Umbrella company users: Freelancers ''should raise their rates''

Raising one''s rates could be a useful strategy for umbrella company users, it has been claimed.

Freelancers using umbrella companies should consider raising their rates in order to make their lives easier, an expert has suggested.

Patricio Robles, writing for Econsultancy, claimed that while there is always a ceiling on the amount one''s clients can be charged, many contractors are actually asking for less than this.

By increasing the amount one is asking for, he suggested that this can boost the umbrella company user''s perceived value and even weed out the so-called "bad clients".

"[This] helps minimise the risk you will take a loss on a project if Murphy''s Law hits and perhaps, most importantly, can also enable you to do more for fewer clients," he explained.

Mr Robles added that other key lessons to learn are the importance of setting boundaries and being comfortable saying ''no'' to requests that exceed the initial scope of the project.

Earlier this month, ContractorUK''s Cojak highlighted the fact that contractors leaving a project should handle this move carefully in order to maximise the chances of being selected to work with the organisation again in the future.