Re: What is a reasonable cut that a contracting company should ta ke?

From: Jamie Lawrence (jalat_private)
Date: Tue Dec 17 2002 - 15:11:49 PST

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    On Tue, 17 Dec 2002, Brett Camet wrote:
    
    > I'd like to address this issue as well.  What does it matter what the
    > company you work for is billing to the client.  That is betweeen the company
    > and client.  The fact that it's a business and there's a profit to be made,
    
    
    People seem to be reacting aggressively to this question, which I find odd.
    
    I think most here would find it odd if someone were to suggest that
    a body hiring through an agency shouldn't try to determine the best
    deal. There are many aspects to that, all with different weights
    attached to them by differing people. (To speak to the example, one 
    client might interpret that a specific agency was paying an above 
    market rate as not controlling costs; another might interpret that as 
    attempting to retain better than average consultants.)
    
    Similarly, as someone who has worked through agencies before, I wanted
    to know market averages and as much specific detail about potential agencies
    as possible.
    
    "All the market will bear" applies on both sides of the coin. (As does 
    "all the market will bare"...) It is a perfectly legitimate question. 
    
    In my experience, I worked with agencies that passwd through somewhere around
    65-70% of the total client fee. There seemed to be a cluster of trade-offs 
    that centered around there that worked for me at the time. The economy is 
    different now, my skills might not match yours, YMMV, etc.
    
    Remember that this particular variable varies widely and does not come
    close to encompassing everything important to make a decision to work
    through a given agency. Look at total rate, what they do for you and
    what the value of those things are to you, how much work they can get 
    you, the industries you're interested in, what you hear from other folks 
    working through them, how much you like the people you interface with, etc. 
    etc. etc.
    
    Good luck.
    
    -j
    
    --
    Jamie Lawrence                                        jalat_private
    I'll see your senator, and I'll raise you two judges.
    



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