One of the most common questions we hear from recruiters is, “How do I know what to bill a company when they want a contractor?” And we’ve heard this question a lot during the past couple of months from direct hire recruiters who are working on their first contract job order.
The best strategy is to first ask the company to provide a range of hourly bill rates when you are taking the contract job order. The logic behind this strategy ties directly to the experience, education, skill set and availability of the candidate/contractor. The largest single component of the bill rate is how much you are going to have to pay the contractor on an hourly basis. Once you work through the process and have come up with the proposed bill rate to offer the company, you will know you are in the ballpark if you have the range.