The Freelancer versus Agency
Freelance business has two models to work as freelancer. In first method an individual works alone and the second way of working as freelancer is being a part of agency or freelancers team. If you are working as freelancer and need to grow your business it is always crucial to choose the way of working. No doubt each freelance business model has its own advantages, benefits and yes, certain disadvantages. In underneath discussion we are going to discuss models, individual and agency model of freelancing. Looking both sides of coin, in the end of discussion, we may get a clear winner, but it will depend more upon you than anything else. Both models can be great for their own reasons.
Freelancers Need to Specialize
Many peoples think that for freelancing it is essential to specialized in one field. The truth is that, it is totally depends on your business models. If you are working as individual then you may need a set of skills rather than you must be specialized in one field. In small business it is very rare that customers know the difference in small thing, they usually know that you will be able to handle all things for them, whether it is within your scope of practice or not. In this case you must be able to tackle different things. Working as an individual freelancer it might be great to specialize in one thing but you can tackle many things. Offering a package to customers is one of the most appreciated marketing techniques adopted by almost every agency.
But if you’re getting online freelance jobs as an active agency member than being a specialist in particular field will gives you a great advantage. Usually agencies offer all kind of services to their clients and they need specialist in their agency to facilitate potential clients. Agencies do more jobs as compare to individuals but they charge lower amount for their services. This can put a limit on your earning potential as well.
A Natural Progression
No matter how much you can argue for or against individuals vs. agencies. Still people have to ask, do the minor differences really matter? You can find countless freelancers who start working as individuals but with the passage of time as they faced more workload and big projects, they need to build a team and then start freelancing as agency partner. Now it depends on the growth of your business, if you get projects more than your capacity then definitely you have to build your own agency or you have to merge in running agency. But your own wish is also important for you. So we close this discussion on a question. Do you want continue working as a freelancer or adopt the agency label? You will find the right way of freelance model, if you get the right answer of this question.
Freelancers Have a Lower Overhead
It is nature of freelance jobs that you are free to choose place and working hours. But this rule applies only on individuals. There are lots of expenses that can come if you build your own agency. You may need to pay utility bills, office supplies, rent etc. This may reduce your profit margin. Then you also have to find members for your agency. This step may lead you toward a disaster. As an individual freelancer you don’t need to pay any additional dollar to do jobs online. But there are many freelance agencies in which team members are working from their homes just like as individual freelancer. You can also build this type of agency. But in this case each member of agency should be expert and specialist in his field, so agency can complete jobs within given time with great perfection.
Freelancers Can’t Scale Their Business
Working as successful freelancer the demands of larger clients is another issue. There are two portion of this problem; first one is related with scale of business. How an individual freelancer can scale their business to meet the demands of larger clients. This issue is now almost resolved as freelancers can collaborate with other freelancers. If you need someone other to meet the clients requirement then you can collaborate with other freelancers, but collaboration is depends on the availability of other freelancer. In this regard agencies take advantage of their business models. They don’t need to collaborate with any other freelancer. Agencies can react much faster than freelancers, as very often, an agency can offer multiple skill sets under one roof or at least all in one deal. This ability to collaborate rapidly is a definite advantage.
Are You Tied to Your Business?
If you are working alone from your home generally there is no person to share your workload. Think that if you have to step away from your business for two weeks, how you can handle your clients and projects without the help of any body. You can’t rely on any one, because your client trust on you and you are the only one who understands the nature of your client’s. This is one of the potential fatal flaws of being a freelancer; your freelance business relies heavily on you. But working with agency things will be different. Usually agency keeps in touch with many freelancers and professionals. They can hire full-time and part-time employee to complete the job. Any member of agency can entertain the clients. Now it depends on you. If you are happy operating as individual freelancer for the long term, then you may not need to worry about this. But if you have to step away from your business for some time then an agency model freelance jobs are better for you.
I you are a new person in online freelance job then there few things most important to consider. As a new freelancer connections and relationships can make your freelance journey much easier. If you are expert in your field, you will have a lot more confidence when it comes to taking on new projects. Without any connections it is always difficult to get jobs to earn livelihood. You have to build your own network for the continuous job flow. But as member of agency you don’t need to worry about your professional connections. Agencies don’t attract the clients only, but they also attract potential talents. You can grow your business much faster as compare to working alone.
It is easy for freelancers to scale their team as necessary while maintaining the freedom that comes with being a freelancer. The biggest flaw of working as individual freelancer is to step away from your business. In every case you are the business, but even this line is becoming increasingly difficult to distinguish.
It’s relatively easy for someone working as a freelancer to scale their team as necessary while maintaining the freedoms that typically come with being a freelancer. The biggest trade-off is the inability step away from your business. In many cases, you are the business, but even this line is becoming increasingly difficult to distinguish.