Going freelance after a regular job? Here’s what you need to know.

There are times when it pays to be a freelancer, and now is one of them. The global recession and financial crisis have taken their toll on the job market and left millions of people without the comfortable pay packets and bonuses that they were used to. So if you’re a freelancer, you’re probably riding high on the secure feeling that you’re never going to know how it feels to be on the receiving end of the firing gun. And if you’re in a regular job, you may be considering starting your own freelance business, especially if you’re worried about being fired sooner than later. If so, here’s what you need to know about the ins and outs of freelancing:

• Take your time: If you still have your regular job, don’t quit immediately. Instead, extend your network of clients and contacts and keep in constant touch with them so that they’ll offer you work when you do leave to set up shop on your own. If you’re sure that you’re going to be laid off in a month or so, stay at the job and use the time to build a foundation for your planned foray into freelancing. You could also try working on the side and see how things go before you take the final leap if you’re not too sure of your future prospects as a freelancer.
• Work really hard: You’re going to have to work really hard initially, taking up any assignment that you get, even some that you don’t like. This is a must if you want to build a portfolio of clients and establish a reputation as a sincere and dedicated worker. You also need to honor your commitments and stick to deadlines.
• Don’t worry if the jobs don’t pour in: Nothing happens immediately, so you need to remain patient as you wait for jobs to come in. And till they do, you need to have something to fall back on, so it’s best you have a nest egg saved up to tide you over till the money starts coming in regularly. You may also need to curb your lifestyle and change your spending habits till you’re assured of a steady income every month. If you’re sensible and dedicated enough, you can make a successful go out of freelancing and enjoy the benefits of being your own boss.
• It’s not as easy as it looks: For one, you’re not answerable to anyone, so there could be a lack of motivation to work. For another, you may take some time to adjust to flexible work hours and working from home where there are numerous distractions. Besides this, you lose out on employee benefits like health insurance and retirement packages. Also, you’re going to have to do things like managing your accounts, paying your taxes, taking care of your insurance payments and the like on your own.

If you’re in a secure job, think long and hard before you move to becoming a freelancer. It’s not for everyone, but if you think it’s your cup of tea, go ahead and cut the employment strings.

This post was contributed by Alisa Johnson, who writes about scholarships for graduate school. She welcomes your feedback at Alisa.Johnson1982 at gmail.com