Talent Development Centre

Tag Archives: taking the leap

The Talent Development Centre includes advice for independent contractors in IT from one of Canada’s top staffing and recruitment agencies. See all posts about taking the leap into independent contracting.

Applying for a Contract Job vs a Permanent Position

How to Adjust the Way You Search for Jobs When Looking for IT Contract Work

Applying for a Contract Job vs a Permanent PositionSwitching from being a full-time employee to an independent contractor comes with many changes. Everything from your lifestyle to how you get paid to where you go to work will suddenly be different. One change often overlooked by new IT contractors is the way they search for new work.

The first step in understanding how to look for work as a contractor is to know how and why hiring managers are seeking contractors. When dealing with permanent employees, HR departments search for long-term team members who will be a fit with the organization. They want a professional who will be there long-term to grow with the company. When contractors are the preferred choice, it’s often for a specific project and the hiring process is often managed through a separate department such as Procurement. The manager is primarily seeking somebody who has the skills to complete the job at the right price — personality and cultural fit is important, but rarely the top priority. Essentially, it becomes a business-to-business relationship.

Where Should You Look for IT Contracts?

Like any other job search, job boards and social networks are a good start for finding IT contracts. As well, there are websites such as Upwork and Freelancer that are designed specifically for connecting freelancers with companies looking for projects.

Don’t ignore the power a recruitment agency can have in finding you contract work. Staffing agencies will have multiple contracts available for you and the great ones will help you throughout your career. Building valuable relationships with the right recruiters could mean you’ll never have to search for work again. Instead, work will find you.

Finally, keep networking. Not just with Recruiters, but every professional you meet. As your network and reputation as a quality IT contractor grows, the effort you need to put into finding work will shrink.

Change the Way You Communicate

We can’t say it enough — being a contractor is completely different than being an employee and companies want to know that you understand that difference to protect them from certain risks. Demonstrate that you are in the correct mindset by adjusting your communication in resumes, interviews and on the job.

  • Ditch the cover letter. This traditional standard is in the process of phasing out for full-time jobs, but in contracting, it’s nearly useless. If anything, a summary in an introductory email will suffice.
  • Within your resume, eliminate any personal hobbies or career goals that employers typically look at to understand if you’re a fit in their organization and make sure you include a Profile Summary which outlines your key skills and experience.
  • Your interview will be more skills-based with questions targeted at learning how you will complete a specific project. While preparing for it, focus at answering questions related to the environment rather than where you see yourself in five years.
  • Keep in mind specific vocabulary that needs to change. For example as a contractor, you should talk about “rate” and rather than “salary”.

Before You Start Applying to IT Contracts

Prepare yourself before you start applying to these contract roles by understanding everything that comes with being a contractor. This includes a thorough comprehension of the business risks, knowing how accounting and taxes will be managed, finding a suitable insurance package and properly budgeting for the fact that paid vacation days and benefits are a thing of the past. We also strongly recommend incorporating your independent contracting business, as it will come with long-term tax benefits and make you more attractive to future clients. Finally, conduct extensive research to understand your rate as an independent contractor. Without this, you will either get stuck working for much less than you’re worth or not working at all due to a rate demand that’s out-of-sync with the current market.

Switching to independent contracting is an exciting. By understanding the application process and leveraging the tools available, you can cross “finding work” off of your list of stressors.

Permanent Employment vs. Contracting: A Fine Line with No Clear “Right” Answer

Morley Surcon By Morley Surcon,
Vice-President, Western Canada at Eagle

As a tech professional, whether you prefer being an employee or an independent contractor, it’s best to take a focused approach.

Contractor Making a DecisionContractors (or rather those considering becoming a contractor) frequently ask me whether being a permanent employee or a contractor is the best way to go.  There’s no correct answer to this question.

Certainly, the world is heading towards what many are calling the “Gig Economy” and this means that not only will contingent workers be more in demand, people will begin differentiating themselves from their industry peers by marketing themselves as professional contractors.  Eagle has witnessed fantastically talented people who, having been an employee for many years with the same company, struggle to find work as their “loyalty” is actually viewed as a detriment to their resume – how different the world is from that in the ‘70s and ‘80s when longevity at a single company was a filter companies used to identify good “company” men and women.

That said, companies often do show more loyalty and will make greater investments into the skills of their employees.  Contract professionals are expected to keep themselves up on the latest technologies, approaches, etc. and it is expected that they come to a new position ready to go and able to deliver.  Even so, job security for employees is not what it once was and, when times are tough, they can see themselves between jobs just as easily as contactors.

Many people are trying to sell themselves as interested in both – employee positions and temporary contracts.  But there is a drawback to this as well.  Prospective employers may be concerned that a person’s interest in one or the other is only temporary and they may fear that you will not be as committed to this course as others might be.  We have seen over the past 5+ years that specialization, especially within the IT industry, has trumped generalization.  Eagle used to track which people were specialists in a certain area or areas and which people had more of a generalist capability.  The companies that Eagle works with have almost exclusively moved to a “specialist-only” mentality when it comes to hiring contract workers; and there has been a noticeable trend toward this for full-time permanent employment positions as well.  We now focus only on what applicants are best at and we market this to our clients.  Hiring managers want to know what people stand for, where their interests lie and what they are good at. So, saying you are interested in both contract and permanent opportunities in equal measure no longer makes you a match for either.

