Your Value As A Freelancer And When To Cut Your Losses

What is your value as a freelancer?

This is a question that you will no doubt ask yourself from time to time, especially when you encounter projects that may fulfill you in some way but don't quite cut it when it comes to paying the bills. So do we sacrifice our livelihoods for the integrity of work that we enjoy doing and believe in? Unfortunately, that is just not something that we can do in the state of our current economy. I'm not sure where you're located but I am writing this blog from New York City where like most places, the cost of living continues to increase. At times a clients attentiveness is focused solely on growing their business but not necessarily keeping their financial obligations to their freelancers, who are tasked daily with projects that will grow a business in the long run.

I am lucky in the sense that I have a supportive partner who encourages me to do work that I like but I am not blinded by the fact that without a basic structure and rules levied as a freelancer, my partner would be left holding the bag. Sure, it's great to do work that I enjoy and it's wonderful to have the freedom to freelance and dig my heels into work that I like and that I believe in however, by sacrificing our worth, it's possible to put undo pressure on those elements that support and sustain us on a daily basis. Either that, or the very reality is that we may actually be sacrificing the very sustenance that is required for us to live off of on a daily basis. Why should freelancers have to be concerned with how we're going to cover the cost of one necessity or another? The answer is that we shouldn't! And yet, there is not enough information out here that gives freelancers the nitty gritty, the truth and the facts about real life as a freelancer. I encourage people to freelance all the time and I recently realized that while I have provided people with tools, I neglected to mention my two strike rule. More on that later.

Does the fact that you like a client mean that you should settle?

Absolutely not! And for the record, this is something that it took me a while to understand, accept and work with. I have had clients who I have enjoyed working with but who did not quite understand how to fulfill their financial end of our business relationship. Because I work from home, my rate may be reduced compared to a full time, in-house employee. That alone is a bonus for a client, simply based on my experience and commitment to the clients work. However, in many cases you will encounter a client who is not financially astute enough to be concerned with making sure that a freelancer is paid in a timely manner. As a result the work flow wanes. There is no pleasant way of saying this but, the fact is, when you are not paid in a timely manner, the non-paying client's projects will have to be placed on the back-burner while you hustle on other projects and make sure that you are making a buck to pay your bills. In-effect, where a non-paying or late-paying client leaves a gap, another client must fit the bill.

At the end of the day, we all want the freedom to dictate our work schedules, freelancers understand the scope of an entrepreneurs place in the world and where exactly we fit in. In fact, we understand these business clients more than they can comprehend, because in essence, we are entrepreneurs ourselves. We are our business: our time, our skills, our commitment and expertise all happen to be our business, and therefore we are the entrepreneurs that entrepreneurs come to-to facilitate their businesses' daily operations no? We are the transportation system that runs their productivity and many times as a result, their growth.

So how do you value yourself as a freelancer?

As I have realized over more than a decade as a freelancer, your value as a freelancer solely depends on what you're willing to work for. If you're willing to continue to dole out work in return for late-paying or non-paying clients, your worth stagnates and your service and skill, the business of being  you, gets devalued. My rule of thumb is to allow a client to make two late payments. If I encounter a third late payment, I walk away from the client. The first two times I give the client the benefit of the doubt, perhaps their schedule was busy or they were recently overwhelmed with work. These are easy excuses to verify as in the position of freelancer, you have a pretty good gauge on how busy the client actually is. 

In other instances, you may see that the client is not so overwhelmed that they couldn't tend to their financial obligation to you. In either case, my policy is two strikes and  you're out. Just as the client doesn't have the time to count their fingers over the loss of income on one project, product or opportunity, as freelancers neither do we. My time and your time as freelancers is valuable. Value the fact that you have a marketable skill that increases or enables the client to expand upon income that grows their purpose and realize that you are worth the financial investment. At the point where a client decides that they can put off paying you for another day or time, that is a decisive choice that they are making and consciously or subconsciously, they do  not value you as a freelancer. You are just a means to an end, don't get offended and take it personal, this is part of the business model that we as freelancers have decided to be a part of. With it comes the good and the bad and we have to be prepared to look out for our own best interests.

Cut  your losses, worthy clients are on the horizon!

If you experiencing some roadblocks on the financial end with any clients, maybe it's time to cut your losses. There is plenty of work out here for all freelancers, in all fields. We might have to weed through the client pool to find those that are worthy, but they are out there. If a client is worth your time and energy, your investment and your commitment, they will be more than happy to pay you on time, every single time. An experienced entrepreneur and business owner understands that when you cultivate positive employee relationships, your productivity and business thrive and your brand grows. With that in mind, remember your worth and see to it that you do not devalue yourself because in doing so, not only do you devalue yourself, you devalue all freelancers.