to answer original question
PAYE + Bonus
They can accept any type of payment from customer (most are bacs anyway)
Pitfalls - you need to employ really good, honest and harworking staff. If you are fortunate enough to get someone like this then hang on to them, few and far between. My lads get paid well, get a bonus for getting finished early (works out to be diesel saved on returning to same area twice, so if we get one area finished on day one and don't have to come back on day two then they pocket the diesel money)
They work hard but in return get paid welland most weeks are off on fridays. They are flexible with work arrangements but in return I'm flexi with holidays etc.
For instance Gregs wife rang him a few months back to tell him she was pregnant, he said nothing but I knew anyway as I could hear her over-excited voice tell him - I said nothing, drove to his gaffe and told himt ot get out and spend the day with her, all the time saying nothing but he knew I knew anyway.
Told the lads I let Greg have the day off, no questions asked and nobody miffed - everyone knows if theres a good reson then I'd EXPECT them to stay at home (let me know they're not coming into work obviously).
Next day he shows up, usual time, big smile, "thanks" - all I needed. Family first, work second.
My reward for being the nicest boss in Scotland?
Nothing apart from keeping one of the best members of staff I've ever had, happy and on my side. But then thats all I need.