The key to making the right choice (for you!) in this matter is to “Know Thyself”.  Know what you really want from work and your career; and design your education and your work experience to reflect your goals.  That way your personal branding can be clear and on-point. If you are clear on what you want and build your resume accordingly, companies will see that you know where you are heading and you will set yourself apart from these other “lost souls” that try to sell themselves as a jack of all trades. Whichever direction you choose to go, do so with a plan and arm yourself with the knowledge and expectations needed to fit in and be successful.

Here are some links to articles on the web that can help inform you so that you may chart your course…

Want to Start a Business While Working Full-Time?

You Can — Just Keep These Tips in Mind

This post by Nellie Akalp first appeared on the Freshbooks Blog on October 20th, 2016

Want to Start a Business While Working Full-Time? You Can—Just Keep These Tips in MindWhether you’re about to venture out on your own as a solo professional or launch a new business, it’s often easier to lay the groundwork while still employed. The stability and steady paycheck associated with full-time employment comes in handy when you’ve got real-world responsibilities like a mortgage and student loans—or you just want to eat something other than ramen every day.

Working on a business or freelancing while still at a full-time job builds your experience, confidence and project pipeline. You get to explore the different aspects of solo work and see if you enjoy wearing all the hats that come along with business ownership. As they say, you need to learn to walk before you can run. And staying employed while you learn the ropes can help you do this.

Balancing a job and a budding business is possible, but it does take some careful consideration—including legal, personal and professional matters. If you’re thinking about starting a business while keeping your day job, here are 5 things to keep in mind.

  1. Check Your Employee Contract

Before you begin taking on side projects, you should become very familiar with your employee contract and/or handbook. Some companies include non-compete clauses, which can mean you aren’t allowed to accept work on the side. The strictest clauses are usually found in ad and creative agencies who don’t want their employees to poach company clients.

Poring over legal fine print is no one’s idea of a good time, but it is essential. If you’re caught breaking the terms of your contract, you can be fired—even sued. Fighting a lawsuit while unemployed isn’t the best way to help get your small business off the ground. So, read your employment agreements carefully. If the wording seems vague, you can decide for yourself whether you’d like to approach your boss or HR for clarification, or keep your plans to yourself.

  1. Give 110% to Your Day Job

No matter how excited you are about your new venture, you’re still committed to your current job and company. It will be obvious relatively quickly if you aren’t holding your own in the workplace. This means staying on top of deadlines, getting to meetings on time, being enthusiastic—basically just doing your job as well as you always have. Underperforming at the office can hurt your professional reputation and long-term prospects.

There’s one important difference now. Since your new business is going to take up most of your spare time, you can’t stay late or work weekends for your “day job.” This means you need to make every minute in the office count. Master the arts of prioritization and delegation in order to get as much done as possible during your normal work hours. These are essential skills for being a freelancer and entrepreneur, anyways.

  1. Create a Disciplined and Regular Routine

There are only 24 hours in a day, so you’ll definitely be feeling a scheduling crunch when you first start out. Try to develop a steady rhythm for working on your new business, setting time aside in the evening, early in the morning and on your days off. Creating a regular schedule will help you stay disciplined. You need to make time to work on the business whether you have projects or not—there’s always important work to do such as creating your business’ website, networking or hustling for new business.

If you are struggling to find time to work on your business, take a careful look at the root cause. It could be circumstantial; for example, you’re just really busy right now for a major project at work, but things will quiet down soon. Self-employment requires a lot of discipline, self-direction and self-motivation. It’s very different than previous experiences with a boss or professor. This means it is important to identify early on if the solo work style is right for you.

  1. Treat Your New Venture as a Legitimate Business

You may still be a full-time employee, but the minute you accept money for your work, you’re also a business owner and entrepreneur. This means you need to treat your side work as a legit business—and learn all the responsibilities that come along with owning a business, including how to organize your finances, report your income and pay your taxes.

This would be a good time to meet with a CPA or tax advisor who is familiar with the needs of small business owners and freelancers. Setting up good practices early will help you scale later. One interesting point is that if you form a business and it takes a loss during the first year, you can actually deduct that loss to offset your income from your regular job (talk to a CPA/tax advisor for the details).

In addition, consider creating a formal business entity (such as a Limited Liability Company) to help lower your personal liability should your side business be sued or can’t pay its liabilities.

  1. Determine When You’ll Dive into Solo Work Full-Time

As your business grows, you’ll surely experience periods of intense work overload. At this point, you will need to decide if it is better to quit your job or turn down new client projects. How do you know if it’s time to start working on your own full time? It’s not an easy question to answer, but here are a few thoughts…

Unless you’re willing to blow through your savings or take out a line of credit, you shouldn’t consider leaving your job until your business can bring in as much income as your current job (or close to it or at least enough to meet your needs). That’s the practical consideration.

In addition, it may be time to rethink your situation if you find yourself so excited about your new business that it’s hard to muster any enthusiasm for your day job. This can drain you personally and professionally and you don’t want to just stick around until your employer kicks you out. If you’re having a hard time going to work each morning, then it’s time to accelerate your new business. Figure out how to build a runway of clients and have some cash flowing in—then take the jump.

About the Author: Nellie Akalp is a passionate entrepreneur, small business expert, professional speaker, author and mother of four. She is the Founder and CEO of CorpNet.com, an online legal document filing service and recognized Inc.5000 company. At CorpNet, Nellie assists entrepreneurs across all 50 states to start a businessincorporateform an LLC, and apply for trademarks. She also offers free business compliance tools for any entrepreneur to utilize. Connect with Nellie on LinkedIn.