4 Important Things to Know Before Becoming a Freelancer
Shift your mindset from employee to CEO.
Photo: ColorJoy Stock
Starting a freelance career sounds like the ultimate dream: working independently, whenever and wherever you want, as well as choosing who you work with. If this appeals to you and you want to quit your full-time job to take that big leap, becoming a freelancer is a great idea. I know, it sounds scary! But like any other challenge in life, it will require you to create a new mindset, be persistent, and use your creativity in ways you’ve never imagined.
Once you’re on track, the benefits are extremely satisfying. Being a freelancer can be difficult at times, and it’s not everyone’s cup of tea. But for me, however, freelance work has been an incredibly rewarding journey. I have more flexibility, I pick my own clients (and also fire the bad ones), and I can choose my own assignments. And honestly, you will be the best boss you ever had.
So if you’re like me, grab a hot cup of tea, relax, and follow my four pieces of advice to someone who is about to start a career as a full-time freelancer.
#1 Get comfortable with inconsistency.
One important step in the process of becoming a freelancer is to shout it from the rooftops! Yes, let everyone know that you have transitioned to independence and are ready for business. Go ahead and do as much networking as you can, gain confidence by selling yourself, showcase your portfolio, and have a marketing plan ready. Building your personal brand is essential to gain recognition and make people want to hire you.
Another thing to keep in mind is that you will encounter clients who just can’t seem to pay on time. You can be the best, most trusted freelancer in the world, completing projects on time, and keeping track of invoices, but unfortunately, that doesn't mean your clients will do the same. It's important that you are financially prepared for hiccups like these and save enough funds to cover until you get paid.
#2 Adopt a CEO mindset.
When you transition from full-time employee to full-time freelancer, a shift takes place from thinking like an employee to thinking like a business owner. As a freelancer, you are your own boss, bookkeeper, business developer, HR department, and project manager all in one. As I became a more experienced freelancer, I started to think of myself as a CEO. I began to act more professionally, which resulted in attracting better clients. I also hired a lawyer who could help me with contracts, and doing this made me feel more confident controlling my business.
Freelancing is a way of working that offers you a lot of freedom. You could be a freelancer who prefers to do smaller projects for many different clients. Others like to work on long-term projects for one client for a number of months. It all depends on what you’re comfortable with. Most importantly, as an entrepreneur, you want to develop the skills you need to lead and work with efficiency and focus, and to set your priorities for your projects.
#3 Keep up with taxes and paying your own benefits.
Ask any freelancer about self-employment taxes and you will surely hear a big sigh. Many freelance business owners consider keeping up with taxes to be one of the most daunting and important parts of being self-employed. But don’t worry, after a while, it will become routine. Paying your taxes on time can also have a positive impact on your credit score.
Keep track of your business expenses (from furniture, to travel and lunch with clients) so you can write these off at the end of the year. Efficiently monitoring your finances, invoices, expenses, and taxes will give you peace of mind. There are also many useful tools to help you complete these tasks, such as Quickbooks.
#4 Know the importance of networking and building a portfolio.
It is essential to build a good network of people who appreciate you, potential customers, and people who can connect you with others. Find where your customers are moving. I advise you to do your research on Google, LinkedIn, Facebook, Instagram, professional associations, etc. Networking takes time, and if you are consistent and gain confidence selling yourself, sooner or later, you will start to make meaningful and authentic connections with people you admire and trust, and someone may end up referring you or even hiring you.
“When you transition from full-time employee to full-time freelancer, a shift takes place from thinking like an employee to thinking like a business owner.”
—Silvia Cantu, Art Director and Visual Artist
About the Author: Silvia Cantu is a Los Angeles-based multidisciplinary art director and visual artist. She is always looking for new stimuli, whether it is for work or style. Passionate about beauty in all its forms, Silvia is an all-around designer. She’s made a full-time job from her obsession and now she’s an eclectic artist with a strong eye for digital design. Silvia graduated with a degree in fashion design from Nuova Accademia di Belle Arti in Milan where she cultivated her talent for design and art direction. After university, she started working freelance with national and international clients in London, Sydney, Los Angeles, and Toronto in the fields of fashion and beauty. Her clients include big names such as Nike, ELLE Magazine, For Love and Lemons, Casio, and Dr. Roebuck’s.
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Pro Tip: How to Convince Your Boss to Let You Go Freelance
Loving WFH?
Photo: Karolina Grabowska from Pexels
If you’ve been putting together a plan for leaving your 9-to-5 job and venturing into the brave new world of freelance, there’s a potential client I bet you haven’t stopped to consider yet: your current employer.
