12:50 AM
Elise Connors
I need your help. I want to capture some statistical data for an upcoming blog post, and I need your feedback. If you can answer just a few questions for me, I'd really appreciate it. :-)
Wednesday, October 5, 2011
Tuesday, October 4, 2011
Liability Insurance & Accountability in Freelancing
You know something that really irritates me about freelancers/independent contractors/whatever you call yourselves? The lack of accountability in your work...
Allow me to explain - when you are working on a specific project for a client, you should be responsible for the work you do (and don't do). That means - if you make a mistake that costs your client anything (their own clients or money), you should be willing to take responsibility for your actions. Normally that is in the form of financial reimbursement. However, there are other ways that you can "repay" your client.
Either way, if it was your mistake that caused the issue, you should be willing to take fault for it. Taking fault doesn't mean merely apologizing. No, there's much more to it than that. There should be some sort of consequence. Leaders step up to the plate without being asked. Followers wait to be confronted about the issue. Are you a leader or a follower?
That brings me to my next issue - the importance of liability insurance when you are working as a freelancer. In case you "mess something up" while working on a client's project, you need to have the peace of mind to repair what you did. Sometimes you can't afford to make things right with your client using your own money. Say for instance you build a shopping cart for a client and you don't configure it correctly. You set all of the products to sell at 50% of their true retail cost. This causes the client a loss of $50,000 over a 7-day period. What do you do when the client sues you for your gross negligence (you may have caught the error if you had some quality assurance mechanisms in place)? If you have no insurance, you may be forced to pay that cost out of your own money.
What type of insurance do you need? For that, it may be best to talk with an insurance agent. Overall, though, you should have some sort of umbrella coverage that protects you from a certain amount of damage. Many finance and insurance professionals carry at least $1 million worth of coverage. Again, talking to an insurance agent will let you know what will best suit your business.
How do you deal with accountability issues when working with clients?
Allow me to explain - when you are working on a specific project for a client, you should be responsible for the work you do (and don't do). That means - if you make a mistake that costs your client anything (their own clients or money), you should be willing to take responsibility for your actions. Normally that is in the form of financial reimbursement. However, there are other ways that you can "repay" your client.
Either way, if it was your mistake that caused the issue, you should be willing to take fault for it. Taking fault doesn't mean merely apologizing. No, there's much more to it than that. There should be some sort of consequence. Leaders step up to the plate without being asked. Followers wait to be confronted about the issue. Are you a leader or a follower?
That brings me to my next issue - the importance of liability insurance when you are working as a freelancer. In case you "mess something up" while working on a client's project, you need to have the peace of mind to repair what you did. Sometimes you can't afford to make things right with your client using your own money. Say for instance you build a shopping cart for a client and you don't configure it correctly. You set all of the products to sell at 50% of their true retail cost. This causes the client a loss of $50,000 over a 7-day period. What do you do when the client sues you for your gross negligence (you may have caught the error if you had some quality assurance mechanisms in place)? If you have no insurance, you may be forced to pay that cost out of your own money.
What type of insurance do you need? For that, it may be best to talk with an insurance agent. Overall, though, you should have some sort of umbrella coverage that protects you from a certain amount of damage. Many finance and insurance professionals carry at least $1 million worth of coverage. Again, talking to an insurance agent will let you know what will best suit your business.
How do you deal with accountability issues when working with clients?
Wednesday, September 28, 2011
Why Freelancers Should Constantly Market Their Businesses
When you freelance, it's easy to get caught up in your daily work. You have to work on Client A's project, email Client B, have a conference call with Client C, etc. Once the day is done, you aren't left with much time to do any work promoting your business. This is a major mistake. Here's a quick illustration of why:
Let's say that in your line of work, 3 clients is enough to take up your time. Now that you have 3 clients, you are turning down business and referring "wanna be" clients to your fellow freelancers. This is not a problem and is actually the way things SHOULD go. This also means that once you no longer have work, you won't be able to "fall back" on those clients.
Client A pays you $1000 per month. Client B pays you $1500 per month. Client C pays you $3000 per month. Altogether, that's $5500. That's enough to live reasonably comfortable. Let's say Client C's company has been having trouble since the beginning of the recession and finally decided to throw in the towel. That means you've just lost $3000 per month.
Now you're panicking. Because business was going well, you didn't bother marketing yourself. You're left with only two options:
Wait for more clients to contact you again.
