I’ve been operating my freelance business for over 7-years and soon realized that being proficient and expert in Web-related technologies wasn’t enough to be successful in such a competitive industry. It’s really imperative that anyone working as a freelancer understands the various aspects and requirements of running a business.

LLC and CPA

Within 4-months of starting my business I submitted my incorporation papers to the state, which safeguards my personal assets and gives a client the confidence that they’re dealing with a credible business. Immediately following I opened a checking account for paying expenses and a savings account where monies are set aside for paying quarterly and annual taxes.

In addition, I engaged a CPA to handle the company’s taxes and to provide periodic advice regarding tax related issues and accounting best practices. As an added bonus I applied for an American Express gold card, which makes it much easier to organize expenses and attach receipts to the monthly statement for tax purposes. Not to mention that a credit card lends additional credibility, especially when your entertaining clients.

Contracts

A well-written contract is like a strong fence it builds good neighbors. I’ve prepared a set of comprehensive agreements in an effort to clearly spell-out the various legal obligations and responsibilities by parties, as well as, the project’s requirements and deliverables. Additionally, each of my agreements is customizable based on the project’s requirements. Even my cost estimate includes some of the basic information and specifications that my more comprehensive agreements include.

A couple of years ago I hired a law firm to review my contracts in an effort to create a bulletproof agreement that would benefit both WebNet and our clients. My current contracts include:

• Web Design and Development (Master Service Agreement – MSA)
• Infrastructure Outsourcing
• Hosting and Post-implementation Services
• Site Migration
• Work For Hire Agreements
• Senior Sales Rep Agreement

Project Management and Invoicing

I use Basecamp as my project management tool, which allows my clients to remain involved and focused on their web-based initiative throughout the project’s lifecycle. The ability to review milestones, timelines, upload files, create “To Do” lists and post general comments online helps keep everyone on track. Additionally, we created our own in-house invoicing system that enables clients to review, reference and print their invoices indefinitely from a secured environment.

Hosting and Prototyping

I partnered with a small, local hosting provider that I’ve maintained for the past 7-years, which has proven to be an integral part of my business because it provides me and my clients with better flexibility and a faster response time. I purchased my own web server, which allows me to directly develop client sites online and test various technologies real time to ensure any bugs or glitches are addressed pre-launch. In addition, it enables clients to review our progress and provide further direction and feedback throughout the project’s lifecycle.

Client Relationships

Another important business acumen is developing long-term client-relationships. Relationships are built on trust, and trust is built on honesty and I make it clear to all prospects that they’re not only engaging my expertise, but my expert opinion too. This sets the stage that I’m opinionated, direct and upfront because I’m completely focused on their best interests and to be otherwise would set us both up for failure. Clients respect and respond positively to this approach, which is best typified by my most recent client testimonial.

One thing I do when meeting with prospects to help set me apart from some of my competitors is I provide clients with a nice jacket with a letter of introduction, brochure, client testimonials, SEO and Web standards overviews. Additionally, I have plenty of business cards and nice pens with my company’s name and phone number printed on them to share with each attendee.

Summary

There are many more good business models to employ, and I’m simply sharing what’s worked well for me. Take some time to invest in your business processes and practices, which will definitely help your business operate more efficiently and profitably.