Freelancing For Agencies: Pros and Cons
Posted November 23, 2009 in Business, Managing Clients 40 Comments »
One of the reasons I started freelancing was because I hated the work I did for my job. I was forced to do work outside of my specialty of web development. I was also forced to work for clients I hated who demanded impossible deadlines and coding feats. When I started freelancing, I decided two things:
- I would not have any clients.
- I would only do the work I wanted to do.
In this post, I’ll explain how I met both of these goals.
Agencies: A Different Kind of Client
I’m sure right now you’re trying to figure out how I’m surviving without any clients, right? When I say the word “client,” what comes to mind? You’re probably thinking either of these things:
- A small business owner with little to no web experience
- A medium to large business or organization
- Someone looking for a redesign or the next “big” web application
None of my clients are these. In fact — all of my clients are web agencies.
Freelancing for web agencies instead of the typical client has changed my business in multiple ways. While there are ups and downs to every kind of work, working solely for agencies has definitely been a rewarding experience.
Let’s take a look at the pros and cons of working with agencies.
The Pros
There are many pros to working only with agencies. Here are some of them:
- You control the type of work you do. You’re no longer expected to carry the website from start to finish. Instead, you can fully niche yourself into only designing, only front-end development or only programming.
- Agencies won’t haggle you to death. While I still get an agency from time to time who tries to talk down my rates, most agencies already anticipate and understand your rates and what they’re paying for.
- No hand-holding required. Web agencies are just as knowledgeable about your work as you are; therefore you don’t have to spend time explaining “Where do I buy the PHP?” or other questions that arise from non-web savvy clients.
- You get paid faster. I require that my clients pay 50% up front and most are required to pay the other 50% before I release the final files. While I may bend these rules and agree to net-15 invoicing terms, I still get paid quicker than freelancers who have regular clients. How is this? Often you have to wait for your client to send you content and files.
- They don’t throw you in the lion’s den. I’ve never had to pitch to an agency against a million other freelancers like I’ve had to with regular clients. Agencies come to me because they’re specifically looking for someone with my expertise and they can quickly tell if I’m good for them or not. I also don’t have to spend tons of time emailing back and forth, only so the “client” can go work with someone else. Chances are, if the agency is talking to you, they’re going to hire you.
- They bring in LOTS of work. If you do a great job for the agency and they’re not going out of business, they should be coming to you for multiple jobs. With regular clients, you build them a site, launch it and then never see them again. While you may sell them some maintenance packages, SEO or social media services, most of the time these aren’t as profitable as the original job. Web agencies keep bringing you full job after job!
- Agencies bring less stress. Agencies work just like you do — so they know if they want to make you change that background 100 times, they’ll have to pay for the revisions. Quite often, regular clients don’t understand that what we do isn’t just “copy and paste” and will argue over revision costs.
Now, that we’ve discussed the pros of working with agencies, it’s time to look at some of the cons.
The Cons
There are also a few cons to working with agencies. Here are a few of those:
- Paperwork death. Sometimes web agencies come with a lot of nasty paperwork. Some freelancers refuse to sign non-competes and non-disclosures. Just make sure you read what you’re signing. Many of these state that you can’t use the project in your portfolio, or work with those clients in the future.
- Portfolio bummers. Even if they do let you use the piece, sometimes it can mess up your portfolio, especially if you’re a developer. I like to link to the live websites, so the client can see that I do real work. Often I find that the agencies have changed the code. Unfortunately, many agencies don’t care about semantics or validation and hire developers who also don’t care, so the changes they make to the website after you’ve finished often lead to unvalidated sites — which in turn can make you look bad. After all, your portfolio says your sites are validated and you claimed to code that site, so why isn’t it validating? I’ve had to put a disclaimer on my site because I’ve actually lost work due to this.
- Bureaucracy. While not much of a con for developer, if you’re a freelance designer or writer this can really stink. Not only do you have to please the client — when freelancing for an agency you have to please a client and the agency itself.
- You can’t charge as much. When I was freelancing for regular clients, I charged double what I charge now. Unfortunately, with agencies, you have more overhead to deal with. Most can’t afford higher hourly rates. However, it honestly doesn’t feel like I’ve halved my rates, considering I’ve got more work than ever and I’m doing the work I really want to do.
- Rush Jobs. Agencies are notorious for asking projects to be done by the end of this week, by tomorrow, or even by the end of today. I still can’t figure out why they always wait till the last minute to hire a freelancer…
- You’re on their schedule. You have to wait on the client to provide your deposit and send you files. This can really mess up your schedule if you’re already booked solid. You have to remember to include a project that you are waiting on in your schedule every week until they actually hand you the files.
