Working for yourself and being your own boss can be great.
Not only do you have the freedom to work how and when you please, but there is no limit to how much you can potentially earn running your own business.
Here are 6 ways to make more money as a freelancer.
1. Increase your prices
The answer to making more money may be as simple as increasing your prices and rates.
Freelance price increases are normal, and clients expect them from time to time, as long as they are not excessive (or done too frequently), appropriate, and clients are informed with plenty of time.
Some freelancers adjust their prices in line with cost of living increases. Some make a point of increasing their prices annually, and some more or less frequently. For example, as they get more experienced and provide more value, they increase their rate accordingly.
Some freelancers increase their rate for each new client.
A current review of your prices, taking into account market conditions relevant to your industry or profession and your experience and services, should reveal any disparities.
Another point to consider is that charging more could positively result in positioning your business for larger clients (with a bigger budget).
2. Change how you charge
Are you charging an hourly rate, which would be better converted to a project or retainer rate?
One issue with hourly charging is that as you get better at performing tasks over time (and therefore quicker), you’ll be getting paid less while providing more value.
It’s also pertinent to remember that not all hours are billable – so you need to incorporate this into the amount you charge to cover project items such as research and any lengthy client interactions.
When calculating your basic rate, make sure you’ve taken into account all your outgoings and make allowance for days when you cannot work, i.e. vacations or sickness (and are therefore not being paid).
This is vital if you want to make ends meet.
3. Ask for referrals
Make good use of low-hanging fruit by asking your current clients for referrals.
Referring good, reliable freelancers to colleagues makes sense to clients and puts them in a good light, too, so don’t be afraid to ask if they know anyone else who might benefit from your services. It’s also likely that asking a good client for a referral will result in your getting more of the same.
Likewise, when you ask for a client testimonial at the end of a project, you can also ask for a referral. Don’t be shy about asking for referrals.
You could even add this request to your final invoice.
Invoice Ninja is a leading free invoicing software for small business invoicing, online payments, tracking expenses and billable tasks. It includes attractive, professional invoice template designs you can customize with your logo and brand colors. You can also customize the messages on your invoices and emails.
Some freelancers even offer an incentive for referrals, i.e. a percentage of the initial new client contract fee.
4. Add extra value to existing clients
This doesn’t mean you have to go out and get an extra bunch of new skills (although there is nothing wrong with that), but you don’t have to be an expert at everything to add extra value to your existing clients.
You simply identify other areas you can help with – business, at the end of the day, is about helping. And the more help you can give, the better for everyone.
Extra help might be on an ad hoc basis or an add-on to your service. Either way, you can charge more for it.
For example, you might identify a gap in your client’s marketing strategy that you can consult on, or you might offer sales page copywriting services in addition to blog posts or Facebook ads.
5. Create a product
A really good way to earn extra income is to create a product.
This could be an info product, an online course, a subscription service (such as a membership) or even something more tangible, such as art and crafts via Etsy or perhaps use an online platform such as Shopify or eBay to sell your wares.
The great thing about creating your own products is that it creates an extra, often passive, income stream and can even be an excellent way to upsell your other services.
For example, you could upsell your higher-ticket private coaching via a lower-ticket online course.
When it comes to products, online and offline, the only limit is your imagination.
6. Collaborate with other freelancers
Consider collaborating with other freelancers to provide an irresistible offer and expand your services.
For example, if you are a website designer, consider teaming up with a copywriter. Not only can you launch attractive packages and offers together that meet your client’s needs, but you both benefit from each other’s clients.
If you want to scale up, the next stage would be to consider starting your own agency. Collaborating with freelancers might be a taster to see whether this model would suit your business and skill sets.
To make more money as a freelancer, leverage your current skill sets, take advantage of low-hanging fruit, and always be looking for opportunities to help.
- Consider increasing your freelance rate
- Change how you charge, e.g. hourly to a project rate
- Don’t be shy when it comes to asking for referrals
- Add extra value or offer additional services to existing clients (and charge accordingly)
- Create products to add passive income streams
- Collaborate with other freelancers and consider starting an agency
We hope you find this helpful. If you know of anyone else who might benefit, please share.