OR
Hit the pavement like you did when you first started.
Have you ever heard the old saying "If you stay ready, you don't have to get ready"? That's precisely the case when it comes to marketing your business. It's better to turn down work or outsource it than to lose work and have to start over.
Have you ever been caught with your professional drawers down? How did you make it right and are you committed to never letting it happen again?
Let's say that in your line of work, 3 clients is enough to take up your time. Now that you have 3 clients, you are turning down business and referring "wanna be" clients to your fellow freelancers. This is not a problem and is actually the way things SHOULD go. This also means that once you no longer have work, you won't be able to "fall back" on those clients.
Client A pays you $1000 per month. Client B pays you $1500 per month. Client C pays you $3000 per month. Altogether, that's $5500. That's enough to live reasonably comfortable. Let's say Client C's company has been having trouble since the beginning of the recession and finally decided to throw in the towel. That means you've just lost $3000 per month.
Now you're panicking. Because business was going well, you didn't bother marketing yourself. You're left with only two options:
Wait for more clients to contact you again.
OR
Hit the pavement like you did when you first started.
Have you ever heard the old saying "If you stay ready, you don't have to get ready"? That's precisely the case when it comes to marketing your business. It's better to turn down work or outsource it than to lose work and have to start over.
Have you ever been caught with your professional drawers down? How did you make it right and are you committed to never letting it happen again?
Tuesday, September 27, 2011
Going Out to Lunch
"Going out to lunch" is an office workers escape. When I worked a "real" job, I often found myself at lunch with coworkers. This was our time to dish the dirt and all around relax our minds from whatever was going on at work. These lunches were especially necessary during the tumultuous and uncertain times of the recession when we experienced 3 layoffs over the period of only a few short months. Lunch was a time for camaraderie and fun. I enjoyed it - A LOT!
Now that I'm freelancing, I miss those days. Honestly, "lunch dates" are one of the few things that I miss about working outside of the home. I miss that opportunity to socialize over food. Now I sit at my computer and eat. Going out to lunch is not so much about satisfying hunger (certainly you're hungry) as it is spending time away from the office with people you've gotten to know through work.
At any rate, I was surprised today by two other people who work as contractors for the same company I work with. Needless to say, it was a very pleasant surprise. They live over 8 hours away (driving), so it's not like we see each other often. As a matter of fact, this was my first time seeing them. However, I picked up in conversation with them as if I'd known them for a while. I enjoyed being able to get out again and enjoy time with people who can "relate" to my work.
The moral of the story is: sometimes it's nice to go out to lunch. It allows you to escape the office and socialize a bit. Humans are very social creatures, thus we need socialization in order to thrive - even when it comes to our work.
How many of you have lunch groups you go out to eat with every so often? Do you think this makes your day run more smoothly?
Now that I'm freelancing, I miss those days. Honestly, "lunch dates" are one of the few things that I miss about working outside of the home. I miss that opportunity to socialize over food. Now I sit at my computer and eat. Going out to lunch is not so much about satisfying hunger (certainly you're hungry) as it is spending time away from the office with people you've gotten to know through work.
At any rate, I was surprised today by two other people who work as contractors for the same company I work with. Needless to say, it was a very pleasant surprise. They live over 8 hours away (driving), so it's not like we see each other often. As a matter of fact, this was my first time seeing them. However, I picked up in conversation with them as if I'd known them for a while. I enjoyed being able to get out again and enjoy time with people who can "relate" to my work.
The moral of the story is: sometimes it's nice to go out to lunch. It allows you to escape the office and socialize a bit. Humans are very social creatures, thus we need socialization in order to thrive - even when it comes to our work.
How many of you have lunch groups you go out to eat with every so often? Do you think this makes your day run more smoothly?
Wednesday, September 21, 2011
1 Surefire Way to Increase Your Productivity
Freelancers must learn to be as productive as possible. You have to juggle multiple responsibilities within your business, work with various clients, etc. If you aren't productive, you can easily fall behind and have upset clients within one week or less.
However, there is one surefire way to increase your productivity: get ready for work.
You will be surprised at how much you can get done when you have shifted your brain into working mode. The quickest way to go from 0 to 60 (productivity style) is to get dressed for work - all the way down to putting on shoes. I explain more details in this video:
It works, believe me. If you don't believe me, try it, and if it doesn't work, you have full permission to give me a good cyberslap :-).
