Freelancing in the UK is no easy feat; however, it is becoming vastly popular and an excellent way of making a passive income.

More and more people in the UK are choosing freelance over employment for the flexibility and independence it provides. In the long run, freelance can be very lucrative if it’s done correctly. But competition is fierce as there are already around two million freelancers operating in the UK. So, how can you improve your chances of success as a UK freelancer?

Photo by Alizée Baudez and blog by Sara Akra

Start freelancing in the UK today!

Here are our 5 top tips to freelancing in the UK.

You should have some money in the bank to act as a financial buffer at all times. Your freelance business will likely take some time to get off the ground. Even once you get going freelancing can be somewhat unpredictable. There will be months where you’ll make less money than you had done previously. Give yourself the best chance by keeping money aside at all times. When calculating how much you need to save factor in all your expenses for a month; including food, bills and rent or mortgage payments. You may even want to run your freelance business as a side hustle for a while until you feel you’ve saved enough to cushion you from any financial or extra expenses you might encounter when you take the plunge.

This is probably where most freelancers slip up. Don’t be complacent about the technicalities and logistics of running your business or you’ll fall behind your competitors.

 

Firstly, make sure you’re aware of all the legal requirements and fees that go with running a freelance business. Don’t forget that you’re required to register with HMRC as a sole trader before the 5th of October in your second year of business. Look on the government website for more information. Another thing to consider is whether you’re going to need insurance and if so what kind. Do you need professional indemnity to cover you for mistakes or public liability cover for damaging people’s property or causing injury? Which type of cover you need will depend on the kind of service you offer. Contact an insurance company to advise you on this. Also, decide early on whether you’re going to hire an accountant so you can factor this into your expenditure when planning what rates to charge to ensure you make a profit

 

Secondly, make sure you’re always researching your market. Always be aware of who your competitors are and what they’re providing. Are there gaps in the market that you could fill? What rates are your competitors charging? What do you need to charge to make a profit? Your prices should be competitive enough to entice clients but not so low that you don’t benefit. Proper research will allow you to maintain success as you adapt and change with the market.

 

Whatever service you’re providing you will likely have a lot of competition. To stand out from the crowd, you need to have a niche or USP. This means you offer something that you are an expert on and not many others can provide. This way, you will narrow down the number of other businesses you have to compete with. This doesn’t mean you have to offer only one service. For example, if you’re a graphic designer, you can provide numerous services. Still, your niche could be to design children’s books, or if you work with technology, your niche could be designing speciality websites. If you’re a writer, your niche could be writing biographies and so on. Whatever your niche is, make sure you’re exceptional at it and that you always highlight it when promoting your business.

Start promoting yourself even before you launch. Get in touch with everyone you know past and present and tell them about your business. Use platforms like LinkedIn and Worksome to make new connections and put your business out there. Don’t dismiss anyone as they could end up becoming a client or connecting you with one later down the line. A good idea is to create a professional business website to promote yourself on and make it easy for people to contact you. You could also utilize social media sites like Instagram and Facebook to market your work by starting a business page on them; this works particularly well for creative/artistic freelancers. If you’re just starting, let people know what rates you’re charging from the get-go. Don’t start by working for free as this will only undermine your business and give the wrong impression.

Being your boss means you have to motivate yourself to keep going, keep learning, and keep growing your business; this can be overwhelming at times. That’s why you need to build healthy boundaries with yourself and your clients. Make sure to give yourself much deserved breaks and reward yourself for your hard work. Don’t take on more than you can handle even if you feel inclined to. If you have too much on your plate or you don’t click with a potential client just say no. The reason you went freelance is to get more control, so utilize it and enjoy your new-found freedom.

 

Join Skillbox today and get started with your freelance career. 

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