Contract Recruitment agency
Contractors get most of their contracts through a contractor recruitment agency.
Agency margins vary. Agencies can take as little as 8% of the money paid by a client for a contractor or they can take up to 30%.
Indeed some unscrupulous agencies have been know to take 50%, or more, of what a contractor is paid, usually unknown to the contractor.
Agencies Ripping Off First Time Contractors
They love first time contractors who fomdly imagine the agencies as their agents who will look after their best interests.
Nothing could be further from the truth. Agencies will take as much of what the client company will pay for the contractor as they can get.
It’s considered that agency margins of between 10% and 20% are fair. Anything less and the contractor is doingvery well.
Anything more and it is getting into agency rip-off territory.[caption id="attachment_861" align="alignnone" width="160"] Contract Recruitment agency get contractors jobs[/caption]