This is a guest post by freelancer J.R. Pittman. Read below for author’s bio.
Many people have preconceived notions about what it means to be a freelancer, and just as many of those preconceptions are wrong. As a beginning freelancer, you’re going to make mistakes, no matter how much research you do before starting; that’s just the way it is. However, if you know about some of the big ones and avoid them, you’ll have a much better chance of being a successful freelancer.
Freelance Pricing
There’s no way around it; pricing your own work is difficult. Starting out, there are generally two classes of freelancers: the ones who under price and the ones who overprice. First, though, you need to figure out your flat rate. Your flat rate should include expenses, such as the cost of materials. Once your expenses are totaled, add a small percentage for your profit. Keep your flat rate in mind when you bid, but also have a low price – what’s the lowest amount you’ll take for a project?
Now, potential clients will sometimes want to negotiate; thus, the reason for the low cost rate. However, when setting individual project prices, think of the overall value of a project. Would it be a great piece to add to your portfolio? Is there a possibility of more work later? Does the potential client have contacts that might be beneficial to you? It may be worth taking a little lower amount for these benefits.
Time Management
Several starting freelancers have an issue with managing their time between work, home and play. Plan and simple, it’s harder for most without the time clock. As a freelancer, you’re your own boss, and you have to crack the proverbial whip. Set specific hours that you work – and then work them.
For those that love to play, it’s hard to keep the right frame of mind to be a freelancer. Part of keeping the work atmosphere is to treat freelancing just like a job, and part of that includes NOT working in your pajamas. Before you sit down at your computer, get dressed! It doesn’t have to be in a suit or fancy clothes, but working in your nightgown or pajamas isn’t the best way to keep a “business” frame of mind.
Over Commitment
Sometimes it’s hard to say “no” and many freelancers are afraid that turning down someone will ruin them in some way. However, you know if you have too many clients or ongoing projects. Accepting another one can put enough pressure or stress on you that the quality of your deliverables goes down. Don’t let this happen to you. If you don’t have the time, be honest and tell the potential client “no”. If you’re polite, explain that you’re booked for the time being and ask if you can set up another time, chances are they may come back at a later date.
Record Keeping
It’s important to keep records, even as a part time freelancer. One, because of the almighty IRS. Two, because that’s what makes the difference between a hobby and a business. Three, because keeping records gives you the ability to keep track of how you’re doing and growing as a business. You can look back three months and see if you’re making less or more, if your expenses are costing more than you’re making, etc. Record keeping is an important part of any business, especially when you’re self-employed.
Contractual Agreements
Many freelancers don’t bother with contracts, but they’re a part of keeping records. They help establish trust with your clients, as well as give you a little bit of a legal leg to stand on should something go wrong. Don’t skip over the contract; if you agree to do something, put it in writing!
Bio: J.R. Pittman is a freelance writer on YesFreelance, and has several years’ experience dealing with the ins and outs of freelancing and running her own business. Currently, she shares those experiences on the YesFreelance blog, along with other YF members.