While I don’t specifically turn down work from non-agency regular clients, I don’t advertise or apply for those kinds of jobs either. If I find the client’s business interesting, I’ll probably take on the job anyway. If I’m too busy, I’ll refer them to a fellow freelancer.
Freelancing for agencies only has been a lot more rewarding for me and my business. I’m doing the work I enjoy at the rates I want and am finding that I don’t need to advertise as much as I used to. That’s not to say you can be lax in your business, but to me freelancing for agencies is definitely a lot less stressful than dealing with regular clients!
Your Turn
We’ve examined the pros and cons of working for agencies, now it’s time for you to share your perspective.
Do you work for agencies? How has your experience been?
Share your thoughts the comments.
Image by independantman
About the author: Amber is a freelancer with over 10 years of experience and specializes in clean, semantic and valid 1.0 Strict XHTML, CSS and Wordpress development. She also writes a web development blog on her portfolio at www.amberweinberg.com.
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40 Comments
Dave Joyce
November 23rd, 2009 at 2:40 pmWow, you seem to have described me perfectly, and you do almost exactly what I do. I’ve been freelancing for close to two years and agencies are definitely the most enjoyable jobs. I hate trying to handle the complete package, you then have to provide tech support for often computer illiterate people.
I’ve started to just get a sense for those types of clients and I just refer them to squarespace.com. It’s better for me, and it’s better for them.
Mike Klassen
November 23rd, 2009 at 3:14 pmOne of the reasons I went freelance (direct market layout & design) was because I wanted as much control over my career and day-to-day schedule as possible. In my last corporate job it became abundantly clear how much was out of my control.
In same cases that might have caused a minor irritation. In other cases it affected how successful you could be within that corporate structure.
A freelancer working for an agency wouldn’t, in all likelihood, fall into that same scenario. But it’s a little too close for me. I’ve done a few agency projects and found I simply liked being on my own better.
I respected the situation that the agency was in managing all their client projects. And it wasn’t like they were being difficult. It just wasn’t for me.
I like having the one-on-one contact with the client, charging what a project is worth to me without worrying about someone else getting their cut, and not having schedules with my other clients thrown out-of-whack when an agency project (that I have less control over) gets off track.
I tend to think that some of the Pros listed in the article for agency work could apply to freelancers with their own clients if they held their ground a bit more. That’s a challenge a lot of freelancers have faced at some point.
Jacox52
November 23rd, 2009 at 3:24 pmI’ve heard quite a few arguments against agency gigs due to constriction. When you get a job with an agency they force you into their model and you are merely there for execution. It’s good to hear the other side as I know there are plenty who prefer agency jobs.
Amber Weinberg
November 23rd, 2009 at 4:29 pm@Dave I’m glad to hear that, it’s a big change from regular clients!
@Mike Agency work isn’t for everyone but I think it’s a lot easier than working with regular clients. I get to charge what I want, without having to fight for it, and they bring in regular work in the area I love (CSS/HTML development, no design work *yay*)
@San Jose What kind of constrictions have you heard of?
Buddy
November 23rd, 2009 at 4:47 pmI freelance for an agency and also for “regular clients” and I can relate to most of the content in this article. The best of both worlds is finding agencies that trust you and your judgement and aren’t picky about everything. I love the fact that they are the ones communicating with the client, especially when the client requests background music on their website, for example.
My agency trusts me and does a great job communicating back to the client. I do charge them less because they refer me a steady stream of projects.
Jesaka Long
November 23rd, 2009 at 5:26 pmAlthough my focus is words, not web development, I really relate to your post, Amber. My current work is a mix of agency and “regular” client work–and it can be tough to balance the two. I love my agency projects for letting me focus on the creative while someone else focuses on the client.
But I do sometimes struggle with the agency projects lean towards dictating the schedule and I feel that I’m not as available as I should be for other clients. I’m flagging your post to re-read should I ever consider going 100% agency. Thanks for sharing your experience!
Mateo Baisden
November 23rd, 2009 at 6:38 pmThis biggest challenge I’ve found to working with agencies is that it’s a lot more difficult to build up a nice referral base. Agencies that like your work don’t want to tell other agencies about you. They get no benefit since A) they are most likely competing with the other agency, B) don’t want to you be busier and less available for their rush projects, and C) know that the more work you get, the higher your rate will go.
Don’t get me wrong, I still think working with agencies is great, but direct client work does have a much better chance of winning you referrals, which of course are gold in a freelance business.
Dojo
November 23rd, 2009 at 7:12 pmI still have regular clients and also do a lot of freelancing work. In my country the web industry is down, many web design studios in my city went bankrupt so our only chance is to go freelance with agencies and what else we can find.
