The Seven Deadly Sins of Freelancing Part 1 – Underestimating The Job
Posted July 7, 2008 in Uncategorized 28 Comments »
Most people who fail as freelancers don’t fail because they are good at what they do. It isn’t that they’re horrible designers, or that they can’t write well. Most often, freelancers fail because they make bad choices about how they want to run their freelancing business.
They fall prey to one of the seven deadly sins of freelancing. This 7-part series will take a look at each of the freelancing sins and tell you how to resist their temptations.
Deadly Freelancing Sin #1: Underestimating the job
Why do I write about “violent truths” at Freelance Folder?
Because there are so many people out there who want you to believe you can make six figures in a year working two or three hours a day. Most often, those folks are trying to sell you their program that teaches you how to do so. The violent truths are, in part, a way to let folks know what they’re getting into.
The fact of the matter is that no freelancer makes that much with that little amount of work. Making it as a freelancer takes a special kind of person. You can’t be content to sit back and hope work comes in. You’ve got to be aggressive. You’ve got to find the good freelance jobs. You’ve got to be ready to face rejection. You’ve got to be prepared to deal with frustrating clients. On, and on, and on.
So, what are those areas folks almost always underestimate when they start freelancing? What factors do they miss that causes them to underestimate the job? I think there are at least a couple of areas:
Freelancers need business skills
Freelancers have to be excellent businesspeople. You have to be able to do some basic accounting. You have to learn sales and marketing. You have to know how to negotiate, and how to figure your income taxes, or at least be willing to hire someone who can.
These skills have nothing to do with writing or design but they’re essential to a successful freelancing career. Read some books, take a couple of courses at the community college if you need to, but get a handle on how a business has to operate. Don’t underestimate the amount of business knowledge you need, or you’ll wind up surprised at how little money you’re really making.
Freelancers need people skills
As a freelancer, you’ve got to be able to not only get clients but keep them. A good portion of your income relies on repeat business. Small clients become big ones, and big clients become bigger as long as you prove yourself. Part of this equation is just doing quality work; the other part of it is doing it on time and being nice about it.
One of the coolest things a client ever said to me was that she enjoyed working with me because it was always “nice” but also “professional.” It doesn’t mean you’ve got to be an expert at schmoozing, it just means you treat clients with respect and use some very basic people skills. Don’t underestimate the value of relationships with your clients, or you’ll miss out on all sorts of repeat business.
Freelancers need people
Some of the best friends I’ve ever had started out as folks I worked with when I was a network engineer. The only thing that got me through the day, some days, was my work friends. When you’re a freelancer, though, there’s usually not a cubicle to go to (thank God). But that also means there are no cubicle neighbors.
As a freelancer, you’ve got to develop some strong relationships with some of your colleagues, whether that is some of your longer-standing clients or whether it’s other freelancers. Don’t underestimate your need for other people, or your freelancing career can turn in on itself and become just another job.
Freelancing takes time
Like I said to start with, you can’t work two hours a day and expect to earn as much as if you’d worked for eight. That’s not how the universe is set up. Freelancing is not a ticket to a lazy life, but it can be a ticket to a freer life.
Writing or design is just a part of your job; you’ve got plenty of other things, from bookkeeping to sales, to keep you busy. Don’t underestimate the amount of time it takes to be a successful freelancer.
So, for those of you who are already making a living freelancing, what can you add? What did you underestimate when you first started out, and how did you get beyond it?
Bob Younce
******
About the author: Bob Younce is a full-time Internet writer and writing mentor living in Linwood, Michigan. He is dedicated to helping Internet writers to achieve their dreams. Visit Bob at The Writing Journey or follow him on Twitter.
The Seven Deadly Sins of Freelancing – 7-part Series:
- Part 1: Underestimating The Job
- Part 2: Overestimating Your Abilities
- Part 3: Failure To Plan Your Business
- Part 4: Ignoring Marketing And Sales
- Part 5: Accidental Branding
- Part 6: Lack of Diversification
- Part 7: Sacrificing Integrity
About the author: Bob Younce is a full-time Internet writer and writing mentor living in Linwood, Michigan. He is dedicated to helping Internet writers to achieve their dreams. Visit Bob at The Writing Journey or follow him on Twitter.
