Freelancing is becoming an increasingly popular choice for many professionals who are either unable to commit to full-time jobs or have been made redundant. Yet freelancing is often deemed a risk as there is little in the way of a safety net should things go wrong.
However, it can actually provide more opportunities for employment than ever before, as more and more businesses choose to outsource rather than employ permanent staff (rather ironic considering the reason many people become freelancers is to get away from working for a company).
If you’re considering the leap into freelancing, you should know what you’re getting into. (Tweet this thought.) As with anything, it has its pros and cons, and you need to figure out whether it’s right for your situation and needs.
Let’s examine both sides of the coin to help you decide whether freelancing would make you or break you.
Why It Could Make You
The numerous benefits of freelancing are cited in studies like the 2010 Global Freelancer Survey — the two most popular reasons being more flexibility and more creative control over projects. Freelancers are their own boss, with all the responsibilities that entails as well as the all the benefits. One thing the majority of freelancers will tell you is that it’s a path that offers you things no traditional form of employment could.
For starters, freelancers can and do negotiate their own terms. This means projects suit their needs instead of someone else’s. If you can’t commit to working on certain days, you don’t have to. If you’d rather work a Saturday one week and have that Wednesday off, or whatever suits you best, you can. As long as you’re clear about your availability with clients upfront, freelancing can be a job that works around you instead of the other way ‘round.
Freelancers working as subcontractors for a company can command greater working benefits than traditional employees by being able to work off-site in many situations and choose hours that suit them, although this depends on the project and the company. Although working from home comes with the stereotypical image of a PJ day with a laptop on your lap and a mug of coffee in your hand, it actually often results in an increase in productivity.
I also know many people who have left their full-time jobs in order to freelance while traveling. Your opportunity to do this will depend on your work and your clients, but it would definitely be an improvement over an office.
Variety is the spice of life, and freelancers get that on a day-to-day basis. They aren’t usually tied to any one job and often manage multiple projects, thriving on the variety of tasks and enjoying the freedom to pick and choose their own hours. They have the luxury of cherry-picking projects that have the most appeal. There’s no boss telling them they‘ve got to do something –- any job a freelancer takes is up to them. (Granted, their hand may at times be forced for financial reasons, but you get the idea.)
Why It Could Break You
Although most freelancers would say the benefits outweigh the negatives, there are still going to be concerns around such a life-changing decision. After all, there’s a lot of responsibility involved when you go off “on your own.” So don’t forget to look at some of the difficulties freelancers face that you should be aware of and prepared for.
The biggest concern is usually financial; most freelancers will face times when they don’t have any projects now or on the horizon. That’s why, when considering freelancing as a career choice, it’s wise to have some savings in the bank to provide a cushion for when times are hard. Obviously, in some situations, this isn’t always possible — especially if freelancing is a route you had little choice of going down (like if you lost your job). But if you do have the luxury of being able to make a measured decision, this is definitely a factor you should consider. If things go wrong, will you still be able to pay the bills?
There’s also the business side of working for yourself -– juggling a workload, timekeeping, finances and business development aren’t easy. You’ll need to make sure your project costs take your new tax situation into account so that these costs are covered. Remember that you won’t have an HR department to do this for you anymore.
In addition, business development can be frustrating and time-consuming; getting that first job as a freelancer is hard, but so is keeping the business consistent. Think how much time account managers at companies around the world spend building relationships with clients and managing their projects. A freelancer has to not only find the clients themselves, but also develop a working relationship with them in the hope of getting more work further down the line.
Finally, over the last decade or so, the number of freelancers on the market has increased dramatically, with more freelancers seeking out suitable projects than ever before. This might be beneficial for any employers looking to find the most competitive offer, but it’s not so good for the freelancer who has to compete against a highly skilled market. You have to be confident that you have the ability to actually stand out from the crowd; there’s no point going into freelancing if you don’t think you’ll be able to produce top-notch work.
The Bottom Line
At the end of the day, the decision of whether to become a freelancer or not is up to you. Sure, you can take advice from friends, colleagues and even articles like this one, but it’s ultimately your decision.
Only you know if it would be the right fit for you and if you have what it takes to succeed in what’s becoming an increasingly competitive field. The key thing to take away from this is the importance of thinking long and hard about whether the freelance life is for you before taking the plunge.
Freelancers, what other advice would you give to someone considering the leap into freelancing? Share your tips in the comments!
Josh Hansen writes on behalf of Edison Red, a London-based team of experts who help companies and individuals communicate their ideas by improving their presentation skills. They run one-on-one sessions, as well as in-house and open courses, for a wide range of clients, helping them to be the best they can be.
Image: Flickr