Can’t say I am too pleased with having to seriously drop my rates for few months at least, but I do get a steady income and a lot of projects. This allows me to grow that portfolio and also learn new stuff each day. I am brand new in this business (did have a “normal” job before), but I love this a lot. Hard work, many weekends lost working 15 hours/day (because some clients realize the site needs to be done .. yesterday), but I’m paying the bills and it’s important.
Todd
November 23rd, 2009 at 8:24 pmGreat article! Couldn’t agree more with every point. I’ve done both, currently working for a firm. I outsource my design work, so I have rarely had to do that, just the front/back-end work.
My experiences have been mixed, but for the majority of the 11 years I have been doing it, it has been very rewarding. I wouldn’t want to be doing anything else than what I have been doing & what I am doing now.
Lucian
November 23rd, 2009 at 9:57 pmI can say that I do both. While agencies can keep me steady with work, I like to work with clients too.
My hourly rate for agencies is lower just because they save you time, like described in the article. You don’t have to explain minor details that take a lot of time or change that feature just because the client changed his mind.
I will never start working just for agencies of just for clients but I think is a good idea work for both.
My skills are also shared that way. The agencies send me the design so I have to slice it to (X)HTML/CSS and than integrate it in Wordpress, While for clients I do the design too.
I like doing both, so it is ideal for me to both design and code.
Dave Sherohman
November 24th, 2009 at 4:29 amI was not aware that such agencies existed in this field. I live with a freelance translator who works entirely through agencies and I’ve often wished for a source of work that steady… As a freelance programmer who doesn’t do graphic design, I tend to have a tough time landing gigs, given that I don’t build what the end user sees.
What are some good agencies that deal in software development, web-based or otherwise?
Osvaldas
November 24th, 2009 at 5:11 amVice versa here – I avoid freelancing for agencies and happy to get query from a potential client that isn’t related to web design/development. Well, there are some exceptions for agencies when I agree to work for: they pay me very well, they agree to put my link saying what’s done by me in the footer.
WPCONCEPT
November 24th, 2009 at 6:32 amWell i for me is more profitable to work with regular clients and i like it a lot :)
Kamal Hylton
November 24th, 2009 at 6:51 amI was just thinking of getting into agency work so this article is just what I needed. Being new to freelancing, going with an agency or two seems like a good idea. I only have two questions (which might have already been answered by fellow posters).
Do you find it gives you a steady stream of work?
Do a lot of agencies say you can’t use the work on your portfolio?
Solomon
November 24th, 2009 at 7:44 amIt’s always good to work with agencies ’cause as you said, it can leave us saner after doing the project. Especially so if you’re a copywriter or writer. I tasted much success with small agencies where it’s between me and the client and wholly with the work we do, not on the price bargains and commuting et al. I didn’t have the chance of working with big agencies though. Which might make you dance to the tunes of the CDs there.
I like if you want to establish yourself as an entrepreneur and gradually grow from a lone freelancer… it’s better to vouch for clients who can fit your bill, and who like and appreciate your work. That’s the ultimate nirvana… if not now sometime in your journey as a business owner. I agree with you that we need to look for steady work to get our mills running. Agencies are a best to find quick work, though!
James Chartrand - Men with Pens
November 24th, 2009 at 8:22 amAs one of those agency-style businesses, I can definitely say that you did a good job of listing the pros of working for one. The cons don’t match up with how we do business (for example, there’s ZERO paperwork for my team and I handle it all for them), but I can see how some agencies might have that limitation.
Anyways, I don’t have any brilliance to add to this beyond, good post!
Mateo Baisden - InternetStrategy.tv
November 24th, 2009 at 9:13 amKamal,
Yes, with the right agency you can find a steady stream of work. And definitely, most of the agency work I do tends to not be allowed in my portfolio, the assumption being that the client is probably not aware the agency is sub-contracting the work…
Grant
November 24th, 2009 at 9:40 amAs a freelance designer and animator, I do most of my work for agencies and can relate to both the pros and cons. However I think a point to note though, is that as a designer, working for an agency means for the majority of time I am working on site with either the creative director or a project manager. It’s definitely easier for agencies to outsource builds and development work rather than design and animation which needs more of a closer relationship with the agency.
Barbara
November 24th, 2009 at 9:59 amThank you for this very interesting article. I’ve been freelancing for a few months now, both for agencies and regular clients. Most of the time I find agencies much easier to work with. I also earn a bit less per hour when I work for agencies, but the nice thing is that they organize everything for you, so you can really concentrate on your work without having to write lots of emails and answer phone calls when you have lots of other things to do.
You’re right, agencies often want things to be done quickly. But that’s not necessarily a bad thing. Rush jobs can fill gaps in your daily schedule. Of course, sometimes they just don’t fit in. But then you just have to be able to say “no”.
