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Q: What is a freelance worker?<\/strong><\/p>\n\n\n\n A:<\/strong> A freelance worker is an independent professional, who is self-employed and hired to work for different companies on particular tasks or projects.<\/p>\n\n\n\n Need a little extra help with your business, but don\u2019t want to hire a full-time employee?<\/p>\n\n\n\n Enter the freelance worker.<\/p>\n\n\n\n Whether you need a new logo, weekly blog content, regular bookkeeping, or even someone to answer your phone calls, freelance workers cover virtually every skill and business requirement imaginable.<\/p>\n\n\n\n In this guide, we\u2019ll explore the concept of hiring freelancers and how this army of flexible, talented workers can help your business thrive and grow.<\/p>\n\n\n\n Freelancers take care of their own work schedules, taxes, insurance, and invoicing. They market their own services, often through their own website, social media, and freelance job sites, and may be paid by the hour or on completion of a project.<\/p>\n\n\n\n They are sometimes known as gig workers, as freelance jobs are commonly known informally as \u2018gigs\u2019.<\/p>\n\n\n\n Did you know that the term \u2018freelance\u2019 originated in the 1800s<\/a>?<\/p>\n\n\n\n The term is believed to originate from Sir Walter Scott’s Ivanhoe, in which a lord refers to his paid army of ‘free lances’.<\/p>\n\n\n\n They were independent medieval mercenaries who were paid to fight, which explains the \u2018lance\u2019. As for \u2018free\u2019, no — freelancers don\u2019t come free. It generally refers to their independence; having no affiliation to one cause or another.<\/p>\n\n\n\n Mercifully, these days freelancers are paid for their digital and creative skills rather than their fighting abilities.<\/p>\n\n\n\n (Perhaps the pen really is mightier than the sword?)<\/p>\n\n\n\n Yet the general meaning — that of an independent who is paid to utilize their skills for a particular job — is more relevant than ever.<\/p>\n<\/div><\/div><\/div><\/div><\/div><\/div>\n\n\n\n Freelance agreements or gigs may be short term, or they might develop into longer-term working relationships.<\/p>\n\n\n\n This is very common in the freelance world and is often known as a \u2018retainer\u2019, whereby the freelancer agrees to work a certain number of hours (or provide a certain amount of work) at a specific rate for an agreed amount of time.<\/p>\n\n\n\n What companies need freelancers? Any company can employ freelance workers — but tech companies, or companies that operate online, commonly outsource the most work.<\/p>\n\n\n\n There are multiple benefits of using freelancers. The big one is flexibility; hiring freelancers is faster than taking on full-time employees, therefore companies aren\u2019t tied down with HR red tape and can usually get the job done faster.<\/p>\n\n\n\n This provides enormous value for businesses of all sizes — especially small or mid-size firms with limited resources.<\/p>\n\n\n\n Case in point, freelancing is positively thriving.<\/p>\n\n\n\n And this figure is expected to keep on rising.<\/p>\n\n\n\n By 2027, it\u2019s predicted that 86.5 million people will be freelancing in the United States and will make up 50.9 percent of the total U.S. workforce.<\/p>\n\n\n What\u2019s driving this trend?<\/p>\n\n\n\n The ability to work remotely with the help of WiFi, roaming data and mobile devices, not to mention the corresponding growth in digital and tech-based jobs, is encouraging people to choose a more flexible lifestyle over traditional 9-5 office-based work.<\/p>\n\n\n\n Ever heard of a digital nomad?<\/p>\n\n\n\n Digital nomads maximize the work-from-anywhere trend by combining remote work with travel. They are often freelancers who work flexibly, which allows them to move around and experience new destinations and cultures while earning a living.<\/p>\n\n\n\n Learn more about digital nomads in our guide: How to Become a Digital Nomad<\/a><\/p>\n<\/div><\/div><\/div><\/div><\/div><\/div>\n\n\n\n Now, in the era of Covid-19, more people are choosing to work flexibly \u2014 and for many, that means starting a remote business<\/a> or setting up their own freelance career.<\/p>\n\n\n\n This is excellent news for business owners.<\/p>\n\n\n\n There are many advantages of using freelancers, including flexibility and cost efficiency. If you need help with a one-off project or someone to help a few hours per month, a skilled freelancer could be ideal.<\/p>\n\n\n\n Q:<\/strong> How do you put freelance workers on your taxes?<\/p>\n\n\n\n A: <\/strong>They usually classify as 1099 workers. Find out more in our guide: W9 vs 1099: What\u2019s the Difference?<\/a><\/p>\n\n\n\n But you also need to approach this process in an efficient manner.<\/p>\n\n\n\n When outsourcing work, you need someone who has the right skills, is reliable, can work to agreed timescales, and who will produce work to a high standard.<\/p>\n\n\n\n Let\u2019s take a closer look at what freelance workers can bring to your organization, and what to look for<\/a> when hiring a freelancer.<\/p>\n\n\n\n The growing popularity of freelancing means more companies than ever are utilizing this particular subset of the workforce.