For this reason, January is typically crunch time for online agents. If they have been making hay throughout the year they will inevitably be hit with a large tax bill and, if they haven’t been squirrelling away the money to pay it, may find themselves coming unstuck.
Conversely, for online agents who have been struggling to make self-employment viable, a huge tax liability may be the trigger that sends them back into the comfortable world of PAYE and security of a regular monthly pay cheque.
Of course, staff retention should be a concern for employers year-round, not just in January. But particularly at this precarious time of year, any business that relies on a largely self-employed workforce needs to focus on making it financially worthwhile to stay. If they do not, we are likely to see the market flooded with job-seeking refugees from the online set-ups in the first quarter of 2017.
Here are some things business owners can do to lock in their contractors and staff: