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How Make Your Fortune In Business

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Top 10 Reasons you should quit your job today and become a freelancer

Number 10:
Because the only time you should be in a cubicle is when you’re in a restroom
Number 9:
You can kiss that annoying co-worker’s bad breath goodbye … Not literally
Number 8:
The only creative control you currently have is the spelling of your name
Number 7:
Your boss asks you why your toilet breaks last so long
Number 6:
Because commuting to a freelancer means moving from your bedroom to your study
Number 5:
Only farmers should wake up that early
Number 4:
You won’t need to ever pull your over-the-phone sickness routine again
Number 3:
Because for freelancers casual fridays means working in your underpants
Number 2:
Because your company charges $200 an hour, and you get $10
Number 1:
…. And the number one reason you should quit your job today and become a freelancerBecause you could do it SOOOO much better

How to Estimate a Web Site Project

There's no getting around it - almost every web site client you'll ever have will want a cost estimate before work begins.

If the prospect makes you anxious, you're not alone. Estimating a web project is not easy to do, even for pros. In fact, some very skilled web developers I know use systems of estimating which have more in common with consulting a Magic 8-Ball than with detailing time and costs - basically, they make wild guesses. Although this may get the unpleasant task over with quickly, it's not helpful for keeping clients happy or for running a viable business.

But with some preparation and organization, estimating can be done with reasonable accuracy, and without any permanent damage to your mental health.

A Few Thoughts on Free Estimates

Some web developers offer free estimates as a matter of policy. I believe that this can be problematic, especially for very small companies, and so recommend giving it due consideration before publishing that offer. The reasoning is simple: estimating well takes time, and not every estimate will net you a contract. Depending upon your market and the tone you set with your business, you may get a lot of "shoppers". Shoppers are looking to get estimates from several companies and compare them, and you may very well be only a pawn in their process of finding the supposedly "best deal" - or worse still, in driving the price down with someone who they've already decided to work with.
If this turns out to be the case, it's not the end of the world, of course - but how many times a month do you want to spend several hours (or more) working for someone for no pay? Of course, that decision has to be up to you.
In my business, we provide an estimate for free if we think that an accurate specification can be determined and written up within a couple of hours. If we feel that it's a complex enough project that it will take us 5-10 hours or more of meeting, talking, researching, and writing and re-writing the specifications, we charge for that time. We tell the client that we'll be spending valuable consulting time with them, determining their needs, and that we'll produce a detailed specification document and cost estimate. This information is obviously of value whether or not they decide to work with us. If they do decide to work with us, the cost of the specification-development phase is applied to the total cost of the project. Either way, their money is well-spent.After all, developing a web site is not the same as painting the living room or fixing a leaky faucet. Free estimates and convenient price-shopping may be commonplace in a lot of industries, but they aren't necessarily appropriate for complex creative and technical work.
But whether or not you're being paid for your time, the process should be the same.

A Five-Step Process

Estimating is essentially a five-step process:

1. Determine what the specifications are for the site
2. Break these specifications down into as many smaller tasks as possible
3. Figure as accurately as possible the amount of time each task will take
4. Add up the total hours and multiply by your hourly rate
5. Add a percentage for contingencies, add expenses, and total it all up

Determine what the specifications are for the site. This is usually the most difficult part of the process. Clients often don't have a clear idea of what they want; they need your help to clarify and articulate what kind of web site they have in mind. This can be done through in-person or telephone meetings and emails, but you have to take the wheel, and you often have to persevere through a certain amount of uncertainty, hesitance, and outright fogginess.

It's helpful to have a list of the various aspects and features of web sites to help you and the client through this process. Your conversations need to cover every aspect of the proposed web site, including:

1. Total number of pages
2. What kind of navigation bars or menus
3. More than one page design?
4. Number of custom graphics needed
5. Number of graphics provided by the client
6. How design-intensive a site do they want?
7. What type of text content, provided in what form?
8. Interactive forms? How many fields?
9. Database-driven applications? (Detailed description of all functionality is needed)
10. Administration areas?
11. Domain registrations or changes?
12. Hosting arrangements?
13. How important is search engine positioning?
14. Will any client training be necessary?

You won't get all of this information worked out in a single conversation. For me, the process usually involves a series of conversations and email exchanges. After the first consultation, I go over my notes, usually typing them up so that they're easier to read. I then write out a "sketchy" specification, usually somewhat vague at this point. This makes obvious what information I still need.

