[anpr]

I'm 25, strong academic background (BSc + MSc).

4 years professional experience at the same company, currently a Senior Dev.

In my current role I do a lot of greenfield development, machine learning, big data stuff and working with Open Source technologies.

[cpncrunch]

I was in your position back in 1997 and I went into contracting in the UK. It worked out great for me, and I would definitely recommend it. I found it very easy to get work through jobserve.com. In fact once I'd done a few contracts, I built up networks of other contractors and recruitment agencies who gave me tips about upcoming contracts.

You just need to set up a ltd company and manage your own payroll/accounts/pension and then find an accountant to do your end of year accounts. Or you can pay an accountant to do it all for you (but it will cost more). I found it difficult getting a reliable accountant in the UK - every single one of them were late preparing my accounts.

As long as you don't mind moving to a new company every 6-12 months and working on potentially boring projects, it is a great experience. The money is great in the UK, and the work is generally relatively easy. I eventually got fed up with mind-numbingly boring projects and sitting with nothing to do most of the time (I think I work too fast), and eventually ditched it and worked full-time on my own startups.

I would recommend waiting until you get your first contract before quitting your job (that's what I did). Some want you to start immediately, while others will let you wait a month to give your notice.

[pdhanda]

What would you say a realistic rate is for a contractor?

Also, would you suggest charging per hour or day?

[cpncrunch]

These kind of long-term contracts pay the 'market rate'. Back around 2000 the market rate was about 30-40GBP/hr or about 300GBP/day, or higher in the city. Although I haven't done any contracting in the UK for quite a while, I do occasionally look at the contracts out there and the rates seem to be about the same these days. Just go to jobserve.com and you'll see.

Right now I live in Canada and charge US$100/hr for short term contracts (up to a few days), although normally I quote fixed-price and it works out roughly $100/hr or a bit higher. This is mostly for customizing my own product to a customer's requirements.

[iSloth]

I'm basically a mirror of your experience and age but in a different technical area, out of interest where are you planning on getting the contracting customers/clients from? contacts that you've made over the years?

[anpr]

Not really. Initially I just plan to go through normal job adverts / recruiters (as much as I'd hate it) / LinkedIn / etc.

Hopefully as time goes on, and I get to build a proven track record, I might start looking into doing more word-of-mouth jobs than anything else.

I dont know about elsewhere in the world, but if you too are in the UK, I still don't know whether I will be going through an umbrella company or setting my own LTD and handling the paperwork myself (through accountants).

Hope this helps.

[iSloth]

Also in the UK, from experience most people seem to go through umbrella companies as they will also help find clients, then when you've got some contacts start to go off by yourself and get a Ltd company setup to save on the 20-30% that the umbrella will take from you.

Looks like I might have to do something similar, just a bit risky trying to get them first few customers, especially when you have no contracting experience.

[anpr]

Yeah you have a valid point regarding the umbrella company. It does offer some benefits (eg. you are a PAYE and if taking loans for car/house you can say you are employed rather than self-employed which could hinder your bargaining abilities). I do not think they help that much when it comes to finding contracts. My understanding is that they handle the paperwork and finances, thats about it.

Just put your CV out there and apply to 2-3 jobs. See the feedback you get and take it from there. I don't think previous experience as a contractor is important - that being said, having professional experience in the field is definitely very important.

[iSloth]

It depends on the type of umbrella company, for example mosaicisland which is telecom based will actually find you jobs/clients, however they take a higher percentage. They call you an 'associate' engineer.