by Jennifer Ward
If you want to get your freelance writing business off the ground but aren’t sure where to start, you aren’t alone. Starting a business can be exciting and overwhelming at the same time. There’s a lot of flexibility that comes with working for yourself, but with that freedom comes many strange twists and turns. Like venturing into any unfamiliar area, it can be tricky. Where does someone begin? Well, the first thing is to have an idea of your goals and where you would like to end up. With that said, I suggest taking three essential steps to establish your freelance business.
Determining a Business Structure
Understanding how your business will operate is crucial to establishing a freelance business. Will you find someone to partner with? Will you work alone? Those seem like basic questions, but they are big decisions that will significantly impact your business’ labor, profits, and other aspects. Sara Horowitz, the author of The Freelancer’s Bible, urges readers to consider that the choices we make about business structure will affect record keeping, tax procedures, and personal liability, among other things…(262). Seeing which model also fits best with your vision (sole proprietor, partnership, or LLC) will help you figure out what makes the most sense in terms of time, finances, maintenance, and taxes. Whether you are just beginning to establish this business or reconsidering your current model, a business structure will not only influence everything you do in the first few months, but it will also have a significant long-term impact.
Some questions to consider:
- Will you work alone?
- Will you work with a partner?
- Will you establish yourself as a sole proprietor or LLC (Limited Liability Company)?
- What are the advantages and disadvantages of registering as an LLC?
- What are the advantages and disadvantages of registering as a sole proprietor?
- Will you use your name as your business name?
Writing a Micro Business Plan
Writing a micro business plan is basically a small business plan. This will outline what your business will offer, how it will make you money, and who your customers will be. Sara Horowitz mentions determining the tactical things you’ll do in the first year or two (261). That means making sure to include a list of target clients, knowing how you will communicate with them, building a portfolio of work or writing samples, and the professional goals you hope to achieve. As you learn about the industry, other aspects of business can always be added later. But writing out a rough outline of what you will be doing in the first couple of years will be a solid place to start.
Some questions to consider:
- Who will be my target audience or consumers?
- How will I communicate with my consumers (email, phone, etc.)?
- What will be my hours of operation?
- How will I secure the funds to start this business?
- How will I charge clients for my work? In other words, will you establish an hourly rate or request a specific amount for the entire project?
- What will I include in my writing portfolio?
- How will I market and brand myself?
- What do I hope to achieve in the first three months of operating my business?
- What do I hope to achieve within the first year of operating my business?
Understanding How You Will Support Your Business
Supporting yourself financially is another crucial step toward starting a freelance business. If you are working full-time, perhaps your income from your day job will provide enough support to pursue your freelancing business before it takes off. I teach English and Drama classes, Monday through Friday. I am a public school teacher and do not earn a high salary. However, my teaching job has provided me with a steady income, which counts for a lot. For me, it made the most sense to continue teaching and let this be my primary source of income—supporting me personally and funding my freelance business. Having multiple income streams is an excellent approach if you can manage it. You will survive the dry spells when you have less freelance work or no work at all. Having multiple income streams means having security and something to fall back on.
Some questions to consider:
- How will I support myself while building my business?
- How much capital do I need?
- How will I secure the funds?
- Will I develop multiple income streams? If so, how?
- Will I have enough money to advertise on social media and other platforms?
- Where do I want to be financially five years from now?
I suggest diving deep into the big parts of your business, like money, structure, and a plan. The other smaller pieces can be figured out later on. What new business ventures will you embark on in 2023?
References
Horowitz, Sara. The Freelancer’s Bible: Everything You Need to Know to Have the Career of Your Dreams on Your Terms. Workman Publishing Co., 2012.
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