How to Start a Freelance Business from Scratch?

According to some of the latest estimates of the job market, New Zealand is under great pressure. This is why more and more people in New Zealand are looking towards the idea of becoming freelancers. The best thing about this is the fact that you can start your freelance business as a side-project, which gives you great financial security. Another advantage is the fact that, in most industries, you can start with minimal investments. Finally, you can be your own boss which is a dream come true for so many people out there. With that in mind and without further ado, here are several tips on how you can start out your own freelance business.

Choose an industry and validate an idea

The first thing you need to do when starting a business is to choose an industry. As a freelancer, you’ll be the bulk of your workforce, which means that you need to pick an industry in which you’re proficient enough. The next step when starting a business would be to validate an idea. Fortunately, this is much easier for freelance businesses. All you have to do is check what your initial investments will be (if there are any) and see how profitable you can be. By working on some platforms, you might be forced to work for a modest sum until you build your reputation high enough, yet, this is something that most businesses would have to go through.

Know how much your work is worth

One of the most important things you need to figure out is how to charge for your services. Keep in mind that there’s a certain industry standard that you need to adhere to, yet again. As a newcomer without any experience, you might be unable to charge the full price for your services. In order to know where you stand, you must first do some research. Also, don’t try to be competitive by lowering your prices too much. This is a strategy that will backfire in the long run and as soon as you establish a solid enough presence in the industry, you’ll realize that there’s more than enough work for everyone.

Will you be able to work full-time?

The next thing you need to consider is the idea of working full-time. There’s a belief that it takes approximately 10,000 hours for you to master any skill. This is approximately 417 days and it’s a goal that you will reach much more quickly if you do this one thing full-time. Moreover, we talked about how you might need to work for next to nothing in the initial stage of your freelancing. Well, the more you work the sooner you’ll get through it.

Consider your investments

There are some freelance businesses that are virtually free to start in. We’re talking about the idea of becoming a copywriter. You already have a computer and MS Word and that’s more or less all you need, right? Well, this isn’t necessarily true for those who have a bit more ambition. Some platforms give you an opportunity to advertise your business and you could always benefit from a professionally made website. Seeing as how all of this is fairly small in scope, it might be hard for you to get a business loan. On the other hand, platforms like MyFi NZ may provide you with a personal loan that you could use to cover these expenses.

Previously, we’ve mentioned the business idea of becoming a copywriter which is the cheapest of options, however, what if you aim to become a professional photographer? A quality camera alone can cost a small fortune, not to mention the fact that a license for software such as Adobe Photoshop isn’t inexpensive either. All in all, you might need some initial capital to get yourself going.

Build a network of contacts

In the business world, regardless of whether you’re a freelancer or a CEO of a massive conglomerate, your network of contacts is everything. People you do a good job for may recommend you to others, offer some assistance in the future or work with you again. Also, if you decide to offer a service that belongs to a narrow niche, you’ll have to work with those who can do things you can’t.

Conclusion

At the end of the day, it’s incredibly important that you know what your end goal is. Do you aim to make this into a full-time job or do you hope that it could evolve into a traditional business (and hire others to work for you), at one point? If the latter is the case, you need to start making scalable moves.