Boost Your Profits

Money makes the world go round – but it can also send you into a tailspin. Craig Grannell explores how a free lancer can best manage funds and thereby grow their business.

- Craig Grannell

Going freelance is simultaneously exciting and terrifying. It pays to be prepared – largely because once you start freelancing, a single company will no longer be regularly paying you. “You must think of your new business as a startup: savings are a ‘runway’ to transition you from the stability of a monthly salary,” suggests strategist Christopher Murphy (mrmurphy.com).

It’s, therefore, a good idea to build up at least three (preferably six) months of living expenses prior to making the leap. Also, have a plan to step back if things don’t work out. “I told my wife we needed at least six months to discover whether my freelancing would work,” recalls creative director, designer and developer Shane Mielke (shanemielke.com). “And if I wasn’t successful, I’d immediately apply to whatever agency would have me, so we wouldn’t cut deep into our savings.”

While that might sound negative, Mielke argues freelancing is anything but – as long as you’re organized. “I made a single tweet, received my first project, and haven’t looked back since,” he says. “Although people sometimes think freelancers sacrifice money for freedom, that’s not necessarily the case – it can be very profitable and I’ve consistently made more money than when I worked as a salaried employee.”

MANAGE YOUR OVERHEADS