For many self-employed workers and freelancers, this has been a wake-up call about their future. Being able to safeguard your self-employment can help protect you from future developments, and reassure you that you chose the right path when you chose to work for yourself.
Here are some of the ways you can protect your business in the future.
Work smarter, and harder
Being self-employed has its perks. Many people are able to work doing what they love, for clients they like and it’s seemingly without much effort. While there are many who graft hard to earn their self-employment income, there are plenty of others who simply coast.
But with businesses dropping contractors and outsourced work before anything else in a time of crisis, the impact on freelancers has been significant.
Putting your efforts into finding long-term clients and strengthening relationships could help you future-proof your freelance business and provide some additional security should things become quiet again.
If you haven’t done so already, put some effort into making your self-employed business look more professional. A virtual office can help separate your business and personal matters, as well as looking more professional to the outsider.
For peace of mind and the chance to make remote working even easier, it’s a product worth investing in for your business’ future.
Put the right protection in place
While the government grants have helped out many in need at this time, it’s not something you can fall back on all the time. Freelancers often experience dry spells unrelated to wider developments, and it’s during those times you’ll be glad to have the right protection in place.
Start with making sure you have some insurance in place to cover you in the event of illness or other events that could affect your income. It’s always better to be safe than sorry in these situations, and some kind of contingency could help your business avert disaster.
Work on that emergency fund
Having an emergency fund is important for freelancers. You never know when you might experience a quiet month or need to dip into your savings.
Once you’ve established what your hourly rate is and allowing some time to work out your average income, you can establish what to pay yourself to help you live, while also putting money aside for the future.
Consider the months where there is extra work a bonus, and put it into savings until the end of the year. You’ll be glad to have some savings to fall back on if work dries up for a while.
Being self-employed can be challenging, and the pandemic is certainly a testament to that. But by being smart about your future, you can put plans in place that can help safeguard your future and help you make being self-employed a success for you.