Team Forecast • November 18, 2017
As a freelancer, it’s tempting to hoard your savings when business is going well. You’re at a disadvantage when it comes to your pension pot compared to people who work for an employer, and as such it’s understandable you want to put as much money away as early as possible for a comfortable retirement. What’s more, it’s tempting to splash out on holidays and the finer things in life if you’re making good money as a freelancer; you work hard, so why not play hard too?
Whilst the above is certainly true, being frugal with your investments can have an impact on your success over time. Read on to find out why it’s just as important to spend your hard-earned money on your business as it is in your personal life and pension pot.
Investing in things that can grow your business, such as marketing and advertising materials, is essential to the longevity of your freelance career. Unless you’re happy continuing with the same old clients and lower income the only way you’re likely to seriously grow is by investing. You’ll make the money back that you’ve invested plus a whole lot more; fortune favours the bold!
How can you expect to continue being successful if you don’t invest in the newest technology? You can be sure your competitors will be, and there’s currently 1.9 million of them living in the UK competing for your clients. When new technology that can aid your business comes on the market it’s vital you invest in it as soon as possible to stay at the top of the increasingly large pile of freelancers jostling for business.
Don’t put the investment off for a couple of months; by that time another competitor who’s able to complete work faster and to a better standard may have already stolen your clients thanks to their enhanced capabilities, leaving you with one less source of income.
Another reason to invest in your business is the fact that you’ll reap 100% of the rewards. Of course, you’ll be putting up 100% of the investment in the first place, but the greater dividends you’ll receive at the end of it are worth it. This is one of the great bonuses of being a freelancer; you’ve got full control of your investment and you’ll receive every penny of the returns from it rather than having to share it with colleagues as you would in a traditional company.