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28 Comments
Karen Zara
July 7th, 2008 at 6:03 amWhat I underestimated was my difficulty to keep concentrated on my tasks. I get easily distracted by all sorts of little things and this obviously has a negative impact on my productivity. When I had a day job I didn’t care much about this problem because I had a salary to pay the bills; freelancing was just a part-time activity anyway. Now that I need to “build” my own salary, I’m learning to ignore certain things and eliminate distractions. If I don’t do it, I won’t finish anything, which means that I won’t make any money.
So, the only way I could find to overcome my problem was to become totally dependent on my freelance gigs to earn money. A bit radical, but certainly effective. ;)
Tracey Grady
July 7th, 2008 at 6:25 amGreat article, Bob. I look forward to the rest of the series.
I think that what I most underestimated was the extent to which you have to market yourself, not at the start but all of the time.
Jaq
July 7th, 2008 at 6:45 amPrior to freelance writing, I have full-time job operating a coffee shop so I know something about operating a business. So I think I wasn’t too overwhelmed when I started freelancing. But it’s still hard because no one’s around to really help me. Unlike in my full-time job, if I don’t do my work, I can delegate to one of my employees and it still gets done. This time, if I don’t do it, then it doesn’t get done. It’s a little hard to adjust to and it’s testing my time management skills but I’m getting there. Hopefully.
Jeffrey Way
July 7th, 2008 at 8:53 amI’d say that the biggest misconception is that freelancers only work a couple hours a day. If anything, I work MUCH more as a freelancer than I ever did at a traditional job.
Andrea Bullock
July 7th, 2008 at 9:55 amGreat article! I constantly find myself frustrated by those who think that writing is a job that takes no time (or worse) no talent. It’s a balancing act that involves much more than just the writing. There’s research, finding jobs, following up, begging for payment from delinquent clients (my least favorite aspect of the job), finding more work, and making sure that clients are happy so that they will come back for more. I’m glad that you are at least showing the ups and downs rather than taking an ‘it’s so easy anyone can do it’ stance.
Bob Younce at the Writing Journey
July 7th, 2008 at 10:52 am@ Karen – My oldest child has ADHD. When I Started working as a freelancer, I started wondering if I didn’t pass it on to her genetically. And you’re right: you can sluff off at the office for a day or two. Do it as a freelancer and it hits your checkbook immediately.
@ Tracey – Glad you liked it. Deadly sin #3 or #4 has to do with marketing, so make sure to come back for that one for sure.
@ Jeffrey – I agree. Do you get friends and family who just assume you aren’t doing anything during the day, and so they stop over unannounced or try to get you to go golfing? I never had that happen once when I worked in an office.
Great thoughts, everyone! What about the rest of you out there? What surprised you when you started out freelancing?
Bob Younce at the Writing Journey
July 7th, 2008 at 10:56 am@ Jaq – time management is key. Eventually, if you decide to go that route, you will have folks to whom you can delegate as you find subcontractors and writers to work for you. As you make the switch from Freelancer to Freelance entrepreneur, you find you’ve got a lot more flexibility. That change isn’t for everyone, though. You might be a good candidate, having run a retail business and had to deal with employees regularly.
Jeremy
July 7th, 2008 at 11:09 amDon’t drastically underbid a job or take on work where people are not willing to pay what it is worth, just to make up for your old paycheck when you first start out. I did it and wow did I pay for it. The “good” jobs started rolling in and some of those older lighter paying jobs became much more difficult to concentrate on. My advice is be weary of what you are about to undertake.
Secondly I think Tracey brings up one of the most important things to any freelancing career and that is the ability to continuously market yourself. Do it even when you are finding it hard to keep up with your current workload. Don’t take on more than you can handle but keep marketing so that when your current projects are completed you are not left tapping your thumbs on the desk waiting for the next wave of jobs to roll in.
Excellent article, I look forward to the series!
Alex
July 7th, 2008 at 11:48 amHey bob, new commenter here :)
You have well-written tips that are dead on here. Before I worked for myself, I did go to school for business and management.
A lot of people like the life of not being a boss to avoid further responsibility, and if that’s you, freelancing isn’t for you! But everybody should know that you need to be able to do more than just (Write | Code | Graphic Design) to make it as a freelancer.
