I’m a specialist in construction recruitment can I set up on my own recruitment company and place freelancers?
You can, but as a recently registered company you will not have gross CIS status, therefore if you place temporary workers the end client will deduct 20% or 30% from your invoice value depending upon your status.
Quba Solutions offers a product called Quba Principal whereby you “piggyback” on our gross status, we still invoice your client with your name and logo on the invoice but as we have gross status the end client does not make any deductions.
What happens when I get gross status?
At Quba we are more than happy to help you obtain gross status, you need to qualify for certain criteria, firstly having a turnover of £30,000 per partner and secondly historical compliance with paying tax and ni i.e. on time. Once you obtain gross status we can then move your contract over from Quba Principal to our Agency Principal model.
What is Agency Principal?
This now means that your business turnover is accounted for instead of being under Quba Solutions and also your business becomes the primary agency in the recruitment chain. This is a far better model longer term for an agency, it may help when tendering for PSL’s and will certainly help when valuing your company.
Do all factoring companies offer these products?
No, be careful there are a number that only offer you the Quba Principal model. I’ve spoken to a number of clients that were told that it takes up to 12 months to obtain gross status! The process is normally a lot quicker than that, often just weeks.
Will I get my margin weekly?
Yes, you place the temporary worker, the following week we will transfer the margin by midday & pay the operative, Umbrella, CIS, Ltd or PAYE.
What happens with insurance?
All debt is covered by insurance as long as credit limits and terms are adhered to.
Are there any set up fees or additional charges for mistakes?
There are no set up costs for our service and you have 30 days to terminate the contract from the moment you sign . Other competitors claim a no quibble get out clause but in fact you need to prove they have breached their contract!
There are no additional charges for re-invoicing or mistakes on timesheets etc
What happens with timesheets, candidate contracts and client contracts?
We have a E-Timesheet and a paper timesheet facility that is branded with your logo etc. You will also be supplied with all contracts under the Quba Principle model, Agency principle you will need to supply.
If you have any additional questions, please don't hesitate to get in touch.