Umbrella Company gone into Administration...help!

tryintosave

I recently started contracting and am using an umbrella company. At the beginning of the month I got a call to say the company had gone into administration :eek:- nothing to worry about, its all internal really, I will get paid as normal at the end of this month. Should I be worried? The company's website does not seem to mention it and I got an email at the weekend saying all contractors got paid and its business as usual.

Any thoughts, advice, suggestions, gratefully received.

Han_naH

Listen, before you started using this company, you should have checked it out at Companies House (.gov.uk).

And if you didn't do so now. A WEBCHECK is free - type in the co. name and look for the very basics. These are - how long trading and have they posted their latest accounts.

Furthermore, co. house offer lots of info about companies for a quid. You just pay with your debit card. You MUST do this if they are a conduit for your money. This info is more detailed.

Remember, you can find EVERYTHING out about a company because they are public knowledge - even when they apply for credit and this and that - it is all public, so pay the enhanced check.

Also, I assume you have been along to contractoruk.com - this has been running for years, and is one of the best resources for contractors. Brilliant, concise info about IR35, umbrella companies and you can ask about their histories and who is recommended. The forums are full of IT contractors and the like, you will love it. Also has ads for umbrella cos.

Thanks.

adypem

tryintosave wrote: »

I recently started contracting and am using an umbrella company. At the beginning of the month I got a call to say the company had gone into administration :eek:- nothing to worry about, its all internal really, I will get paid as normal at the end of this month. Should I be worried? The company's website does not seem to mention it and I got an email at the weekend saying all contractors got paid and its business as usual.

Any thoughts, advice, suggestions, gratefully received.

I pressume you are talking about P4 ?
If so you may or not be able to leave them. It depends ont the contract that you signed.
The first thing I would do is ask your agency to stop sending your money to them, and then seek legal advice.

Have you thought about going Ltd ? Instead of using a brolly ?

If it is P4, then have you got the administrators details ? Contact them, and get yourself placed on the list.

Hope this helps

adypem

leejp wrote: »

Also, I assume you have been along to contractoruk.com - this has been running for years, and is one of the best resources for contractors. Brilliant, concise info about IR35, umbrella companies and you can ask about their histories and who is recommended. The forums are full of IT contractors and the like, you will love it. Also has ads for umbrella cos.

Thanks.

I second this, although the forums are locked down at present, but there are loads of useful guides on there.

tryintosave

Thanks for all the advice.

Adypem - yes its P4 - they were one of the umbrella companies suggested to me by the agency. Its a bit of a long story...this is my first foray into contracting (in case you hadn't guessed!). I was offered work on a project for big company - good opportunity but had to be on a contract, they have an agency they use for contractors not already attached to an agency. The agency suggested a couple of umbrella companies, of which P4 was one. Have to admit, I didn't think to check companies house before signing on, everything was done in a bit of a rush.

As I am not in a major city and need to be within travelling distance of home, not sure how much contracting I will be able to do after this contract ends (the company is currently trying to reduce its number of contractors so the possibility of another contract on another project may not arise).

Will go an check out the recommended websites.

Thanks again for your help.

adypem

tryintosave wrote: »

Thanks for all the advice.

Adypem - yes its P4 - they were one of the umbrella companies suggested to me by the agency. Its a bit of a long story...this is my first foray into contracting (in case you hadn't guessed!). I was offered work on a project for big company - good opportunity but had to be on a contract, they have an agency they use for contractors not already attached to an agency. The agency suggested a couple of umbrella companies, of which P4 was one. Have to admit, I didn't think to check companies house before signing on, everything was done in a bit of a rush.

As I am not in a major city and need to be within travelling distance of home, not sure how much contracting I will be able to do after this contract ends (the company is currently trying to reduce its number of contractors so the possibility of another contract on another project may not arise).

Will go an check out the recommended websites.

Thanks again for your help.

Good luck tryintosave, hope things work out well for you, and you haven't lost any money.

There is loads of information about P4's administration on contractoruk.com's forum. Its now back up!:T. It might be worth popping over and having a read.
Also contact your agency, and don't send any timesheets. Seek legal advice.

Good luck

tryintosave

Thanks adypem.

So far so good - got paid OK at end of July (before administration) been on holiday this week so no costs incurred. Will speak to agency/get legal advice on Monday.

sobek123

Ahhh.. must be talking about P4... or the tragic new company they raised from the ashes of its demise called Tarpon UK. The Agency would have suggested them because they get commision/incentives from P4 no doubt(Tarpon UK)

Next time you need to use an umbrella on a contract go with one that contractors recommend, u can usually see in forums such as contractoruk and itcontractor which are considered the most reliable and established by their reputation. ALT, umbrella supermarket lists all the UK umbrella companies (Good and the Bad) and hasn't held back in reviewing them honestly.. (Poor P4 Tarpon UK... didn't do so well on there lol.)

I've used several in the past, but have to rate danbro and crystal umbrella the most reliable (Only because they actually paid me on time unlike the rest i've used lol)

http://www.crystalumbrella.com/
http://www.danbro.co.uk/

Living_the_Dream_3

I was with P4 when it went into administration and luckily I also didn't lose any money.

After such fun and games I looked into the advanatges and disadvantages of Limited Vs. Umbrella. I found a really good guide which may be of use if you are considering your options:

http://www.sjdaccountancy.com/about/ourservices/ltd_vs_umbrella.html

In the end (due to my own personal circumstances) it actually made more sense for me to stay with an umbrella company then form a limited company. I found the contact details for the different umbrella companies at ContractorUK, ITcontractor and Technojobs

directdebiter

thanks living the dream. useful guide.
I am now living the dream:D

dpenny

see also the following link: http://forums.moneysavingexpert.com/showthread.html?t=630137

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