Looking for a great idea for a business startup? One of the largest barriers to taking a business from a great idea to doors open for business is the amount of capital it takes to fund the startup costs. This is the reason that so many potentially game changing entrepreneurs are still holding on to a job that they don’t enjoy or isn’t where their passion lies. A recent study may help to change the conventional wisdom of what a business should be or what it looks like.
A recent study conducted by Regus asked 12,000 companies how likely they were to hire freelancers in the future. 47 percent of the companies indicated that they would hire freelancers instead of hiring full or part time staff.
What does this mean for the person looking for a low cost way to fund their business startup? It means that you probably have skillsets that companies need and instead of hiring you as a staff member, they would gladly pay you on a job by job basis.
Freelancers don’t often have expensive store fronts, a large staff, and many of the other overhead costs that come with traditional businesses. With overhead costs low, starting a career as a freelancer is attainable to many. Here are some ideas to think about as you consider the possibilities of a freelancing business model.
You have to Sell
If you hate sales or marketing, freelancing may not be right for you. Freelancers know that in order to thrive, they have to spend a lot of time marketing themselves. One of the toughest changes to your way of thinking is that as an employee, you were assigned work. As a freelancer, you have to go out and find work and that takes a thick skin and the ability to sell your brand.
It’s a Business
Don’t allow yourself to feel like what you do isn’t as much of a business as your old job. You are a professional and your business should look professional to outsiders. The first thing to do is form an LLC or other business designation so people know that you have staying power.
Taxes and Benefits
You still have to pay taxes, you need a retirement plan, and you need health insurance. Work these costs in to your pricing model. You don’t have to be the lowest priced person offering the service. Your product just has to be the best.
With companies hiring more freelancers to complete jobs that were once assigned to salaried employees, a person who is looking for a new business idea is in the perfect position to form a freelancing business.