A guide to freelancing in 2023: tips, strategies & advice

Are you interested in freelancing but don't feel like you're ready? You're not alone - many aspiring freelancers hesitate to get started because they don't know quite how to prepare to take the leap.

This article will guide you through your first steps into working as a freelancer andshow you ways to grow as a self-employed professional.

We’ll talk about the benefits, carving out your niche, finances, growing your business and how to design your freelance career.

• ⁠Getting started with freelancing
• Finding freelance work
• Managing your freelance business
• Growing Your Freelance Business
• Staying motivated and avoiding burnout
• Examples of Freelancer Careers
• Summary
• FAQs

What is freelancing?

Freelancing is a business. This means you will be self-employed, independent, and mostly work on project-based tasks. Freelancers are independent contractors who provide services in various niches on a flexible or shot term basis. We'll look deeper into those niches later. It's important to note that working freelance and working from home are two different things. Those who work remotely with or without a flexible work schedule but have a permanent position and contract as part of an organisation are employees. Why freelancing is becoming more popular?

There has been significant growth in the number of people trying their hand at freelancing. A freelancing platform reports freelancers reached an all-time high of 39% of the US workforce in 2022. In Malaysia, EMIR Research shows freelancers, also known as part of the " gig economy," were 4 million in 2020, comprising 26% of the Malaysian workforce. Freelance work contributes significantly to the economy.

Public perception of freelancing is also becoming more favourable. Gen Z and millennials make up the majority of freelancers, including some who hold post-graduate degrees. Companies are also part of the big shift, relying more on independent contractors for single projects as it is more cost-effective than hiring permanent employees for a short-term project.

Benefits of freelancing

With inflation at an all-time high, more and more workers are looking into having multiple income streams. Freelancing work may be an additional source of income for some. Others turned to it as their means of survival due to reduced work hours and mass layoffs caused by the pandemic. Reports also tell us that freelancers see more opportunities now versus pre-pandemicNow let's see what freelancers themselves like about freelancing:

• Making extra money
• Having a flexible schedule
• Being in control of their own financial future
• Being their own boss

CEO and freelancing coach John Pagulayan shares, "Freelancing is a business I run from anywhere." Some professionals have been quitting their jobs to experience everything freelancers like John enjoy: freedom, control, fulfillment, and work-life balance.

Getting started with freelancing

Here are some helpful steps to help you figure out if you want to freelance:

Assessing your skills and interests

You don't need a college degree, let alone post-grad credentials, to become a freelancer. Most people have something to offer, it’s just a matter of finding out what it is.

The easiest way to do this is by simply looking at what skills and interests you already have. Look at your current source of income—be that a job, a small business, etc.—and assess if the things you do right now can add value to others. What if you don't particularly love what you do right now? This may be your chance to monetise a interest or hobby. Turn your passion into profit and discover How to Connect Your Passion and Career For Meaningful Success.

Choosing a niche

If you still can't choose a skill, consider focusing on what you're good at. List down the skills and interests you've looked into in the previous section. Then find your niche by researching if there's a good market for your chosen craft.

Check out Jobstreet to see if there is demand for your chosen niche. You can also use search engines. Check out freelance platforms that aim to connect clients with freelancers

Freelancing offers a vastly diversified world of work. If you want to become a successful freelancer, CEO and co-founder of freelance management system Stoke Talent Shahar Erez advises you to be an expert at what you do. Identify your expertise by finding and narrowing your niche. This is the first step to building a loyal customer base and using targeted marketing to reduce marketing costs.

Setting up your workspace

Creating an exclusive workspace that would adequately serve your purpose is essential. As you will likely be working from home as a freelancer, it’s important to create a space that will allow you to work undistracted. If a designated home office is not currently attainable, you can look for an area in your house that is comfortable and conducive to deep work.

