A generation of freelancers: Why startups (and corporations) should reckon with him

Original author: John Rampton
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The days have gone by when we worked 40 hours a week, that is, eight hours a day we were at work (I believe that most startup founders or business owners in Silicon Valley work 50-60 hours a week).

Freelance is becoming the accepted norm in the world of startups. And the more startups start using the services of millions of freelancers, the more people join the generation of freelancers. Regardless of whether your company is a startup or an already established company, it is in your interests to pay attention to this trend if you want to succeed in the new economy.

The generation of freelancers is coming


A recent study showed that there are more than 53 million (almost 54 million) freelancers in the United States, and they are quickly becoming one of the main work resources. More than a third of people working in the US last year were additionally freelancers. Compared to the previous year, the army of freelancers has grown by 700 thousand people.

Also, according to forecasts, by 2020, irregular work (freelance work) will become the main form of work, and more than 50 percent of the workforce will be occupied by freelance work. Another interesting statistic makes us pay attention to the fact that 43% of freelancers are the so-called “millennium generation”. And this is important to know, since in America, for example, every third worker belongs to the millennium generation.

This is partly due to the following factors: advances in technology that facilitate remote work, a developing digital economy, a growing number of part-time workers, and labor dynamics.

Moreover, people understand that by working as freelancers, they can succeed financially, create a flexible work schedule that will have a beneficial effect on the balance of work and leisure, and also freely offer their services to potential customers.

It is possible that very soon business owners will not have many options in finding the most talented employees, since most of the workforce will go to freelance in the very near future. This is taking into account all freelancers who have full-time jobs and additionally earn extra money (that’s how I found my last business partner, which turned out to be a benefit for both of us).

Freelancers are politically active


Freelancers are usually happy with their decision to leave work, where they need to work 40 hours a week. However, this does not mean that they are still not facing problems that many “traditional” workers would take for granted.

For example, freelancers do not have access to such traditional programs as 401ks (one of the standard retirement plans in the USA, which is provided by local companies - approx. Translator). They also have to pay insurance and high taxes from their own wallet, as they are individual entrepreneurs. And therefore, freelancers urge politicians to change - primarily in terms of income and insurance stability. Why not, since they are becoming a significant share in the workforce of America?

Businesses of any size should be aware of the difficulties that freelancers face.

Freelancers need change and are taking steps to ensure that their demands are heard. Freelancers voice their demands to politicians. Of the nearly 54 million U.S. freelancers, an astounding 84% said they would take part in the upcoming 2016 general election.

In order to imagine this in a wider context, it should be taken into account that this figure is greater than the number of voters who helped Ronald Reagan and Bill Clinton win the presidential election. In addition, 62% of freelancers will vote for a candidate who supports the interests of freelancers.

Regardless of whether firms are pushing away from legislative changes or wanting to stay competitive, companies of any size should be aware of the difficulties freelancers are concerned about and offer programs that can mitigate these problems. Most freelancers face the above difficulties, and they are actively trying to make changes that make their life easier.

Freelancers have something to offer companies


For entrepreneurs like myself, especially for startup owners, freelancers can offer a long list of benefits that full-time employees cannot provide. First of all, freelancers understand the daily tasks and difficulties that business owners face. They are at least familiar with things such as bookkeeping, billing, branding, marketing, and engaging in social media. Since freelancers are individual entrepreneurs, they are aware of such tasks and understand how important this is for a successful business.

Unlike recent graduates, who probably have never encountered paying taxes, invoicing or making payments and brand promotion, freelancers are almost guaranteed to have similar experience.

A freelancer may have the necessary skills and experience to help you with this when you start your business. Even if you have an established company, such employees are at least aware of such matters and respect them. For example, they will not harm your brand with their inappropriate behavior on social networks, which could offend your customers.

Freelancers are experienced professionals in their niche.

Another advantage is to use the services of freelancers - they are experts in their chosen niche. They have years of experience, a portfolio and clients who can vouch for their work. Even if they are young (and many of them are), they are the best in their field. When hiring them, instead of just looking at the resume, you can look at real-life examples of their work.

Be it a copywriter, graphic designer, accountant, specialist in working with clients or developing a strategy for promoting social media, freelancers are experienced professionals in their niche and are ready to plunge into projects that you entrust to them. You can search for the best talent anywhere in the world thanks to technologies that allow freelancers to work remotely.

And in the end, freelancers help reduce firm costs. No matter how big your business is, expenses are always an important factor to consider. Freelancers may be the most financially profitable solution than full-time employees. Do not forget that most freelancers work from home, and you do not need to train them. As a rule, their work is cheaper than the salary of a full-time employee, and besides, you do not need to worry about taxes and conditions for retirement.

I managed to successfully launch and develop my own business, using the services of freelancers. I also like working with them, because you pay for what can be measured and evaluated. Do you need a post on your company’s corporate blog? You pay for the work or for the number of words. Do you need to write code (as I did before)? You will receive a price for the project and you will know that you do not have to spend more. Thanks to freelancing, I can find the best people in the world who will do the necessary work, or pay as much as I need without recruiting full-time employees.

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