A few years ago I accepted a contract to set up a new authentication 
infrastructure for a small ISP which was chargable at £1024 per day.

The client didn't pay and after much additional work on my part all I 
ended up collecting was less than £500. I could have taken them to court, 
sought a winding up order and tried to sieze their assets but reality is 
that this would have cost a lot more than the value of the debt.

You need to factor in the additional cost of chasing payment when you 
decide your rate. Even if you end up being paid promptly most of the time 
those occassions when you don't really can mean a lot of work and you 
cannot do paying work while doing that.

Also don't forget the administrative overhead involved dealing with inland 
revenue, VAT, etc.  when setting you rates.

Jason
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