Lois K
July 7th, 2008 at 12:55 pmBob, I absolutely LOVE your articles! When I first started freelancing, I had lots of time because I was recouperating from surgery. But as time passed, I got busier and busier. It takes an enormous amount of concentration to do what we do with any amount of regularity. And the busier I get, the more time management comes into play. Having run several home based businesses over the years helped me cope with the paperwork and red tape we deal with every day but I never have enough hours in the day. Even if I only “work” 3-4 hours a day, I have another 3-4 hours of paperwork, invoices, billing statements as well as accounts payable and receivable. You are right on the money with this article and I will continue to read your wonderful articles.
Melek
July 7th, 2008 at 1:41 pm…”You have to know how to negotiate, and how to figure your income taxes, or at least be willing to hire someone who can…”
the ‘willing to hire someone who can’ is paramount to succeeding! if you don’t know how to do it, you can’t just NOT do it. be willing to say “ok, so i DONT know it all, but i know someone who can help”. it doesn’t mean you’re a failure…it means you’re smart enough to delegate.
finding an accountant was the best thing i ever did for me, my business, and my sanity!
Laura Spencer
July 7th, 2008 at 2:23 pmYep! Freelancers definitely need all of the skills that you mention and consistently underestimating the job can ruin your business.
I look forward to seeing the rest of the series.
Bob Younce at the Writing Journey
July 7th, 2008 at 2:53 pm@ Jeremy – I don’t categorically disagree, I suppose. I will add this: sometimes you have to take some really crappy pay to put food on the table. It’d be great for me to make $.30 a word on every gig, and some gigs I do. But others are drastically lower, and they’re my bread and butter at times.
@ Lois – Thankya. It’s interesting, I think that ratio of “real work” to administrative stuff varies from freelancer to freelancer. I find myself putting about 30% of my time into overhead. I know freelancers who put 70% into overhead – and they do a lot of outsourcing. Not saying that’s bad; in fact, I think it’s the way to go in the long run.
@ Melek – A colleague said to me the other day, “I’m a writer, not an accountant.” That’s especially funny to me because I know he’s written ebooks in the accounting area Still, I agree. I can keep a basic ledger, but I let my accountant handle the difficult tasks.
@ Laura – You make a good point. Consistently underestimating will kill a business. Does it happen some? Sure. I think we all do it at one time or another. But doing it too often will ruin it altogether.
Jenny
July 7th, 2008 at 3:11 pmGood article.
I under estimated the amount of time other tasks would take apart from those I turned freelance to do (ie writing and design) I spend too much of my time chasing payments, writing invoices, accounts and other lesser interesting tasks.
Jim
July 7th, 2008 at 4:29 pmI’m planning on going freelance soon, but I struggle with time management as I do projects aside from my current 7-4 job. I’m really working on my focus and time management skills as of late, but it’s a slow and daunting road. I can’t wait to have the freedoms though… I’m a night owl genetically (that’s what I believe anyway), so being able to sleep in till 10 or 11 and working till 2 or 3 in the morning will be a blessing.
On another note: Bob, I noticed you mentioned the topic of “Freelance Entrepreneur” and contracting out work. Maybe this is worth addressing on a new post (or maybe is already has), but what are your thoughts on initially starting with hiring contractors to do the majority of your work? I have developed two individual business plans at this point, of which one is geared towards solo and the other toward contracting right out of the gate. I would be interested in hearing your thoughts.
Robert S. Robbins
July 8th, 2008 at 10:40 amAs a web application developer, I can sit back and watch an avalanche of work pile in like magic. There is a huge demand for web application developers. I don’t need to do any marketing whatsoever. For example, the recent SQL Injection attacks affected many classic ASP sites and the only correct way to solve that problem is to have a web application developer write a lot of code. ka-ching! I guess web designers and blog writers don’t have it so good. Freelance programmers are kept super busy working on web entrepreneurs’ business schemes. Maybe you should collaborate with a web application developer or learn how to code.
Lucas Martell
July 8th, 2008 at 1:48 pmExcellent article!!! I’ve been freelance for over a year now and one thing that I always tell people when they ask about freelancing is the importance of money management. If a freelancer is living hand to mouth, it can be extremely stressful and it also means that they don’t have the freedom to turn down the “bad gigs,” let alone putting money into an IRA and planning for the future.
