Just like any other business, freelance business fail on a regular basis - many of them from common mistakes. Transitioning from employee to entrepreneur is more difficult than many imagine - this article will help you understand the pitfalls you may face when starting your own freelance business by giving you examples and reasons why others have failed.
Reason 1: Not able to manage their time
Time management is an essential skill that every freelance must have. Without the regiment imposed on you from a normal job you will need to set your own times and stick to it.
Reason 2: Grew too quickly without structure
Believe it or not, your business can grow too quickly. If you suddenly receive hundreds of freelance clients and can't keep up with them all (aka. don't have a system to process them) than you're going to make a lot of people unhappy and essentially ruin your brand.
Reason 3: Wasn't able to keep long-term clients
Long-term clients are what will keep a freelance business a successful one. Never go after the quick buck if all you have to do is follow up with your client to keep them on board for many more jobs after the first.
Reason 4: Refused to evolve with the times
Each year you will need to adapt to new standards and procedures when freelancing. Not keeping up with the times will quickly make your business model outdated and you'll hemorrhage clients over time - avoid this by staying on the edge of what's happening in your industry. Read trade magazines, follow major blogs and websites, ask around - keep a daily routine where you stay up to date with what your clients want and what future trends you will be facing so your business can adapt and evolve with the times.
Reason 5: Not enough marketing and promotion
Although the main idea behind a freelance business is that you're offering your services you can't forget that another major part of a freelance business is the marketing and promotion - in many ways, you're more of a marketer than freelancer!
You have to get out there every day and try to find new clients, keep existing connections and build your brand.
Conclusion
It can be difficult to make the transition from employee to freelance but with enough drive and avoiding these reasons why businesses fail you will surely be a success in whichever field you choose.