Try these easy tips to enhance your workspace for increased productivity, improved performance, and healthy living:

• Improve your lighting. According to studies, cooler light helps you be more productive, and natural light is beneficial to your health and overall mood.
• Add a plant or two. Adding some greenery helps improve the air quality in the space and creates a welcoming and pleasant atmosphere.
• Minimise distractions. Your momentum and focus can easily be broken if someone at home randomly speaks to you or a gadget suddenly starts ringing.
• Use ergonomic items. Be it a chair or a wrist rest, ergonomic items in your home office can help you stay comfortable throughout the day.

Additionally, put up a vision board or a to-do list. Personalise your workspace in ways that keep you inspired, cosy, and productive. Stay on top of your workload with these Remote Working Tips: 9 Ways to Increase Your Productivity at Work !

Creating a portfolio

A portfolio is a great way of showing your best work to potential clients to get business. A portfolio should show the depth and breadth of what you do in examples of what you have done for other clients, displaying your talent and skills.

A great way to showcase your work is by putting it on a website or blog. If you're a fresh freelancer with no experience, create sample work in your own free time or during an internship. Additionally, jumpstart your freelancing career with an online portfolio by:

• choosing a user-friendly platform such as Wix, Wordpress, and Carrd
• picking a domain name that makes your blog or website professional and easy to remember
• ensuring your target audience can easily view your sample work and best projects
• including your contact information with a bio that promotes your relevant experience while showcasing your personality
• updating your portfolio regularly to show your prospects that you're active and continuously developing your skills

Do these steps if you want to be part of the 48% of freelancers who got work assignments through their online portfolio or website, according to Freelance Statistics - 2023. Having one can also come in handy for unexpected offers, so make sure every section is kept up-to-date.

Building your online presence

Next you will need to build your brand and online presence so clients can easily find you.

How do you strengthen your professional presence online ?

1. Research which platform/s your target market is on. You can also check where other freelancers in your niche are building their brands.

2. Build genuine connections with your market and your co-freelancers so can learn more about your niche. Engage with their content. Leave meaningful and honest comments on their posts.

3. Continue strengthening your online presence by consistently creating high-quality content.

Bring impactful ideas to your audience and build your credibility in the process. Keep in mind that building your professional presence online takes time and effort. Consistency is key to visibility, so consider setting aside time to create a content calendar to help you juggle work and social media.

Finding freelance work

Now that you're done preparing your landing pad, it's time to look for freelance work. If the idea of working on short-term projects worries you, you'll be glad to know that freelancers also work on long-term projects. It's just a matter of finding the right client and project for you.

Networking and building relationships

Studies show that investing in your relationships can positively affect your professional life. However, working independently as a freelancer can be a lonely journey. To ensure you still receive the support you need, build meaningful relationships with people inside and outside your current network.

For certain personality types, building a network outside of our personal life can be scary. If you're one of those people, avoid overwhelm by taking things one step at a time. Start by joining an online community and be an observer first. As you observe the interactions within the community, slowly ease into engaging in posts and comments.

Virtual communities usually hold webinars, which can be an excellent way for you to engage more with the members. Building your network, either virtually or physically, is about being genuine to build relationships. Networking can be easier if you aim to give value to others without expecting anything in return.

Build better relationships with the Top Virtual Networking Skills for a Successful Job Search.

Using freelance job platforms

Apart from your network, one of the primary ways to find work is through job platforms. There are also great freelancing-focused sites that help introduce freelancers to clients and projects. Remember that these platforms may have different guidelines for setting up your portfolio. Read through their instructions thoroughly. You can use your online portfolio to help lessen the work of setting up your profile. Make sure your profile stands out from others, as other freelancers also offer their expertise on these platforms. Once you're done, go ahead and apply for projects that fit your niche!

Pitching to potential clients

Being able to pitch your services to potential clients effectively will be your bread and butter in freelancing. As with any niche, heavy competition exists, and you want your target market to see why you're the right fit for their business. Here are some tips to help you make an impact with your pitching :

• Get your timing right by researching your prospect and setting up job alerts
• Have a clear picture of the services you want to offer and your target market
• Focus on learning the client's needs and expectations

A key to a memorable pitch pitch is to make it about them, not you. Show them that you care about their business and are here to help them. Be curious about their needs and what they've already done to address them.

