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01/08/2014

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- Viewing thread: RE: A question of rates,
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Message 5 of 6: David Skinner on 19/03/2012
Hi Peter,

My answer to the question in your first paragraph is ‘No’. And the recruiter’s response reveals a very simplistic concept of the facts of life for a self-employed person.

Presumably this recruiter considers that ‘a pro-rata salary of £44k’ results from a daily rate of, say, £200 for 220 days per year – that being the number of days available for work after you take out weekends and holidays. But to get that, the trainer would have to work for the whole 220 days which, if not impossible, is very uncommon – most trainers I know reckon on working for about 100 days in a good year. You need non-training days for admin, product development, business development, marketing, self-improvement and so on.

Furthermore, the daily rate is not all ‘salary’. Self-employed people need to fund their own overheads – office space (even if at home), equipment, advertising and marketing, insurance, some travelling expenses, etc – all of which your employer provides when you are in a normal salaried job. So a big chunk of the daily rate has to go towards these, with only the ‘profit’ element equating to salary. That’s why many trainers can justify daily rates of £1,500 or so, when working with direct clients. Clearly associate rates are lower, but £400-500 per day is much more realistic. Perhaps those accepting rates of £200 and below don't realise how much their business costs to run!

As you say, TrainerBase doesn’t have the market ‘clout’ to regulate associate rates. But I think we (the TrainerBase members) need to start a campaign to educate your recruiter, and others with the same view, to better understand our circumstances.

Regards,
David Skinner
Garsdale Training Ltd

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