5 Things to Consider Before Outsourcing Work as a Freelancer
Posted on 25th October 2017 by Caunce O'Hara
Every freelancer will have too much work to do from time to time. In a traditional work environment, you could simply have a quiet word with your boss and see if there’s anything they can do to help ease your workload. Unfortunately, you won’t have this option when you are your own boss.
Freelance work tends to have peaks and troughs, and the peaks can often snowball. When your work snowballs, you may find yourself wondering if it’s time to start outsourcing some of your work. While some people frown upon the idea of outsourcing, there’s nothing wrong with admitting that you need a bit of help every now and then. But before you start searching for a helper to help ease your workload, make sure you consider the following…
Do you have the client’s permission?
Many clients will have rules about whether or not you can outsource the work you are doing for them. If this hasn’t been mentioned in contracts then it’s always worth checking with the client before doing anything. Make it clear that you will still be responsible for the final work product and will be checking over everything before it gets past your desk.
Is it cost effective?
Some wily internet entrepreneurs will swear by the outsourcing business model, but it doesn’t always pay off. If you simply have too much work to manage, then you can afford to outsource the extra work for the same rate you would be paid for it. However, if you’re thinking about outsourcing your work as a long-term business model, you will need to think about the cost-effectiveness of your operations.
Are you insured?
It’s important to check that there aren’t any gaps in your insurance if you choose to outsource work. If you hand over the FTP login details to a client’s website to another freelancer and they accidentally delete the website, you are entirely liable for this. You will need to check with your insurer how best to manage outsourcing to ensure you aren’t putting your freelance business at risk.
Can you depend on this person?
Freelancers often outsource work because they are struggling to get everything finished, which is why it’s important to make sure you are giving the work to someone trustworthy. If you are outsourcing the work to someone you already know, this will be less of a concern. However, if you are working with another freelancer that you aren’t familiar with then you will need to have a contingency plan in place should they be unable to deliver the work on time or to a high enough standard.
Would an employee be better?
If you often find yourself wishing you could outsource work, it might be time to hire an employee. By hiring an employee, you would have additional protections from your insurance as their output would be part of your company output, so they would be protected under your freelancer insurance policy. However, if you are thinking about hiring an employee, you will also need to think about tax contributions, pensions and Employer’s Liability Insurance.
If you’re not sure which insurance policy is right for your freelance business, why not get in touch with our team on 0333 321 1403 to discuss your needs.
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