Creating a strong proposal

After your pitch, it's time to structure your proposal based on your client's pain points. Tailor it by matching their needs to your proposed solution. Highlight how your skills and services can help them achieve their business goals.

Provide a clear timeline for implementing these solutions. This will help your potential client visualize how your offer can impact their business. Keep everything clear, concise, and professional. A strong proposal can lead to a good and lasting working relationship with your client.

Negotiating rates and contracts

With freelancing as your business, you are the business manager. You create your own branding and story, and the products that you sell are your services. You market your services through your online presence, pitch, and proposal. You negotiate deals with clients.

Even if you work hard and are an expert in your field, you won't earn as much without the ability to negotiate. Negotiation trainer and coach Andres Lares suggests first building your relationship with the prospect. Here are his three steps to effectively connect with your client:

1. Start by sharing an idea you believe, based on your interests

2. Share relevant experiences that led you to do what you do

3. Connect your story to theirs

Andres advises against offering discounts unless you have a promotional offer, such as referral or first-time client discounts. Instead, he suggests setting up a contract that is a package deal with predefined deliverables and a fixed fee. Lastly, he recommends not wasting energy on clients who are not right for your business.

Set the foundation for a fair working relationship with your clients by having both parties sign a contract. Moreover, asking for an upfront payment or a deposit of 30%-50% of your fee is standard to ensure the client is committed and you are paid on time for your hard work.

Managing your freelance business

With freelancing as your business, you are the business manager. That means, whether you are a seasoned freelancer or a new one, you must manage your business effectively to achieve your goals. This section gives tips and strategies to stay on top of your freelancing career.

Time management and productivity tips

As handling multiple projects is common for freelancers, time management is crucial. Remote working makes you closer to distractions and other threats to productivity. Follow our tips for creating a distraction-free workspace!

After ensuring your work area is conducive for work, set up your schedule so that even responsibilities don’t become a source of distraction. Set your schedule and stick to it. Schedule time for meetings, household chores, and spending time with loved ones.

When fixing your schedule, divide your projects into smaller, manageable tasks. This way, looking at your daily deliverables won’t be too overwhelming. Remember to concentrate on one task at a time and avoid switching to different tasks, as multitasking can make you lose focus. Instead, improve your focus by doing these:

• close your social media tabs
• turn your phone on silent mode and store it somewhere you can’t too easily grab it
• invest in noise-cancelling headphones if you’re easily distracted by sounds
• avoid checking your emails too often

Stayproductive by taking frequent breaks.It sounds counterintuitive, right? But in reality, those breaks can help you recharge and take on more tasks.

The break doesn’t include checking your email to see if your clients have sent you additional requests. Take advantage of having flexible hours. Listen to your body when it tells you it needs a break, and be intentional about getting rest by keeping work out of your mind.

Check out these 10 Lunch Break Tips for Work to Boost Your Productivity !

Setting and achieving goals

Have you thought about where you want to take your freelancing career? For any type of career, setting goals is essential if you want to turn your visions into reality. Solidify your career aspirations by setting specific, measurable, achievable, realistic, and timely (SMART) goals.

This goal-setting strategy can help you visualise the path you need to take to achieve your goals. With more manageable tasks, it’s easier to see when you’ve reached a milestone. Celebrating these milestones gives you a sense of accomplishment that can propel you to achieve more.

Managing finances and taxes for Malaysian freelancers

Filing taxes and handling finances work differently for freelancers from formal employees. Because you’re self-employed, you need to do these tasks yourself. You can also look for a tax agent if these are beyond your bandwidth.

If it’s your first time filing taxes as a gig worker, Association of Chartered Certified Accountants (ACCA) panel member Thenesh Kannaa advises doing the following:

• Get your Tax Identification Number (TIN) online through the Lembaga Hasil Dalam Negeri Malaysia (LHDN) website or mobile app.
• Perform due diligence in keeping records of all expenses and income.
• Find out which expenses may be covered by tax depreciation/capital allowances claims.
• Lastly, maximise tax savings by staying informed about items applicable for personal tax relief deductions, as shown on LHDN's website.