When I started my freelance career, my first client was the same PR agency I’d been working for over the last two years. There were things outside of work I needed to be able to dedicate my time to but I was committed to my job and team. I loved what I was doing, but I also craved the freedom of flexibility and autonomy.
If this sounds like you, keep reading because in today’s Pro Tip I’m going to share my step-by-step process for how to convince your boss to let you go freelance.
Pinpoint Your Value
The most important factor in convincing your current employer to let you switch from full-time to freelance is to pinpoint the unique value you bring to their business.
For me, it was my knowledge of and connections within the video game and esports industries. Beyond my expertise, my proven loyalty and track record for being a high performer also helped contribute to my cause. I had just been promoted about six months prior and worked well with my team and clients.
Once you have your unique value identified, gather important milestones you’ve hit throughout your time with the company. I like to focus on quantifiable milestones because numbers are the best way to communicate results to your boss. For my situation, this was the amount of new business I helped secure for the company, additional retainers I negotiated with existing clients, high-profile news hits I secured for product launches, etc.
Do Your Research
Freelancing is far from a new concept, but nowadays, more and more businesses are embracing this change in the workforce. Before you approach your boss with your freelance plan, do your research to make sure that freelancing is actually something you can afford to take on.
When you’re a freelancer, you’re forfeiting your company-provided benefits like healthcare, 401K matching, and paid vacation days. So take time to do some research and make sure that you’re ready for the change.
You also want to make sure that the jump from full-time to freelance is sustainable within the company you’re working for. Meaning to say, that you can continue to not only show your value but identify areas where you can continue to pick up additional work when projects end.
If you’re looking for more guidance on things to take into consideration before starting your freelance career, get your hands on my freelancer starter kit.
Create a Plan
The last thing you want to do is pitch the idea of freelancing to your boss without a plan in place. You’re asking for a significant change and in order to get the best outcome, you’ll need to prove that going freelance is the best route for not only you but your employer’s business goals.
Start by looking at the next six to twelve months and identify key moments where you regularly play a significant part in the business. For me, this was around client conferences and product launches. Once you have those key moments in place, think of the value you add to those occasions and the amount of time it typically takes to complete the necessary work-related tasks.
Freelancing is about hourly rates. Even if you negotiate a monthly retainer, you want to make sure you’re being compensated for the amount of work you agreed to for the amount of time estimated so you don’t fall back into what could feel like a 9-to-5 grind.
After you identify your value and key business moments, list the types of tasks you want to do as a freelancer to help support them. Then look at what you’ve written out to determine if it’s too little or too much work to support your freelance goals. From there, adjust where you need to and start to imagine how you’d like to bring this up to your boss.
The Pitch
Let’s recap before you schedule a time to sit down and pitch the idea of freelancing to your boss you want to have the following:
A clear understanding of the unique value you bring to their business.
Confidence through the research you’ve done that you’re ready for freelance life.
A plan of action for how you will transition to and execute freelancing so effortlessly, they’ll hardly notice the difference.
Once you have these three factors in place, ask your boss to schedule a time for a one-on-one conversation. It’s important this meeting be scheduled for a time with minimum distractions. For example, if you know your boss is particularly busy in the mornings, aim for the afternoon.
Start the conversation with confidence. This is a proposal you’re pitching, not a favor. Switching to freelance is a business-related request so don’t go into the meeting thinking that you’re going to appear weak or less-than for asking for something that you want.
Start with something like this:
“I would like to discuss the opportunity of transitioning to a freelance employee with you today. I’ve created a plan of action that I’d like to share for how I can continue to add value to your business in this new capacity. I enjoy working with you and hope this is something you will take into consideration.”
This messaging is clear, to-the-point, and friendly. From here, share your plan and ask for feedback along the way.
Be prepared to answer questions like:
Why do you want to switch to freelance?
What hourly rate are you expecting?
How many hours a week can you commit to?
Are you willing to come into the office?
How long do you want to freelance for?
Every individual’s answers will be different so it’s important to think of what you want from the setup. Be prepared for where you’re willing to compromise and where you are firm. Having clear answers will make the decision-making process much easier for you and your boss.
About the Author: Audrey Adair is a seasoned freelance communications professional and founder of The Scope, a platform providing resources and community to freelancers and the self-employed. Connect with The Scope on Instagram and join the email list to receive your free resource, The Freelancer Starter Kit.
This post was published on March 19, 2019, and has since been updated.
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