Mark Bowley
November 24th, 2009 at 10:57 amGreat article Amber.
I’ve been freelancing for UK design agencies for 5 years now, as well as working for my own clients. I’ve largely found it a very positive experience, where I’ve gained from the experience of working with a variety people and types of work. However, as with your own clients, you need to be selective in who you work for – not every agency is a good match for you.
For anyone who’s interested in learning more or networking with other people involved with freelancing at creative agencies, I run a website specifically about the subject: http://creativeagencyfreelancing.com
Amber Weinberg
November 24th, 2009 at 11:40 am@Mateo True, you don’t get many referrals, but I’ve found it’s better and steadier work than regular clients. The problem with referrals, is that they always seem to expect a deal, or at the very least, the same deal you gave the client who referred you.
@Dave Agencies are just the places you would work if you weren’t a freelancer. They’re the places that give you full-time web jobs. :)
@Kamal Yes, it’s a great steady steam of work and it’s about 50/50 for agencies that let you use it in your portfolio. Most are on a project by project basis, so some agencies will let you add one project, but not another, depending on the client.
@James I’m glad to see some agencies on here! Some of the agencies I work for are super easy to work with, with no paperwork or restrictions. But I just got done talking to one agency who wanted me to sign over copyrights (which I can’t for my HTML) and all kinds of crazy non-competes (which I also don’t sign). Some seem like that want to treat you like an employee, not a business owner.
@all I’m glad to see I’m not the only one who’s dealt with web agencies. It’s a very different experience than a normal client, and not for everyone.
richard milne
November 24th, 2009 at 8:57 pmgreat article, I’m currently in negotiations with a web development company looking for a freelance UI designer to work in-house so this has been a great help, thanks!
NewBloggerTemplates
November 25th, 2009 at 3:09 amThis is advice and information very interesting and I liked it very much thank you..
Mateo Baisden - Internet Strategy TV
November 25th, 2009 at 11:11 amRichard, that’s an interesting aside. You are looking for freelance help, but in-house. Just curious how that would be different than being employed? Or is it more like a contract worker (works like an employee, but only for a certain duration)?
Harry - GoalsOnTrack
November 25th, 2009 at 11:36 amI agree that you can’t charge as much with an agency, as they tend to have a set limit on how much they want to spend. I would suggest if you can’t find any projects on your own, then agency may be a choice.
John DeLancey
November 26th, 2009 at 4:56 amVery well written article, Amber. I have a question for anyone who knows (and I think it’s actually the same question as Dave’s):
What resources, if any, are available for finding and approaching these agencies as a freelancer (back-end web developer, in my case)?
Sounds like a much better fit for my particular needs and wants — as many have said, I’d much rather have the volume at a lower hourly rate (and the new and distinct challenges inherent) than a few higher paying gigs that drag and drag.
Thanks!
- John
Harry - GoalsOnTrack
November 26th, 2009 at 3:24 pmJohn, I am not sure about other resources for agencies, but for backend web developers, you may find such opportunities with local web design or online advertising/marketing shops, who sometimes post ads looking for programmers to help with their workload, and usally if it works out well for you, you can continuously get steady work from such companies. Check craigslist, or similar local job boards where you see such companies post ads.
Blake Tallos
November 30th, 2009 at 11:25 pmGood article, Amber. You should write an article, about how to acheive a position at a web agency.
dp
December 4th, 2009 at 2:33 pmmost of my freelance work comes from larger agencies. They know what they are doing in terms of process. they supply you with comprehensive wireframes, know the strategy and have developers, copywriters, project managers, etc. You can learn a lot from a good creative director. You don’t have to see the whole project through, just the design part (yay!) big agencies pay well and on time (most of the time). You get all the good design/pitch work because their full-timers are too busy managing the same accounts they’ve been on for the past 10 years (uugghh!) Once you leave, the job is over and you don’t have to think about it (yay!)
If they only want to hire you for emergency/weekend work, TURN THEM DOWN or they will burn you out completely within 3 days time. You can tell them that you are not interested in emergency/band-aid work. Tell them you want them to consider you seriously, as a high-end designer, for important, thoughtful projects.
My experience with small business owners/sole proprietors, looking for a website is that they will nickel and dime you to death and know absolutely nothing about what you do.
So it goes -dp
Terri Orlowski
December 4th, 2009 at 9:12 pmThis is a great point of view, and one I’ve recently come to myself. I love the coding part of web design & development, and can happily lose myself for hours in creating a good WordPress theme. The other stuff? Well, that’s why I have a Virtual Assistant (even though I am one myself.)
Kyle Parrish
December 6th, 2009 at 12:05 amAs a newbie, i try to learn as much as i can about ways others have gotten started and now have a successful business. Thanks for the info and tips!
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