What Are the Pros and Cons of Working Freelance?

Working freelance can be both rewarding and challenging. While freelance work can give an individual a significant amount of freedom to work when, where, and how he wishes, he is also responsible for managing every aspect of his business. Those who are good with multitasking, saving money, and keeping organized may find that working freelance can be a great way to make a significant amount of money while doing the sort of work they like to do. On the other hand, even the most talented person may find working freelance difficult if he is unable to effectively manage his time, bill his clients, and seek new business opportunities.

For many people who work for themselves, freedom to manage their own time is a big benefit of not having to clock in at an office every day. Working from home also presents an aspect of freedom that comes from working freelance. Night people can sleep in and work late while parents can be close to their children during the day. Freelancers who lack time-management skills, however, may find that they either put off work until the last minute or they constantly feel like they have to be at their desks.

Freelancers typically have no employees to perform administrative work for them. This means that those who are working freelance must handle basic office and bookkeeping tasks, such as answering telephone inquiries, sending invoices, and managing computer and software problems, themselves. On the other hand, the freelancer isn’t restricted by company policies or the incompetence of other employees when she makes efforts to get her work done.

One of the most significant challenges of working freelance is finding new clients and ensuring that current clients can provide a freelancer with work. Many businesses employ marketing and sales divisions that work to bring in new clients. A freelancer, on the other hand, is responsible for either approaching and negotiating with clients or hiring a third-party salesperson to do this work for him. As with performing administrative work, time spent looking for new business can cut significantly into a freelancer’s earnings.

Job and financial security is another challenge for those who are working freelance. While it is true that freelancers cannot be arbitrarily fired by an employer, they also lack many of the protections and benefits that employees have. For example, in some jurisdictions a freelancer does not participate in government-sponsored unemployment insurance or workman’s compensation programs. If she loses her client base or is injured while working, she must rely on her own resources for financial support. In addition, it can be difficult for freelancers to secure affordable health insurance in places like the United States, where health insurance is not provided by the government. On the other hand, those who work for themselves are often at liberty to build their own savings or investment portfolio, unlike an employee who may have more limited options.