Showing posts with label financial planning for freelancers. Show all posts
Showing posts with label financial planning for freelancers. Show all posts

Tuesday, March 11, 2014

What does it mean to be a freelancer, a new episode

Once upon a time, when I did not have any idea that there is a word called 'freelancer', I was day dreaming about me spending my working day at a coffee table outside while making the last touches to my articles before sending to the newspaper, without the need to spend sunny hours in a cubicle. And thereafter, to fully enjoy my time with family and friends, before getting ready for a new article.
Now, my dream is real, and I can write how many articles I want from anywhere. After, I can spend a lot of time with the family, cook dinner, read and learn a new language.
For those who are not (yet) freelancers, such a daily schedule might look as a little corner of paradise. And it can be, as long as you consider that using your freedom is the most important thing that you can live. On the other hand, if someone might have a look at my schedule for today, would not have any intention to be a freelancer any more.
Just a little impression: woke up around 7.30 for coffee and some family chat, left on my own at 8am for: writing a couple of academic posts, answer another set of questions for another academic contribution, sending some pitches and CV for 2 possible new collaborations, answering some 5+ question for a company I am doing customer service consulting, checking every hour my Twitter and Facebook feed for getting in touch with interesting people and ideas, requesting some interviews, checking the results of a 21-page test I did at the beginning of January (with good results and this is by far, the best news of the day), thinking about new writing collaborations, finishing a children book that should be included on a longer post reviewing a couple of children books read recently. For a break, I went outside to pay a visit to the local library and some basic shopping for around 45 minutes. Returning back where I am set to prepare some cookies, listen for 2 hours to some online classes and finish another 4 blog posts. 

Discipline, an important key of success

Maybe this is one of the busiest day of the week, when I do not have too many meetings on the agenda, but this is how I usually work every day as a freelancer, except the Saturdays. But at least one day the week should be full time dedicated to updating my blogs and reading plus finding out important collaborations for the next days and weeks. As I am completely on my own, I am the one who is running after opportunities and the more I work the better for our daily life and the future travel plans. 
Especially at the beginning of your freelance life, there is not easy, not easy at all and having some healthy savings can avoid many dangers. If you don't have any contacts and experience in the area you want to be a freelancer, you better wait a bit and try to think about a transition time, when you still keep some connection with your previous work while building a new network for your new professional profile. 
As you are completely on your own, discipline is essential and a smart time management dramatic. Otherwise, if you plan to sleep till late and spend hours in bed or checking the funniest cat videos on Facebook, there is no chance that you will get some important revenues out of your freelancing work. 
I am very honest and will always say that freelancing is not for everyone, but if you really feel able to cope with all the challenges, there are many rewards waiting for you at the end of the road. Sometimes, it is really important for your self-esteem but also for keeping up the good work and continuing your work! Your one and only freelance work!
Sorry, I should be ready with some cookies for my beloved ones!

Friday, February 1, 2013

Financial planning for freelancers

As a full time freelancer and consultant, I enjoy my freedom and the diversity of the topics I may address from a day to another. However, from time to time I am faced with a very unpleasant side of my freedom. 

There it is a price to pay, of course, and it is about money that I would like to talk a little bit now, a couple of hours before entering the weekend.

The most important think that you should keep in mind when it comes to starting your freelance life is how you will cover your basic needs: rent, daily food, insurances. Once this amount is safe, try to think a bit in perspective: what if the main provider of the money for rent, or food will delay the payment, for different reasons. Once, my employer forgot to pay my consistent bill for almost one month and if not my careful savings on the back of my bank, not only me, but the daily comfort of my family would have been affected.

This is why I love to work as much as possible, at least for a couple of month before a first slow down in March/April, and another significant one in August/September. In between I want to dream about trips, and surprise journeys in different corners of the world and some challenging new business ideas. But, take it as it is: without money, you can hardly move forward and before you start dreaming, check your account - with online methods it is more than easy to do it nowadays. It does not matter how much you love your job and how much you fun you have to work from home each and every day. Once upon a time you will realize that the frustration of counting every money and worrying how you will survive for the next weeks will diminish if not uproot completely your amazing imagination. 

At least it is how it works in my case: the financial insecurity is not a creative boost for my writing and consulting life and only the idea that people do not pay in time or ignore my mails asking for a clarification of the financial condition makes me sad and sick and unhappy. This is because I am a very correct person and each time I have a debt, I like to pay it in due time. 

Once again, my advice before closing my online business for the next 25 hours: enjoy your life as a freelancer but be sure that you can afford it. If not yet, work a little bit more and save even more. With some nice savings in your bank account, life can look easy and the inspiration will flow.

Good luck everyone!