For instance, the client may have told me, "We want to display photos of the houses our firm has built", but I need to know more. How many photos? Displayed in what way? With thumbnails linking to larger photos? Will they need captions? In what form will he be providing the photos? These questions are jotted down for the next conversation. When I have a complete list of questions, I phone the client, making sure he has some time to spend, and I ask him the questions one by one. The discussion is usually far from linear, and may jump from one subject to the next, but I make sure that I'm in charge, and that I get the information I need. Remember, the client doesn't know how to write a specification for a web site - you do. The tangents and side-trips often provide valuable information too, so I try to be sure to listen well.

A friend of mine recently took a sales seminar, and came back very excited about what he had learned. Basically, he said, he learned that he needed to really, really listen to his potential clients and customers. This is crucial during the specification-development phase. But again, be sure that your questions are answered, and that an unfocused or overly chatty client doesn't waste everybody's time.

Always take notes when conversing with a client. Even if they are just scrawled notes, make sure you commit the crucial points of the conversation to writing, and be sure to date it.The information you have after this second meeting may be enough to write up a detailed specification. Add the information you've gained to your sketchy specification document, and see if you can flesh it out enough that you feel you are very clear on what's expected of you - and that the client will be very clear on what he is getting for the estimated price.

A note on pinning the client down on specifications: web site clients are notorious for figuring out what they really need and want only after a contract is signed and work has begun. This is so common that there's really no point in fighting it - it's almost guaranteed that the specifications will change. No problem - but make it clear to your client that when the specifications change, the cost estimate will change as well. Say this more than once during this phase: "This specification is only a snapshot, so that I can provide an estimate. If you add or subtract significant content or features, the cost estimate will definitely change. When that happens, I'll provide you with a written description of the change and the difference in cost."

You may need more conversations, or a series of emails, to clarify the specifications. Don't rush it! Be sure that you have enough information before you commit to an estimated cost total.

Break the specifications down. Now, take each part of the specification document and break it down into as many actual tasks as possible. For instance, "Gallery of 30 photos of 6 different houses" might involve:

1. Receiving and sorting out client's photos
2. Cropping, sizing, optimizing, and renaming photos
3. Working with client to figure out how to present photos
4. Creating thumbnails
5. Building pages
6. Receiving client's feedback, correcting and refining gallery page design

Figure how much time each task will take. This part of the process requires a little brow-furrowing. For each task in your list, make your most honest estimate of the time it will require. Be realistic. You may want it to take one hour to build an entire page draft, but the reality is probably going to be closer to three or four hours. Give yourself enough time to do a good job! And remember - this type of time estimate is almost always short. Be generous!

Add up the total hours and multiply by your hourly rate. Even if you don't plan to charge the client by the hour, but rather by the project, figuring by the hour is the only reasonable way to go, as it's the only real available objective measure of "how much work". The client doesn't need to know anything about the hours you're estimating it will take you, but you should know this.Figuring your hourly rate is beyond the scope of this article; we're assuming here that you have decided what you need and want to earn for each hour you work "on the clock".

Add a percentage for contingencies, add expenses, and total it all up. The "contingency allowance" is something that experienced web and graphic designers don't even question. Underestimating is so universal that providing a cushion against your own probable inaccuracy is highly advisable. Between 10-20% is typical. Expenses, of course, are any out-of-pocket costs such as the price of graphics purchased, paying subcontractors, etc. Add it all up, and there's your total!

Stand your ground. You may be tempted to shrink the total estimate down, fearing that your potential client will find it too high, but resist that urge. You came up with as accurate an estimate as possible, and it makes no sense to lower it. The client may or may not like your price, but if you offer to do the job for less than what is fair for you, no good can come of it. Stand your ground! You won't get every job, but the ones you do get will go much smoother if your estimate was accurate and fair.

The Successful Home Freelancer's Guide

Most people, at one time or another, have a job that rewards their time and effort with wages or salaries. An increasing number of people, however, are becoming dissatisfied with that time-and-effort economy and seek the greater rewards that a results economy can provide.

Indeed, more and more managers are abandoning the safety of company careers to become consultants in their chosen fields. They cite a number of reasons -- a need to pursue their vision, a desire for increased independence, the lack of a meaningful future in a large organisation, or the reality of redundancy. This change inevitably means establishing their own businesses, working for themselves, and -- if necessary -- employing others.