Thenesh also recommends checking the legitimacy of the tax agent should you choose to hire one. You can visit the Finance Ministry’s MyCukai website and use the quick search function for LHDN tax agents. At no cost, you can also ask for help at your nearest LHDN branch. Lastly, Thenesh warns that tax agents will never need to access your online tax account.

Dealing with difficult clients

On top of the technical aspects of your business, you also want to keep your clients satisfied. So how do you manage those who are challenging to work with? This section will walk you through strategies to help you deal with difficult clients.

How you respond to a demanding client can make or break the situation. Stay calm and professional. We know this may be easier said than done, but a great way to help you communicate calmly is by not taking things personally.

Setting clear goals and objectives is the best thing you can do to avoid clients making unreasonable demands. Be detailed when you outline deliverables and timelines during the proposal and contract signing stages. This way, when they ask for things beyond what you initially agreed, you can direct them to your agreement and charge more for additional tasks.

If you stay calm and listen to what your client is asking for, you can shift your focus to the problem and offer solutions. Understand where they’re coming from and empathise by remembering that a difficult client also wants to attain the objectives you established together. Your empathy and solutions may remind your client that, in the first place, they need your help.

If you’ve done your best but a resolution seems impossible, know when it’s time to let go. Trying to force a partnership that doesn’t fit may only cause your business more harm than good. Evaluate where the relationship went wrong and take it as a lesson to apply to your next projects.

Growing Your Freelance Business

Growth is an important part of building a sustaining business for yourself.. When you find yourself overwhelmed with too many deliverables, that’s a good sign to build a team and outsource some of your tasks.

Building a team and outsourcing work

First, define the role you want to fill. Do you need someone who does the same things as you? Or do you need an associate whose skills complement yours?

List down the competencies you seek, and post listings on freelance platforms. You can also tap your network for referrals and post on social media. Screen your candidates thoroughly to see if their goals align with yours and ask for sample work to assess their skills.

Expanding your services

If a client needs more help and you can still expand your services, consider learning additional skills. Evaluate your strengths, and find out what skills can augment your current offerings. You can also determine where else you can help by assessing your client’s business struggles.

For example, if you’re a social media content creator and your client needs help promoting products or services through ads, you can offer to take on the role of a social media marketer and learn on the job. Offering additional help to your clients also means higher revenue for your business.

Increasing your rates

Another straightforward way to earn higher revenue is by increasing your rates. Yes, adding more projects to your plate can increase your income, but what if you don’t have the bandwidth for more clients? It’s time to work on increasing your rates.

This may be intimidating when you’re new, but remember that in freelancing, you get paid what you deserve (and nothing less) when you know your worth. You may think you can only increase your rates when you have more experience. Approach this by including terms for rate increases in your contract. Throughout the project timeline, you can require additional payments for milestones achieved.

If you’ve been working with your client for a while, assess the value you bring to the table. Present your contributions and make them see how their business has grown with your help.

Here are a few more tips for setting your rates:

• Don’t overthink itSet your price based on the profit you bring to the business
• Set a price that allows you to invest in self-development

Stay up-to-date with trends in your industry, including median rates for similar services. Present comprehensive three-tier pricing: an introductory offer, a medium offer, and a premium offer. As a freelancer, you have the upper hand when it comes to negotiating higher rates! You have more flexibility than an employee and can more easily negotiate better terms with existing or new clients. If your client isn't willing to pay what you deserve, move on and find plenty more out there who will recognize your worth and pay you right

Building a referral network

Getting referrals is a great way to find new clients. Consulting your personal network is one thing, but building a referral network is a more strategic approach. The first step is identifying existing clients who could refer you to other potential partnerships. This could include complementary businesses, suppliers, etc.

Take it from Sam Schnitzler, a freelance web designer who makes 80% of his income from referrals. He does this by asking his clients who they work with in similar business-to-business industries. He nurtures a genuine relationship with these businesses, whom he calls “shared clients,” and offers them special promotions.

