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Ooooooog

  • Posts: 1083
Re: Employing someone/Taking someone on
« Reply #20 on: February 28, 2019, 01:42:49 pm »
Try it for a year and see how you find it?
It’s not super complicated.
Not sure two guys in one van is ideal productively, but if it’s more about company then who cares? Do what’s right for you.

Dry Clean

  • Posts: 8861
Re: Employing someone/Taking someone on
« Reply #21 on: February 28, 2019, 01:50:18 pm »
Its no more a minefield than working for yourself, you employ them, pay them an hourly rate minus a percentage to allow for  holiday pay, change your insurance to allow for employees, the only real difference in tax will be employer NI and the workplace pension which aren't hard to work out and allow for, if your plan is to grow beyond the VAT threshold and your mainly domestic then also make plans for it now.
In my opinion good reliable employees need to be paid well so if you  expect massive returns on employee labour you may be in for a shock.

Smudger

  • Posts: 13438
Re: Employing someone/Taking someone on
« Reply #22 on: February 28, 2019, 08:11:53 pm »
you do seem a little obsessed with the person being self employed - you really have nothing to fear employing whether it be 1 or more staff. - franchise is IMO more complicated and the person needs cash to by the franchise and or equipment

we aim for PAYE staff to cost  around 25 to 30% of their  work turnover so for example you pay £10  ( a bit more with NI, pension etc ) then the turnover of work from them needs to be £47 per hour ( taking into account holidays )

I don't agree with putting them out quickly - not man number 1 - you want this guy to know all the ins/outs proper techniques - how to save time on a job - have the best quality then pass that down to man number 2

there after you can start trimming the training

Darran
Never argue with an idiot, they will only bring you down to their level, and beat you with experience

Suffolkcleaners

  • Posts: 748
Re: Employing someone/Taking someone on
« Reply #23 on: February 28, 2019, 10:12:54 pm »
Thank you for the comments guys. As usual it’s fantastic to get advice on here. Thank you. A lot to think about.......

windowswashed

  • Posts: 2580
Re: Employing someone/Taking someone on
« Reply #24 on: March 01, 2019, 01:14:23 am »
If you are thinking of employing purely for the sake of helping a friend out when you don't really have the desire to grow your business then you need to ask yourself why are you doing it if not to make a profit and grow. Employing someone on PAYE isn't as difficult as it seems, so is doing their wages, tax, NI contributions, sick pay, holiday pay. Make sure you have employers liability insurance if you do.  It's a learning curve but you soon pick it up when you employ someone. It has it's good points and bad points.

NWH

  • Posts: 16952
Re: Employing someone/Taking someone on
« Reply #25 on: March 01, 2019, 11:14:11 am »
If you are paying him when he’s on holiday he is also working when you are off too therefore you should still be making money out of that,I look at it as you’ll be doing half the work and when yo and running should be making more money regardless of the overheads.
You just need a biggish float to allow you through the first year so you don’t have to worry about at least 2/3rds of his wages in the first year,the key is to pay more than he’ll get doing anything else similar work wise.
It works well if you find the right person I would have them with me for the first year that’s what I did when traditional only but I didn’t pay enough if I’m honest although saying that the way there life’s were they would have gone on to do other things anyway due to there private lives being run by their partners.

david mark

  • Posts: 468
Re: Employing someone/Taking someone on
« Reply #26 on: March 03, 2019, 11:22:10 am »
The hardest thing is getting them to reach your gross hourly target between £38 To £45 per hour .

Ooooooog

  • Posts: 1083
Re: Employing someone/Taking someone on
« Reply #27 on: March 03, 2019, 08:14:05 pm »
The hardest thing is getting them to reach your gross hourly target between £38 To £45 per hour .

All about pricing the work high enough and keeping it condensed,