For the longest time freelancing was seen as a post-retirement option, something people could do from their homes to make some money. When people were pushed to work from home during the COVID-19 pandemic, this perception changed. The world slowly accepted remote work, and with loss of jobs and financial stability, people realised that freelancing is the future. As of 2023, there are about 15 million freelancers in India and 70% of Americans are considering the switch. The on-going recession has also made people with steady jobs look for freelance projects on the side, a phenomenon known as ‘moonlighting’.
While freelancing has taken the world over by storm, there is still a lot of ambiguity. There is no formal school of thought that can train freelancers. Needless to say, there is a lot of confusion and uncertainty around this. How does one start freelancing? Can this be built into a stable career? Will you have to give up on your dreams to become a freelancer? Will you always struggle to maintain financial stability?
Well, no. Freelancing can be a fulfilling professional path that can help you build the life you want, if you plan well.
In this guide, you will read about the various challenges faced by freelancers globally and the decision-making process involved in tackling them.
Unpaid invoices
People around the world – especially freelancers – are chasing invoices. Clients don’t always follow through with their commitments and not being paid for your work (in this economy) isn’t the best feeling.
How to work around this?
Lawyers can be expensive. An inexpensive option is to create a contract and get it notarized. This way you can send a legal notice if a client doesn’t follow through. An email is as good as a digital contract but it isn’t legally binding.
Please remember, don’t start work unless you take an advance payment (minimum 30% of the final amount). In this regard, you need to hone your communication skills and be firm.
Managing a business
Yes, freelancing is a business. You need to tackle payments, pay taxes, find new clients, maintain existing client relations and teams (if you collaborate). Most freelancers are extremely talented in their work but don’t know how to manage their business. This can affect your standing and income in the long run.
How to solve this?
As a freelancer, you are responsible for getting your own work, making sure your existing clients are happy, ensuring that you are still growing and setting a goal for yourself. Focus on building trust and relationships with clients. Show them that you care, through consistent communication and effort. It helps to have financial and professional goals to give you a sense of direction. Spend time every month to review your goals and reevaluate your efforts.
Think about what brands you want to work with, what niche you want to create and what your strongest skill sets are. Make choices that take you closer to your goals and learn from your mistakes. Lastly, seek out mentors that help you get where you want to be. All of this needs to be carefully chalked out so you don’t feel overwhelmed. Take it one step at a time and reach out to people who you think could guide you.
Relationship Building
As a freelancer, all your decisions should be focused on building relationships with your clients. It may seem easier to just get the job done, but you cannot undermine the long-term benefits of a healthy relationship with your clients.
How to solve this?
Be proactive in your communication with your client. How do you do this? Send out emails, explain your process, follow up, give updates on the work being done and set realistic deadlines. Make your client feel involved so they can learn to trust you too.
Money vs Value
As a freelancer, you will want to do meaningful work. However, it might not always bring you the kind of income you want. On the other hand, not all well-paying gigs will add value to your professional growth.
How to solve this?
Make peace with accepting both kinds of work. Make decisions that help you grow not just professionally, but financially too. As a freelancer, your flexibility shouldn’t be limited to just your physical space but should extend to your mindset as well. There will be projects you might not be comfortable putting on your CV. However, they would probably be the cash cows that bring in the money to help you reach your financial goals. Accept work that helps you work towards your goals, even if it’s something you can’t show off.
Taking Feedback
Feedback is a part of work, and how you receive the feedback will help you build a stronger relationship with your client, and work. Taking feedback too personally will set you back, while taking a step back to review what you’ve been told will help you learn something new.
How to solve this?
It’s not easy working with clients who make you feel like your creativity is restricted. Sometimes, as a freelancer, feedback can hurt your ego and you might not be able to see beyond it.
Accept that the client is a part of your creation process. They might not know how to do what you do, but they know what they want for their business. Listen more, talk less. Then, pitch your ideas, create a strategy and have it approved. Build trust so your client has faith in your work. Lastly, be open to feedback – it’s not an attack on your or your work but merely a representation of how the client sees their brand. Be open to learning from them.
Taking Care of your Mental Health
Since there is no school of thought to guide freelancers, finding work, building a business and managing money can all feel overwhelming. It can, and will affect your mental health. You have to deal with self-doubt, lack of motivation, financial instability, and anxiety induced by uncertainty. In the end, you cannot let these feelings get the better of you.
How to solve this?
Freelancing is exciting, but the magnitude of work can lead to burnout. It’s very easy to lose sight of your boundaries – both personal and professional – and sideline your mental health. Seek professional help to create a system that works for you. Organisations such as Better Help can be useful.
Freelancing isn’t just being out of the office and travelling the world. It’s about making decisions that streamline your personal and professional growth, create a constant income stream and sustain a business. This might not always be easy, but with careful planning and help, you can find success in freelancing.
