Preparing For Financial Uncertainty As A Freelancer
The UK economy feels like it's going in the bin right now, and the rest of the world aren't exactly having a picnic either. So what can freelancers do to ride the wave and be the most prepared for upcoming financial chaos?
I've been a part time freelancer since starting art school in 2016, continued after graduating, made it through covid and now find myself navigating on of the biggest challenges yet - keeping going.
The first thing I'd say is that if you've currently got part time job, as many freelancers do, keep it. It's best not to put all your eggs in one basket and have income from different sources. If for whatever reason one doesn't make it through the tough times, you have other options to fall back on.
It's also a good idea to check in with your existing or previous clients, if you have them. They may also be small businesses and freelancers so will be looking to save on expenses, but they'll still need services that keep their business running.
Check in and let them know you're available, be friendly and kind, follow up on previous work and when they do need something they'll know where you are!
Expand your stockists if you're a product based business. Retailers will also be tightening their belts but they still need fresh stock to drive their own sales. They need you as much as you need them. Sure, they'll be thinking more wisely about who they spend their money on, but there's no reason why it can't be on you and your products.
Adapt your current offerings. For example, I have previously taught a 8 week evening textiles class at a local art school. The fee is just under £100. This time around it's not running due to lack of interest, and most likely the fact that people aren't willing to drop £100 on a course right now. However, last week I announced a one evening marbling workshop, £30 per person, and it sold out in two days.
We can clearly see that the 8 weeks for £100 is better value, but the customers are simply looking at it as £100 vs £30.
It also works out way better for me as I make a higher profit margin this way, and only have to give up one evening of my time rather than eight. A win win all round!
Lastly, the most important thing; diversify your income streams.
The number one thing I tell my clients regardless of the economic climate. People aren't in a hug spending mood right now, so it doesn't make sense for the marketing narrative of your business to be sell sell sell.
"I'm selling this item, I just made this, please buy it"
Just won't cut it at the moment. Instead, focus on things that don't feel like spending to your audience.
My workshop for example, it's an experience, an evening out with a friend, you get tea and cake and you take something home at the end of it. If I'd launched a marbling kit on my website for people to buy there's no way I would've sold ten kits in two days.
Another great income stream is one where your audience don't actually have to put their hands in their pockets in order for you to get paid.
Take YouTube ad revenue as an example. This is what I'd classify as recession proof. It takes time to build (currently working on it myself!) but once it's established your audience can access your content for free, whilst YouTube pays you for sticking ads on your videos. Ideal!
Similarly, there's affiliate marketing. Of course, this does require your audience to spend their money, but done right you should be showing them items they would've bought anyway, and you're just securing yourself a small percentage of that sale. Most brands offer affiliate programmes now, and it's usually fairly easy to apply. Personally I'm an affiliate for Etsy and Bookshop.org, both sites I use regularly, which makes it genuine to my audience. I recommend things I have bought myself so they know they can trust my judgment.
Ultimately, there's no reason why we can't all make it as freelancers. I hope this post gives you confidence! If you liked this, consider buying me a coffee for my time.
Sending good vibes,
Rach