There are numerous benefits to being self-employed. You can control who you work with, where you work and how much time you dedicate to work. However, freelancing also comes with added responsibilities, risk, and an enormous amount of pressure to support yourself.
Here are a few things to consider if you want to launch your freelance empire.
Find An Idea
You need to identify what you are going to sell as a freelancer. Most freelancers find something they are particularly good at – such as writing, social media management, web design, or dog walking. You can use this skill to form a service or product to sell to customers. For example, you could set up a business fitting electric boilers and help people make the most out of their energy. Freelancers should follow their passion and what they are best at.
Set Up Your Business Structure
You need to decide what type of company you want to be – such as a sole trader, partnership, or limited company. A sole trader means you run your business as an individual and keep all the post-tax profits. A partnership is when you run your business with at least one other person and share responsibility for the company. Finally, a limited company is separate from you, and you will need a shareholder and at least one director. You will keep your personal finances completely separate from a limited company. You need to decide which category fits your business the best and go from there.
Speak with a financial professional to ensure your personal finances and assets are protected while freelancing in case of company debt or litigation against you.
What Kind Of Paper Do You Need To Fill Out?
You need to register as self-employed with HMRC in the UK. You need to keep your books straight so you can file taxes and avoid hefty fines. You must register as self-employed before the 5th of October in your second year of business – or you will receive a massive fine. Don't delay on your business registration or cut any legal corners because it could come back to haunt you in the future.
Verify Your Suppliers Before Launching
As a freelancer you are responsible for every element of the business, including vetting suppliers. If you need a supplier to provide parts of your product or service, go with someone local. Ask their previous clients for reviews and always double-check that they are a legitimate company. You don’t want to be let down in the middle of a job due to supply chain disruption or flaky vendors.
Market Yourself
Use social media and email marketing to promote your business to your target market. Focus your marketing strategy on targeting a niche in the industry. There are thousands of small businesses set up every year – you need to find the thing that makes you stand out. Digital marketing channels and strategies are the most cost-effective methods for many freelancers, but don't dismiss old-school grassroots guerrilla marketing as well.
Find Freelancing Fortune
It's not easy to be a full time freelancer in an increasingly competitive world. While it will be challenging, it can also be worth it. Keep these tips in mind to increase your chances of being a successful full-time freelancer.
