Fair pass-thru fee (cut) for tech consulting arrangement? (percentage, company, money)

[GNCamry99]

Fair pass-thru fee (cut) for tech consulting arrangement?
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Thanks for weighing in to my threads and seeking insights from this forum.

I am looking into get a tech consulting gigs via pass-thru arrangement for a FEE.

The client says , I need to go thru their approved suppliers get my consulting gigs.

These suppliers process my time card and cut the check accordingly to my corp (Corp to corp basis).

What is fair pass-thru FEE (fixed or % of billing) to pay this supplier?



Thanks for sharing.

[Annandale_Man]

Originally Posted by GNCamry99

Fair pass-thru fee (cut) for tech consulting arrangement?
================================================


Thanks for weighing in to my threads and seeking insights from this forum.

I am looking into get a tech consulting gigs via pass-thru arrangement for a FEE.

The client says , I need to go thru their approved suppliers get my consulting gigs.

These suppliers process my time card and cut the check accordingly to my corp (Corp to corp basis).

What is fair pass-thru FEE (fixed or % of billing) to pay this supplier?



Thanks for sharing.

You are not going to pay them a fee. They are going to pay YOU a percentage of the bill rate. You will not know what the actual rate the customer is paying the supplier.

I used to do Corp-to-corp and was paid $95/hr. I tried calling the customer to ask what rate I was being billed at by the supplier and they refused to divulge it. I will bet is was probably around $120-$150/hr.

[GNCamry99]

Thanks for weighing in.

I opened this thread to understand workforce management/Vendor management company model.

These entities have an option for individual to find their engagement with the client.

The entity do the processing of invoice and get Money from client. The processing of invoice have cut/pass-thru FEE.

My question is what is the industry accepted (fair) FEE range for the above arrangement?


I am not talking about body shopping out fit that collect resume and find a contract job for W2 or Corp_to_Corp.

I know some such out fit pay the person who do the job $55/hour and bill client $120/hour.

You can see the client expectation is $120/hour deliverable/value, but person doing the job deliver $55/hour value.
In the above example intermediary takes (120-55) $65/hour is much more that person doing the job. I

s this reasonable ?


Thanks for your guidance.