If you freelance, how are you cutting business costs?
I just blogged about 10 things freelancers can do to cut costs in a bad economy, including dropping subscriptions, switching to VoIP phone service and using free software and Web apps. You can read all my tips here:
http://tiny.cc/VsQLp
What other things are fellow writers doing to cut business expenses or save money?
Good Answers (2)
I'm not. When I spend money on my business, it's to help my business grow and bring in more money. So, for example, I recently started using a transcriptioninst to transcribe all my phone interviews. I paid her $350 last month, but I also used the saved time to write a query that brought in more than $2,000. I buy a pricy mocha at Borders every day, but I can concentrate better here and I get more work done.
Not to say I waste money, but I consider "frivolities" like transcribing services and coffee to be essential to helping me work better and make more money.
Linda
Phone Mentoring for Writers: http://www.lindaformichelli.com/writers
Bill B
Investigator at Gladding & Michel Investigations
Best Answers in: Writing and Editing (4), Freelancing and Contracting (2), Staffing and Recruiting (2), Criminal Law (2), Public Relations (2), Business Insurance (1), Education and Schools (1), Job Search (1), Government Contracts (1), Compensation and Benefits (1), Personnel Policies (1), Customer Relationship Management (1), Distribution (1)
The first step is to figure out what you're spending on because not all expenses are equal.
First, calculate your burden. This consists of all the costs involved with being in business for yourself -- those that must be covered even when Vanity Fair isn't sending you monthly five-figure checks. Remember to include subscription-based essentials, such as Nexis or other database costs. Health insurance counts, too.
Next, figure out what you spend that you should have been reimbursed for as part of assignments. Maybe it was an optional trip to Needles, CA for a face-to-face interview that an editor thought was unnecessary and wouldn't pay.
Finally, take a look at the peripheral stuff. Like magazine subscriptions, commodities and so on. They're all deductible in the end, but we're talking about boosting cash flow here.
Once you have a handle on each category, then start asking questions.
Burden -- VOIP has been mentioned by others. Can you piggyback on a neighbor's wireless network and split the cost of her access? A basic mobile phone plan with no long-distance or roaming charges is worth looking into as a business option.
Related Expenses -- You'll likely find you're giving away a lot of margin. That little extra something to make the story better is coming out of your pocket unless you have the right agreements in place with editors. Think and learn.
Stuff -- Do you really need to hold ink-smeared paper in your hands to get value from a magazine or can you get what you want from it online? If you're compulsive and keep a paper copy of all your work, at least print double-sided. And if you really want to go waaaay out there, pencils are cheaper than pens and using a manual sharpener will tone up certain muscle groups.
Cheers.
More Answers (8)
Edward G
Tech Writer and Editor 'par excellence,' gourmand, bon vivant
Best Answers in: Education and Schools (1), Government Policy (1), Property Law (1), Writing and Editing (1), Computers and Software (1), Using LinkedIn (1)
A pound of spaghetti provides meals for three days.
Rather than stop buying books, which is one of your blog suggestions, sell your old books online and make enough profit to order all the books you crave.
Links:
Use library resources rather than buying newspapers, magazines, or books.
Conduct interviews via phone or email rather than in person, to avoid travel time and gas expenses.
Go as paperless as possible -- queries via email, etc.
Go outside the home to work -- use the free internet access, heat, and other facilities at a library, college lounge, or other space where you can work.
These (and many of the tips you shared) are things I already do, so I can't cut costs further in this economy, but the truth of my business situation is that the economy isn't impacting my work all that much anyway. At times, being freelance is a better option than having retirement programs and employers heavily affected by the markets.
If you are going to cut business costs, first you need to track all of your business costs. You can use something simple, like an Excel spreadsheet, or one of the accounting / business programs. Determine what is recurring, what is essential, and what can be reduced.
One simple area is your cell phone. Look at your current plan and usage, then discuss it with the customer service people to find a better plan based on your actual needs. By switching to a new plan, I now save $20 per month, and I get the same service.
Make sure that you are claiming all the business-related expenses you can for tax purposes. They do add up over the year.
Michael M
Freelance Copywriter
Best Answers in: Ethics (4), Government Policy (3), Business Dining and Entertainment (2), Air Travel (1), Hotels (1), Job Search (1), Event Marketing and Promotions (1), Criminal Law (1), Events Marketing (1), Graphic Design (1), Organizational Development (1), Career Management (1), Using LinkedIn (1)
Recycling my headlines.
Hi Michelle
Stay off the phone!
Marilyn
Caitlin K
Paid blogger at trueslant.com
Best Answers in: Mentoring (4), Public Relations (4), Staffing and Recruiting (3), Freelancing and Contracting (2), Writing and Editing (2), Change Management (2), Organizational Development (2), Career Management (2), Ethics (2), Using LinkedIn (2), Customer Service (1), Travel Tools (1), Occupational Training (1), Customer Relationship Management (1), Sales Techniques (1), Planning (1), Philanthropy (1), Professional Networking (1), Blogging (1)
I'm already frugal so there are few costs to cut. I'm focusing on finding at least a half dozen new clients, including those with big(ger) appetites for copy and a new corporate client who is likely to have a much bigger budget than any of my journalism contacts. I'm also diversifying into also selling my photos to select markets and in specific ways.
Links:
Jay L
Co-Founder, Managing Partner at BMFAgency, LLC – Corporate Communications Management Company
Best Answers in: Freelancing and Contracting (1)
I agree with Linda.
Especially in a bad economy, you must continue to promote yourself. Don't sacrifice in your business. If you must reduce expenses, first cut "luxury" items on the personal side.