Word of mouth is also a tried and tested way to expand any business, and freelancing is no exception. You need to perform well to be recommended by your clients. So do the work and wow your partners, and you’ll be on the top of their minds when they talk to their own networks who may need your services.

Creating passive income streams

Do you want additional revenue with minimal effort? Consider generating passive income streams. Here are some tips:

• Create digital products such as e-books or courses
• Offer consulting or coaching services that can be scaled
• Invest in stocks or real estate

By creating passive income streams, you can increase overall revenue and create a more stable financial future.

Scaling your business

Scaling your freelance business means expanding your operations and increasing revenue. But you need to do these without sacrificing quality. Streamlining your operations and procedures, developing growth strategies, and effectively delegating tasks can help you in this regard.

Because you only have 24 hours in a day, scaling your business may mean creating an agency to take on more projects. You can either hire other freelancers to work under your brand or partner with them to build a freelancing agency. By growing your capacity to take on more work, you can increase your revenue and take your freelance business to the next level.

Staying motivated and avoiding burnout

Even with a job you like and the income you deserve, you can still experience burnout if you hustle too hard. Keep these things in mind and dodge the burnout bullet (you can also click each item to read more):

• Self-care and work-life balance: these should always be top priorities, as exhaustion is a primary cause of burnout.
• Deal with rejection and failure: learn from rejections and turn them to your advantage.
• Find inspiration and stay creative: this will propel you to reach your goals.
• Overcome imposter syndrome: review your achievements and seek support, as self-doubt can kill progress.
• Seek support and community: working alone may get you far, but working with a solid support system can get you further.
• Get used to saying “no”: learn to turn down tasks you can no longer accommodate, and be firm with your boundaries.

Running your own business doesn’t have to take a toll on your mental health. Don’t forget to keep your emotional and physical needs in check. Remember: your time, skills, and capabilities are your primary capital in freelancing, which means you are your best resource.

Examples of Freelancer Careers

Here are some examples of niches you can explore if you’re considering a freelance career. If you’re just starting out, one of these options may give you your launching point. If you’re more experienced, you can check this list out and see what else you can add to your offered services.

Summary

Freelancing is an exciting way to work that has grown tremendously in popularity in 2023. It allows you to create a lifestyle and work environment that suits your specific needs, interests, and goals. It’s not without its challenges, but follow the strategies we shared here, and you’ll confidently overcome those struggles.

Crafting a compelling pitch and proposal, learning to negotiate, and screening your clients before contract signing can save you a lot of headaches. Additionally, staying professional with demanding clients, taking care of yourself to avoid burnout, and setting SMART goals can take your freelancing business to the next level.

Do you want a freedom lifestyle where you’re your own boss and work anytime, anywhere you want? Jump to it and check out Jobstreet for available freelancer jobs. To get timely updates on your applications and never miss out on a potential client, download the JobStreet app from the App Store and Google Play and experience a stress-free search! stay motivated and keep you from burning out

FAQs

1. What skills do I need to become a freelancer?
   ⁠Freelancing is a highly diverse field of work. While you can offer any of your skills that can be monetised, some common freelancing skills are writing, design, tech, and business or marketing.
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2. How do I set my rates as a freelancer?
   ⁠ Set your rates accurately by researching your specific market’s rates. You can also determine your baseline rate by looking at your desired annual income and dividing that by the number of months it will take to complete your projects. Most importantly, offer services in packages, learn to negotiate, and be firm.
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3. What are the best platforms for finding freelance work?
   ⁠There are many platforms where you can look for freelancing jobs. Some cater specifically to freelancers, while others also serve aspiring employees.
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4. How do I deal with difficult clients?
   ⁠Getting a difficult client may not be entirely within your control, but your reaction to dealing with one is. Forbes notes that staying calm, setting boundaries on what you can deliver and your timelines, and knowing when the partnership isn’t working will help save your business from a harmful relationship.
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5. How do I stay motivated and avoid burnout as a freelancer?
   ⁠To help you, prioritise self-care and work-life balance. Don’t take rejections personally, stay creative and pursue what inspires you whenever you can, set firm boundaries, and seek support from your community when needed.