Making the decision to start your own freelance business or consultancy from home is not an easy one. There are numerous considerations that need to be taken into account. This article aims to consider the key issues, and provide varied expert opinions and advice on how to address them.

Here's what we'll consider:
1. Are you ready to start your own business?
2. How to understand, consider, and address the risks involved.
3. How to set up your home business, from establishing an office, to scheduling your time.

Let's get started!

Are you Ready to Start your own Business?
If you know yourself and know your enemy, in a hundred battles you will never fear the result. When you know yourself but not your enemy, your chances of winning and losing are equal. If you know neither yourself nor your enemy, you are certain in every battle to be in danger.

Consultants agree that consulting provides for them an ideal lifestyle. Contributing towards this, they say, are the following:

• They can work on their own terms -- choose where, when, and with whom they want to work.
• They have fewer interruptions -- no meetings, fewer phone calls, no office banter and social gatherings to gobble up time. More productive work.
• They have less commuting -- less wear and tear on their car, and themselves, less money spent on petrol or public transport. They can travel to appointments in off-peak traffic.
• They have more time for themselves and their families, and can pick up the kids after school, attend daytime school functions, exercise at lunchtime, let in the repair man, shop when the supermarket is empty, and make a real dinner.
• They no longer have to dress up -- less money spent on office clothes and cosmetics, less laundry.
• They no longer have to buy lunch or pack it -- have money, sit in peace and sunshine on the back veranda.
• They can follow their own body rhythms -- work at 4 am or 11 pm. Take a break when they feel like it on the comfy couch with coffee and the newspaper, have an afternoon nap.

On the other hand, three of the main disadvantages include:

• You can be interrupted or distracted by the everyday life in a home.
• You may be tempted to overwork and rob yourself of relaxation.
• You can become less visible in your business community.

Are you Ready to Start your Own Business?

So, are you ready to start your own business? Consider the following questions -- you should answer in the affirmative!

• Are you a self-starter?
• Can you get along with other people?
• Can you lead others?
• Can you take charge of things and see them through?
• Are you a good organiser?
• Are you prepared to work hard for something you want?
• Can you make decisions?
• Can people trust what you say?
• Can you stick with it?
• Is your health good?

-- Les Taylor in Starting and Managing a Small Business.

How did you go? That's not all it takes, of course, but they are the key, basic concerns that you must be able to meet.

Are you Suited to Working from Home?

Of course, many people who decide to start their own consultancy or freelance business decide to do so from home. Yet it takes a special kind of personality to work from home successfully. Not everyone is suited to it. If you can answer "yes" to the majority of these questions, then working from home may be for you:

• Are you well-organised?
• Are you easily self-motivated?
• Can you set your own work timetables?
• Can you work with occasional distractions?
• Are you sufficiently self-disciplined to keep your nose to the grindstone?
• Do you have good time-management skills?
• Can you work alone, or is your personality better suited to a team setting?
• Can you set goals for yourself, and stick to them?
• Is there a space in your home for you to set up exclusively as your office?
• Do you have all the equipment necessary to operate an efficient, professional office?
• Can you manage without traditional office support, and resources?
• Will you be able to cope in relative isolation, without the social interaction which a corporate office provides?

Are you Cut Out for Consultancy?

Consultants of all kinds -- including those working in the design and programming fields -- need certain qualities. For success as a consultant you'll need to:

• Know the business environment. You must be worldly, plugged in, and fully understand new developments and policies in your field.
• Be a trend spotter. You must ride the waves of change, recognise the trends and get in first.
• Be self-motivated. You must be a self-starter with a get-up-and-go attitude and lots of ideas.
• Be willing to work long hours.
• Be results-oriented. You must stick to the promises you make, must not overcommit, and have good time-management and organisational skills.
• Have the ability to write well. You must be good at identifying the client's needs and writing to the client's satisfaction.
• Have a customer focus. You must possess good listening skills, patience and the tolerance to work within a wide range of client idiosyncrasies.
• Be willing to sell yourself. You must be confident and charismatic and believe that your skills can make a difference.

-- Linda Vining, 'Becoming a Consultant', The Practising Administrator, No. 4, 1997.

