To become a contractor, you need to:
- Do your research: The first step you’ll need to do is to conduct in-depth research, and think through various important factors—from finances and tax implications, to lifestyle and business opportunities—to ascertain if becoming a contractor is the right decision for you.
- Decide on how you’ll operate: As a contractor, you may operate as a sole trader, through your own limited company, or work with an umbrella company or recruitment agency.
- Develop a business strategy: Strategic planning isn’t set in stone—but working out a plan is still helpful, as it is a way for you to consider multiple perspectives, identify potential opportunities and pitfalls and conceptualise back up plans you could fall back on.
- Get your business finances and insurance sorted out: Setting up a business bank account, registering a company, determining the level of accounting support you need and investing in business insurance are important aspects you need to sort out before you begin contracting.