Ideas for outside work projects

RicardoSmith

Toying with the following...

I've moved from contracting to a permanent position. Which suits me perfectly at the moment. But I have some of my old contracts looking for me to do some small jobs for them. In truth I'm loath to let them go, since they are high profile and were hard to cultivate. I also want to setup a small business so I can test the water for a business idea. I'll probably be leaving the permanent job in 2 years max anyway. (at least thats the plan).

The problem is I don't think the permanent job would agree to me doing outside work. So I'm wondering if I do the work, don't take payment myself. Setup a company but not in my name, and put the payments through that. Don't take a salary just put it back into the business? The business could be family members name or something.

Is that all above board or a complete dodge? Or is just a bad bad idea?

fintan

Is the extra work similar to your full time job? If it is then I can see why your employer would have a problem with it and why it might be in their interest to take legal actions if they ever found out (non-compete clauses in your contract etc).

If the work isnt in a similar area set up a company and go for it as it is above board. If its a grey area, bring a copy of your contract to a solicitor.

Also dont use any work epuipment / time etc do for your new business, as this can establish a claim for your employers.

leahcim

I would say if the work you are doing in your spare time is in competition with your permanent employer they would have big problems with it.

If your work involves some sort or intellectual property such as writing a computer program or inventing something your employer may have a claim to it even though it was done in your own spare time.

See this article for some interesting information on intellectual property
http://archives.tcm.ie/businesspost/2004/02/08/story3485451.asp

If what you are doing is neither of the above and does not interfear with your
permenant work performance they probably wouldn't have a problem with it.

This is just my opinion of course and of course I may be wrong.

The Corinthian

Register your company as something like "Foobar Investments" (obviously not actually "Foobar", but you get the idea) to give the impression that it is nothing more than a shell to deal with your or your family’s financial interests. Explain this to your employers. Then trade under just "Foobar".

With regard to conflicts of interest and IP, this would depend greatly upon the text of your employment contract.

RicardoSmith

Well its similar in that I'm a software developer/analyst. But disimilar in that my full time job isn't in the private sector. Maybe I'll test the waters on the quiet with my manager who seems sound. Thanks for the info. Especially the link. As in the past I'll have done work for these clients as a contractor.

ranDom_tAsk

Hi,

I'm just going through my notes here and seen this:

Can I keep the income tax relating to my business seperate from my job ?

YES. If you already have a job, you can pay the income tax due on your business activites separately. On the other hand, if you are in employment and also have a small business with a low turnover and if the income from the business is relatively small, you can arrange to have the tax due on your business deducted under PAYE by reducting your tax credits and standard rate cut-off point.

It will be necessary to complete and submit only one return of income form where you are in employment and you also have a small business.

RicardoSmith

ranDom_tAsk wrote:

Hi,

I'm just going through my notes here and seen this:

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Thats interesting. Must enquire about that. Thanks

antoinolachtnai

If you are working in the public sector, it is very unlikely that they can fire you for having another job which does not interfere with your main job. (You think there aren't enough guards on the street now?!)

Of course, there's no point in being blatant about it. You're being paid good money, and your employers have a right to expect you to do a good job.

I personally would be very careful about leaving the public service to get into a small business. When you add up all the benefits, you might be better off financially as a middle-ranking civil servant, at least in the long-run. Plenty of guys work extremely hard and run what seem like successful businesses for years, but then find they don't have that much to retire on at the end.

I know it's a lifestyle choice as much as anything else, but be sure that the numbers really do stack up before you finally make the big decision.

RicardoSmith

I know where you are coming from. But you can't get let every opportunity pass by.

ranDom_tAsk

RicardoSmith wrote:

I know where you are coming from. But you can't get let every opportunity pass by.

Positive thinking, it's great to see.

RicardoSmith

I should add that I don't intend leaving my current position. At least not until forced to by decentralisation. So the current job takes priority. Even so I have to be prepared in case things don't work out. However I'd like try a few things from the safety of my current position rather than being forced into it.

madramor

RicardoSmith wrote:

I know where you are coming from. But you can't get let every opportunity pass by.

*subcontract the work out to someone else take a nice %
this way no direct conflict with current job(ie IP,time,ownership)

*you get good money and security working for the man
but its a good buzz working in a startup even better if your
one of the bosses.

*make sure you get finically sorted before leaving public service
job (ie mortgage,get out of town money)

*good contacts/clients are the key to any business so don't loose
them.
even if you don't do the work (because of conflict)offer to source a third
party for them, to keep up the contact.

*some people on boards talk about having quit their jobs because they
want to start a new business.
never quit a good job until you have your new business up and running