Now that you've considered the basic qualities outlined above, we come to the big question: are you cut out to be a consultant? A SOHO (Small Office Home Office) consultancy may sound very appealing. But before you go ahead, take a few minutes to answer this questionnaire. Be truthful in your answers! While it's not definitive, this questionnaire is designed to give you a good idea of your potential for success as a consultant working from home.

In answering the questions, give yourself 2 points for a "Yes" answer, 1 point for a "Sometimes" answer, and 0 points for a "No" answer.

• Are you a results-oriented person? Yes/Sometimes/No
• Do you set goals and clear objectives? Yes/Sometimes/No
• Do you work well in isolation? Yes/Sometimes/No
• Is your home free of distractions (e.g. children, dependents)? Yes/Sometimes/No
• Can you quote the rules of time management? Yes/Sometimes/No
• Do you support the concept of marketing your school? Yes/Sometimes/No
• Do you see school parents as 'customers'? Yes/Sometimes/No
• Do you have a room in your house to convert to a SOHO? Yes/Sometimes/No
• Are you a good writer? Yes/Sometimes/No
• Are you a good public speaker? Yes/Sometimes/No
• Do you have financial reserves to survive without a salary for one year, if necessary? Yes/No
• Do you have good computer skills (e.g. desktop publishing, database, spreadsheets)? Yes/Sometimes/No

How did you score?

0-14 Look for a job in the paid workforce.

15-19 You're a potential consultant, but you may need to make some changes to become a successful consultant.

20-24 Go for it!

By Neil Flanagan and Jarvis Finger

Good Tips for Freelancers

Customize your Proposal
Customizing your proposal shows you’ve taken the time to read the job description. If you are applying for a larger job, consider tailoring your resume to match the job. When a freelancer submits a customized proposal it tells me she is more likely to spend the time it takes to do a quality job.

Perfect your Sales Pitch
Keep in mind your bid is a sales letter. Those who persuasion in their proposals are far more likely to win jobs than those who do not. And even if you don’t consider yourself an expert in sales letter writing, don’t be discouraged. The vast majority of freelancers make no effort on this, and their proposals sound something like this: “Hey, I can do this. Contact me for more info.” Hardly persuasive. Even a small effort at writing a persuasive proposal will make you stand out in a crowd of applicants.

Provide Examples
Just as you should tailor your bid to each job, provide examples of your work that are relevant to the job you’re applying for. You don’t need to list everything you’ve done, just 2-3 highly relevant examples. Employers want proof of your skills.

Provide Clear Communication
Good communication starts with providing multiple ways for a potential employer to contact you. In addition to traditional methods of communication such as phone and email, add your instant messenger information. Employers often want to conduct brief interviews through instant messaging, so encourage that.

Follow Up
If you haven’t received a reply, contact them again. If possible, provide several new samples of your work, and possibly some comments on how you intend to complete the project. When I am managing dozens of projects, a freelancer who follows up often makes me look at his bid again. This is very important when you are trying to differentiate yourself from 50 other applicants.

Provide a Customized Sample
I remember a time when a professional created the custom script I needed, showed it to me, then submitted his competitive bid. On my end there was no risk of hiring this person – the project had been completed! Of course this is somewhat risky for the person bidding for the job, but you don’t have to create the entire project – just show the employer that you are capable of doing the job.

Exude Confidence
If you have the skills needed for the job you are applying for, show confidence in yourself. I’ve seen far too many freelancers begging for a job—which is very unprofessional. Also avoid bidding for wages far less than you’re worth. Create a portfolio that makes employers “beg” to hire you.Employers looking to outsource are worried about losing time and money with freelancers who don’t perform as they should. The key to successful bidding for freelancing jobs is to prove you will provide quality work within time and money budgets.

Reasons to Choose Freelancers

Lowest Cost
In comparison to working with the structured organizations, freelancers may charge lower fees for doing the same work. Moreover, most freelancers work through bidding portals like rentacoder.com and the price wars works out in your favor.

Working with a Specialist
Freelancers work in their specialized area on which they have knowledge and experience. This generates a sense of working with a specialist.

Availability
A freelancer will bid on your project only when they are ready to take up additional work. This means they are ready to start immediately and you can start seeing progress from the next day of awarding the contract.

Greater control
Another factor that comes into the mind is that freelancers are individual which is reassuring to know specially if you are scared of contracts and hierarchy.