<\/p>\n\n\n\n Here are some of the main reasons why:<\/p>\n\n\n\n Flexibility:<\/strong> Whether it\u2019s a small one-off job or ongoing project work, one of the big advantages of hiring freelance workers is flexibility. Companies often turn to freelance professionals when there\u2019s an urgent need, perhaps owing to staff sickness or maternity leave, or due to a sudden increase in demand.<\/p>\n\n\n Specialization:<\/strong> Freelancers provide access to specialized skills that in-house employees may not have. Instead of hiring a specialist for a very specific role, companies can simply outsource the work to freelancers.<\/p>\n\n\n Cost-saving*:<\/strong> Most companies find there are huge cost savings involved when hiring freelance workers. Freelancers usually get paid by the hour, or for the work they complete. This means they\u2019re motivated to work and get as much done as possible. They come with the right skills and experience, which means companies aren\u2019t required to pay for training. They simply get on with the job with minimal supervision.<\/p>\n\n\n Less red tape:<\/strong> In place of employment contracts, annual leave allowances, and lengthy notice periods, there is much less HR red tape when hiring freelancers. Companies don\u2019t need to provide benefits or holiday pay, and freelancers normally provide their own work tools such as laptops and software, too.<\/p>\n\n\n Great results:<\/strong> Freelancers come with specialized skills to fit your requirements, therefore you can normally expect excellent results. Freelancers depend on building long-term relationships, so they\u2019re motivated to do an excellent job.<\/p>\n\n\n Hire from anywhere:<\/strong> Many freelancers work remotely, which means for tech-based and digital roles you can hire from a global talent pool, virtually anywhere. This means that you can select the best talent on offer, rather than simply the best talent within commuting distance of a central office. Certain areas have lower living costs too, which means freelancers in some locations may be able to offer a lower rate.<\/p>\n<\/div><\/div><\/div><\/div><\/div><\/div>\n\n\n\n Flexibility:<\/strong> Whether it\u2019s a small one-off job or ongoing project work, one of the big advantages of hiring freelance workers is flexibility. Companies often turn to freelance professionals when there\u2019s an urgent need, perhaps owing to staff sickness or maternity leave, or due to a sudden increase in demand.<\/p>\n<\/div><\/div><\/div><\/div><\/div>\n\n\n\n Specialization:<\/strong> Freelancers provide access to specialized skills that in-house employees may not have. Instead of hiring a specialist for a very specific role, companies can simply outsource the work to freelancers.<\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/div><\/div><\/div><\/div>\n\n\n\n Cost-saving*:<\/strong> Most companies find there are huge cost savings involved when hiring freelance workers. Freelancers usually get paid by the hour, or for the work they complete. This means they\u2019re motivated to work and get as much done as possible. They come with the right skills and experience, which means companies aren\u2019t required to pay for training. They simply get on with the job with minimal supervision.<\/p>\n<\/div><\/div><\/div><\/div><\/div>\n\n\n\n Less red tape:<\/strong> In place of employment contracts, annual leave allowances, and lengthy notice periods, there is much less HR red tape when hiring freelancers. Companies don\u2019t need to provide benefits or holiday pay, and freelancers normally provide their own work tools such as laptops and software, too.<\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/div><\/div><\/div><\/div>\n\n\n\n Great results:<\/strong> Freelancers come with specialized skills to fit your requirements, therefore you can normally expect excellent results. Freelancers depend on building long-term relationships, so they\u2019re motivated to do an excellent job.<\/p>\n<\/div><\/div><\/div><\/div><\/div>\n\n\n\n Hire from anywhere:<\/strong> Many freelancers work remotely, which means for tech-based and digital roles you can hire from a global talent pool, virtually anywhere. This means that you can select the best talent on offer, rather than simply the best talent within commuting distance of a central office. Certain areas have lower living costs too, which means freelancers in some locations may be able to offer a lower rate.<\/p>\n<\/div><\/div><\/div><\/div><\/div>\n<\/div><\/div><\/div><\/div>\n\n\n\n <\/p>\n<\/div><\/div><\/div><\/div><\/div><\/div>\n\n\n\n *A word about cost saving.<\/em><\/p>\n\n\n\n Hiring freelancers is often enormously cost effective, but that doesn\u2019t equate to cheap labor<\/a>.<\/p>\n\n\n\n Freelance workers are cost effective because you only pay for the time or specific resources you need, rather than full-time employment.<\/p>\n\n\n\n You won\u2019t be expected to pay for perks and benefits either. But remember that part of the freelancer\u2019s hourly rate should contribute toward their own business costs, including essentials like business insurance, income protection, software subscriptions, and the like.