SELF-EMPLOYED CONTRACTUAL ARRANGEMENTS
Your guide to going self-employed in the property sector:
With the number of redundancies in the sector due to Covid-19, and the realisation of Agents that they can work smarter and with fewer staff in the future, there will be a glut of property professionals surplus to requirements once we return to some form of normality.
What there are however, are a number of opportunities for experienced Listers, Branch Manager and Forward-thinking people who want to remain and prosper in the industry. By taking an associate position with one of the many companies that are working this way, you will be allocated your own territory, have your own autonomy, and be rewarded with somewhere around 50% of banked funds for completions and cross sales. Not only will you now be your own boss, but you will receive a fair and attractive share of the profits. Many of the associates we currently work with, earn in excess of £100k per annum, where historically they would have probably seen just half of this in their positions as employees, whilst also working all the hours God sends.
The beauty of this option is that you have very little in the way of set-up costs, the backing of a proven and respected brand, all your admin and sales progression taken care of, and no hassle with the downsides to being self-employed, like self-assessments and accountants fees etc…..all of that can be taken care of for you.
This really is a self-employed model that delivers a win-win option.
We also offer a unique, tried and tested platform, that encompasses a Revenue Pre-Approved contract allowing consultants to transition from Employed status to Self-Employed status, within their existing businesses.. Many organisations have seen the benefit of allowing their people to work this way, what with all the flexibility, working from home options, and the requirements to allow people to change the way they operate. I'd be delighted to talk to any business or individual who would like to explore these options
Very briefly, this results in huge benefit to both the 'new consultant' and the business, with consultants now having all the financial advantages afforded to self-employed people. A business will also benfit with lower liabilities in respect of fiscal payments to the tune of around 20% of payroll costings..
A few F&Qs around being Self-Employed:
Will I have to form my own company? No, you can operate as a sole trader
If I am self-employed who will take care of all my accounting, bookwork, and self-assessments? We have an offering that takes care of all of that for you.
So, will I be a licensee or a franchisee? There are a number of different ways you can operate, but we are here to ensure you work the right way, and the most cost-effective way for you.
Is it legal and compliant to work this way? Yes, it is, as long as you are set up with the correct arrangement; we will be happy to help you with this. Many of our clients utilise our Revenue Pre-Approved Contract for Services. This allows you to relax and concentrate on the job in hand and leave the compliance side to us.
How do I pay my taxes? You do that via an accountant or we can take care of all that aspect of things, guiding you as to tax reserve figures, how to ensure you put the funds away, and then calculating your tax return and doing your self-assessment for you.
Do I pay the same amount of tax as an employed person? No, you will pay less tax and less National Insurance as a self-employed consultant. Self-employed people are fortunate enough to be able to offset all of their operating costs, meaning they pay tax on their profit, rather than their gross salary.
How much better off will I be in respect of the tax payments? Because you are able to offset your business expenses, whilst benefiting from a number of self-employed allowances you will be Thousands of ££££s better off. Typically someone earning £80k per annum will be around £10k-£12k better off than their comparable PAYE counterpart.
Do I need to register for VAT? Not initially, No. You must have a turnover of in excess of £85,000 per annum before you are required to register, and when you get to that stage we take care of all of that for you.
At SJM Consultants we have the knowledge, the know-how, and the expertise to set you up as a self-employed property consultant. Contact me via the contact page on this site or by using the detail below for a complimentary consultancy and for information on who are offering these positions in your area, and whilst you are here why not take a look at the recent webinar we did in relation to your options, by clicking on the image below.
Look forward to a great work-life balance, more time with the family, your own autonomy, substantially increased earnings and being your own boss. What could be better?
I spoke to my long term friend and associate, Adrian, about his decision to go down the Self-Employed route and take on a Ewemove Property franchise. Great listen.