Andrew Scotchmer
July 9th, 2008 at 7:46 amActually you can earn a six figure income in twelve months from just two hours work a day; the problem is you can’t sustain it. In fact on a lot of the scam sites the “six figures” are based on projections that in turn are based on the first week or twos worth of business. The problem is many won’t survive past month one.
For example, one site I found out about (but not from experience I hasten to add) gave the following instruction: Set up a website telling people how to earn six figures a year and charge customers $5,000, which you reduce to $1,999 for a “limited period”, to teach them the “secret.” The “secret” of course was to set up a website telling people how to earn six figures a year whilst charging them $5,000 which you reduce to $1,999 for a “limited period.”
That would only require a couple of hours a day, but lets be real, it wouldn’t last long.
Freelancing, setting up and maintaining a successful home business, takes dedication and 12 hour + days. In the early months it could even be more and involve 7 day weeks with no company pension, no holiday funds, no medical cover, nothing.
Hmmm sound attractive now? In saying that, I love it!
Bob Younce at the Writing Journey
July 9th, 2008 at 10:49 am@ Jenny – That’s true. Those less-interesting tasks, though, are what makes sure you get paid. You can see why many small businesses outsource those things.
@ Jim – Time management is key. It’s even more important for the freelancer than someone in a cubicle, I think.
As far as the freelance entrepreneur thing, I think part of the key (and I talk about this later in the series) is to sufficiently plan your business. If you can get enough gigs to outsource from the beginning, that’s great. If not, though, you probably need to start out with at least some of the work in-house.
@ Robert – That’s awesome. It sounds like the Network Administration industry in the mid 90’s. I could switch jobs every 6 months for a 30% pay raise. In 4 years, I tripled my income. Like any other market, though, your market can become over-saturated in a matter of a couple short years. That one did for me, and present performance is no guarantee of future success.
@ Lucas – You’re absolutely right. Now, there are lean times when most freelancers will have to live a bit hand to mouth. If they’re always in that spot, though, they might consider another career.
@ Andrew – I disagree. I don’t think that model will produce six figures in one year. The idea sounds great, and you’ll snag a couple dozen unsuspecting folks, but most people aren’t going to shell out two grand, unless you’ve got a credible reputation. Even if you start with a credible reputation, you aren’t going to maintain it after a handful of folks buy the product.
Meryl K. Evans
July 9th, 2008 at 3:14 pmRecently, I underestimated a job. Though I’ve gotten better and more comfortable with providing quotes — it still trips me especially when it’s a different type of assignment. Part of the assignment, I do for another client who pays me hourly. The other part of the assignment was new. I knew the client didn’t want to pay hourly.
After a couple of weeks, I asked the client if we could explore another way of pricing. After a couple of back ‘n forths… we agreed on a a higher rate. So it’s possible to work through things with a client if the first quote doesn’t go over well.
Freelancing is largely about building relationships — my favorite part. I like getting to know my clients and care about their successes. I’ll do little things like point them to an article or let them know about publicity opportunities.
Ryan Battles
July 12th, 2008 at 4:45 pmThanks for the article. A great resource that I would recommend for any freelancer that hasn’t received an MBA is to get a book that is an overview of business management. In particular, I have found “The Complete MBA for Dummies” to be a good read that overviews many business management skills. These types of books are a good overview, and provide the basis to go deeper with a more specialized book if need be.
Anuradha
July 14th, 2008 at 4:11 pmThank you for the tips and guidance. Just needed it at this time as I plan to do more and more freelance.
Alexander Langer
July 23rd, 2008 at 3:57 pmI’m just about to start freelancing. Besides I’ll keep my job half-time, so I don’t have to deal with the insurance stuff here in Germany.
It’s always good to have such high-quality articles at hand and be able to learn from others. Keep up the good work!
Amber Weinberg
March 1st, 2009 at 12:10 amGood tips. I’ve gone back and forth between full time freelancing and a regular full time job. What I’ve found is that you actually work MORE hours as a freelancer, plus you put in extra hours for those networking events and mixers. It takes a lot of hard work to get projects rolling in and a lot more work to keep them ;)
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