The number of full-time professionals transitioning into the freelance labor sector continues climbing. In 2022, researchers believe that 70.4 million Americans complete independent contracting work.
Equating to 36% of the labor force, the events of 2020 and 2021 gave freelancing a credibility boost among companies and the public. Company management and executives realized that workers could complete work remotely.
Moreover, the events showed that Silicon Valley had built the infrastructure to support remote workers and freelancers.
The original freelancers counted interior designers, home improvement professionals, and models who contracted their services to clients – in 2008, freelancing expanded to technology professionals.
When Silicon Valley created the sharing economy, it created more freelancing work, such as:
● Ridesharing driving
● eCommerce deliveries
● Virtual assistants
It also disrupted traditional fields and allowed employees to tutor, write, and do graphic design on a per-project basis.
The growth of the new labor force prompted the United States Internal Revenue Service to adapt to the market. Thus, it deems self-employed professionals as small business owners.
Therefore, all self-employed individuals fall into the freelancer labor basket.
Technology has made it easier for individuals to become entrepreneurs. The following are seven tips on how to transition from full-time to freelance work.
Entrepreneurs must assess the market to have information that helps them navigate it in all conditions. It’s possible to thrive in a down market; entrepreneurs simply must carry out the appropriate strategy.
Popular freelance jobs include:
● Web design
● Software development
● Video editing
● Customer service
Therefore, individuals benefit from assessing the competitiveness per position. Then, each one has the information that they need to compete.
All professionals benefit from adhering to the 10% rule. It’s an easy way to build savings for emergencies and ventures. Independent contractors experience seasonality.
Some freelancers don’t require a massive upfront investment. However, each one will purchase equipment and set up its infrastructure. Entrepreneurs can work from home. Digital nomads have proven that they can work worldwide with an internet connection.
Entering freelancing with savings ensures that a financial runway exists while entrepreneurs find clients and start receiving revenue.
During the transition, individuals should know what skills they bring to the table. Clients who hire freelancers need skill sets that their employees cannot provide or learn quickly.
Thus, successful independent contractors satisfy niches and excel in them.
Explore the skills that clients need by completing online searches. Even writing jobs have niche requirements, and most writers must incorporate SEO best practices from the outset.
Since freelancers are small business owners, they will complete several business owner tasks. For example, even solopreneurs must purchase business and self-employed insurance.
The exact policies that every freelancer needs depend on their field. For example, rideshare drivers must purchase vehicle insurance, and landscapers must purchase professional liability insurance.
To learn more about self-employed insurance, check out Gigly.
Freelancers bill their clients and collect payments, which requires a high level of trust. Joining freelancing platforms is one way to start freelancing without worrying about billing and collecting payments.
The best freelancing platforms serve as the intermediary that matches clients with freelancers. They also collect and process payments for nominal fees.
Once new freelancers figure out the lay of the land, start marketing your services. Digital marketing is the most cost-effective way to spread the word. Develop a website, create social media accounts, and employ search engine optimization tactics.
Then, invest in offline marketing strategies, such as printing business cards and hanging signage on business properties. Rideshare drivers hand out business cards to obtain repeat clients. Freelance mechanics and power washing professionals can ask for referrals from current customers.
Employ the most appropriate tactics for your field, and insert some creativity.
Some individuals turn freelancing into side hustles. Others work part-time hours, and the rest dive into freelancing full-time.
Whether freelancing becomes a gig or career, commit to it 100%. It’s tough to optimize time and maximize income with one foot in and the other one out.
It’s an exciting time to transition into freelancing. Technology makes it possible and cost-effective. During the transition, assess the market and your skills. Join freelancing platforms and commit to the endeavor 100%.