<\/p>\n\n\n\n Therefore a good freelancer won\u2019t necessarily be the cheapest. <\/p>\n\n\n\n You should expect to pay what their skills are worth, bearing in mind that they may have spent many years training and building the right experience.<\/p>\n\n\n\n As the old adage goes, \u2018you get what you pay for\u2019 and it\u2019s far more cost efficient to hire the right person who can do the job well once, rather than a less experienced person who needs supervision or training. If it feels a little above what you are prepared to pay, ask for a sample or set a small assignment first. You might just find the perfect person.<\/p>\n\n\n\n When looking for freelance workers, your first requirement is to ensure they can meet your specific requirements.<\/p>\n\n\n\n That means they should have the necessary skills and experience, possibly with qualifications or proven work experience in a particular industry.<\/p>\n\n\n\n But there are other soft skills and requirements you\u2019ll need to look for, too.<\/p>\n\n\n\n Here are some of the key things to look for when hiring freelance workers:<\/p>\n\n\n How do you check and verify these things?<\/strong><\/p>\n\n\n\n If they use a freelance marketplace site (more on that later) check out their online profile or resume and look for reviews and feedback.<\/p>\n\n\n\n They may also have a website and a social media profile; LinkedIn is usually a good place to start.<\/p>\n\n\n\n Look at their work experience and the number of years they have been doing it.<\/p>\n\n\n\n Look at the dates to see when they did the relevant work experience<\/a>, and how recently; if they have since switched gears or taken a long break, be sure to ask them why.<\/p>\n\n\n\n Look for referrals or feedback from previous clients or colleagues, and major accomplishments such as accreditations.<\/p>\n\n\n\n This isn\u2019t just a box-ticking exercise. <\/p>\n\n\n\n In addition to skills, you are also trying to get an understanding of the person\u2019s character and how well you think they will fit with your team, your brand, and your culture.<\/p>\n\n\n\n And, you might also learn additional information about your candidate, such as extra skills that you might need for other projects.<\/p>\n\n\n\n The question you\u2019re probably thinking is, how can I hire the best freelancer?<\/p>\n\n\n\n When it comes to finding a great freelancer to help complete your task or project, there are a number of places you can start looking.<\/p>\n\n\n\n The most obvious place is a freelance marketplace. These sites connect freelance workers with companies needing work. For businesses looking to streamline their hiring process further, implementing advanced recruitment software<\/a> can help manage candidate tracking, scheduling, and evaluations more efficiently.<\/p>\n\n\n\n As the freelance sector has grown, so too has the number of platforms and marketplace sites<\/a>. That means you\u2019re more likely to find the skills you need at a rate you can afford.<\/p>\n\n\n\n We\u2019ve listed the main websites below.<\/p>\n\n\n\n
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\n\n\n![\"02-What-is-Freelancing\"](\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2021\/06\/02-What-is-Freelancing.png\" "\\"02-What-is-Freelancing\\"")
<\/figure>\n<\/div>\n\n\nWhat is Freelancing?<\/h2>\n\n\n\n
\n\n\n![\"03-types-agreements\"](\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2021\/06\/03-types-agreements.png\" "\\"03-types-agreements\\"")
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Approximately <\/strong>64.8 million<\/strong><\/a> people carried out freelance work in the U.S. in 2020, up from 57.3 million in 2017.<\/strong><\/h2><\/div><\/div><\/div>\n\n\n\n
![\"10-Statistic-50percent-freelancer-1\"](\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2021\/06\/10-Statistic-50percent-freelancer-1.jpg\" "\\"10-Statistic-50percent-freelancer-1\\"")
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\n\n\n![\"04-why-hire-freelancer\"](\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2021\/06\/04-why-hire-freelancer.png\" "\\"04-why-hire-freelancer\\"")
<\/figure>\n<\/div>\n\n\nWhy Hire a Freelancer?<\/h2>\n\n\n\n
![\"flexibility-icon\"](\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2021\/06\/flexibility-icon.png\" "\\"flexibility-icon\\""){kind=icon}
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<\/figure>\n<\/div>\n\n\n![\"hire-from-anywhere-icon\"](\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2021\/06\/hire-from-anywhere-icon.png\" "\\"hire-from-anywhere-icon\\""){kind=icon}
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\n\n\n![\"05-What-to-Look-For-in-freelancer\"](\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2021\/06\/05-What-to-Look-For-in-freelancer.png\" "\\"05-What-to-Look-For-in-freelancer\\"")
<\/figure>\n<\/div>\n\n\nWhat to Look For in Freelancers<\/h2>\n\n\n\n
![\"11-Infographic-9Key-consideration-hiring-freelancer\"](\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2021\/06\/11-Infographic-9Key-consideration-hiring-freelancer-scaled.jpg\" "\\"Infographic")
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<\/figure>\n<\/div>\n\n\nWhere Can I Recruit Freelancers?<\/h2>\n\n\n\n
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