A question on VA to VA working relationships and rates - please share your experiences

virtual economy

New Member
I so agree with this, Tess. Even in splitting in favor of the sub, you as the hiring VA has much to gain in terms of resources (in your sub as far as future assistance), reputation (also with your sub); but also you are gaining favor with your client simply by taking on the task and potentially gaining a good referral. It's a win/win situation, even if your monetary compensation is little or nothing!

:applause:
 
I have worked for a variety of other VA's and with different payment arrangements. Some have paid hourly, some have paid per project with a split, etc. I have also seen huge differences in what other's are willing to pay. I no longer just take what they offer. I tell them what I expect to make. I have learned that other VA's are just as likely to take advantage of you as any other client if you let them.

Being on the flip side and contracting with other VA's I have also learned that I need to be fair to the other side. So I have changed my way of paying them as well. It all depends on the circumstances, but the way I see it if we are the contractor regardless of it's sub work or not we are the business owner and we call the shots. That being said I think its nice to give a fellow VA a discount in one way or another as a professional courtesy.

I think a fair way to assess how much you should pay would be to base it off what the VA who is to subcontract charges. Then go from there. If you're rates are wildly different it may be difficult to ascertain a fair arrangement for both sides. The one who is actually doing the work though is the one who should get the majority of the payment.

There are also situations where you are splitting the job in those cases an even exchange of payment for labor might be best served if that makes sense. I have done jobs where I split it with another VA and just did a 50/50 split but the work was spread fairly evenly. So it would depend on how the work itself was split.
 

hbplifestyle

New Member
Sometimes I think new VAs get so focused on gaining experience they charge way too low. I like to make sure I charge a percentage to cover another VAS overhead expenses for finding the clients.
 

LeShanteH

New Member
I haven't had the privilege to sub yet either, however subbing is usually done at a 10 dollar reduction price. I would like to be able to subcontract some work at some point, but I need to get some clients first. ;)
 

jalward714

New Member
The subcontractors I have used with my medical indexing business get a 60/40 split, mainly because all work has to come back through me to be proofed and sent to the client. If there is ever a question on hours, I always round up rather than down. I respect them and want them to treat me with respect as well.
 

bridiej

New Member
Do you mean pay the sub VA the $10.50 or the VA that hires the subcontractor gets the $10.50?

If it's the former, then that's an insult...
 
I've hired a subcontractor at the rate of 75/25. However, this subcontractor wants to eventually be part of the business so all of the fees received for service are reinvested and used as a "buy in." The goal is to have enough funds to move from a proprietorship into a Limited Liability Partnership.

My current thoughts on hiring subcontractors is that I'd feel more comfortable making it equitable and worthwhile for both of us. If I'm hiring a subcontractor, it's going to be for some significant work and they will deserve a large chunk of the fees received.
 

bridiej

New Member
Wow, I'm shocked. Personally, when I sub out transcription it's 75/25 in the subcontractor's favour - after all, they're the ones doing the donkey work. I check it and make sure it's ready to send, but that takes a fraction of the time.
 
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