Contracting yourself

Hey everyone,
I have been doing some contract work for various companies usually lasting a year (not the small week jobs). I have a strong work ethic and work hard. I recently expressed a lack of interest in the current company I am working for and my managers here has offered me a raise to keep me. But I am contracted through another company to this company. They have offered me a salary position but I declined due to other future plans. My contracting company wants a piece of the raise (surprise, surprise). I actually started my own business some time back (which is very hard to do on your own) and it is registered as an s-corp and have a business account.

Do any of you contract yourselves out under your own company labels to companies cutting out the middleman? I know I would do my own taxes and so on, but I’m sure it is well worth it. I wanted to know if anyone is doing this and what are some advice they can share.. such as hiring a lawyer for legal contracts, getting insurance for your company, other policies and procedures, etc..

Your thoughts, suggestion, advice?

First read the contract you signed with the contracting company.. you may find that you will be in breach if you go into the same business within x months of leaving the current contracting company.

Then read it again to see what notice you have to give them and what you signed up for in the way of giving them a commission based on your pay rate. It has all got to come down to whether you can be sued or not by the contracting company.

Yes I don't use an agency to find my own work, but the rules are a bit different in the UK, so my advice would be of little use to you.

To get the advice you need, I suggest you post the country you are in and state if applicable - it would be a good idea to update your profile in the User CP to add your location.