As a freelancer, you pick your projects. It isn’t easy running your own business by any stretch of the imagination – but this is definitely one of the major perks. You decide who you want to work with and ultimately keep the lion’s share of the fee. That’s great – but how do you know which projects are going to pay off?
Once you’ve settled down in the freelancing arena and adjusted to your new surroundings, you’ll find yourself musing over this question time and time again. The common consensus is that it’s better to bag big freelance projects for maximum security – but is this really the best approach?
Let’s take a look at the pros and cons of long-term contracts…
Pro: Steady revenue stream
The obvious benefit of tying-up a long-term contract is that you can enjoy a steady trickle of income for the foreseeable future. Whether the client requires your services for 3 months, 6 months or even a year, you can relax in the knowledge that you’ll have money coming in to cover the bills for the weeks ahead.
Con: You’re putting all your eggs in one basket
Long-term projects are big commitments, with these jobs likely to occupy several hours in an ordinary working day. For some freelancers, this can begin to feel like the repetitive employee life they chose to leave behind. There’s always the chance the client could pull the plug at some point too, which will be a big problem if you’ve got nothing else to fall back on.
Pro: Strong relationships mean referrals
Over the course of long-term contracts, you’ll get to know the client extremely well – leading to a strong and fruitful relationship. If you continue to produce high-quality work, the client will likely recommend you to other parties – meaning more jobs and improved income overall.
Con: There’s a bit of repetitiveness
One of the best aspects of freelancing is facing fresh challenges every single day. There’s something truly invigorating about clambering out of bed and not knowing what the day has in store for you. However, when you’re locked in to a long-term contract, this sense of anticipation fades away. These projects can prove repetitive – which can unsettle any freelancer who loves the variety the job usually brings.
So, are long-term projects the way to go?
Ultimately, there are some terrific benefits to taking on long-term projects as a freelancer. Just be sure to keep dabbling in smaller tasks for different clients on the side. This ensures you’re never putting all your money on one horse and allows you to enjoy some diversity every day.
The bigger your business gets, the more important it is to secure the services of an accountant. To maintain control of your freelance finances, use experts like Bright Ideas Contractor & Freelancer. Get in touch today on 0161 669 4221 to set up your free consultation.
