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Welcome
Hey, glad to see you here! Thanks for picking up (in
the figurative sense, of course) the Welcome To Your
Independence freelance handbook. Thinking about
going freelance? Not sure exactly how to go about
it? Well, you are in luck! Having compiled AND COs
learnings from working with thousands of freelancers,
Welcome To Your Independence was written precisely
for individuals who are seeking to enter the world of
freelancing as well as those who are looking to refine
processes already in place. Whichever your starting
point, Welcome To Your Independence aims to clearly
and concisely guide you through the process of going
freelance and making it as an independent worker.
CONTENT
5
18
42
66
INTRODUCTION
What is freelance?
Why freelance?
26
WELCOME
12
GETTING THE
PAPERWORK
TOGETHER
ATTRACTING
CLIENTS
PUTTING A PRICE
ON WHAT YOU DO
The price is right
Remote Work vs. On-site Work
34
RUNNING YOUR
PROJECTS
A happy client makes a happy freelancer
BUILDING
YOUR BRAND
Why marketing matters
Leverage testimonials
Get yourself out there
Networking and relationship building
How to ace a networking event
KEEPING GOOD
COMPANY WITH
THE IRS
Why you have to pay taxes?
When to pay taxes
How much you have to earn to pay taxes
How to pay your taxes
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72
MAKING YOUR
LIVELIHOOD
I like big bucks and i can not lie
Open separate bank accounts
Save while spending
What exactly is a write-off?
How you should track your expenses
How often to invoice
Accepting payments
What if a client doesnt pay?
BEING
PRODUCTIVE
Time is money
Learn to prioritize
Automate what you can
Establish business hours
Avoid distractions
Remember why you
chose freelancing
What is
freelance?
Welcome To Your Independence explores the steps it
takes to become a freelancer; but, what does it really
mean to freelance? In the age of the gig economy, it
seems as if everyone from your cousin to your best
friend to even your dad is picking up side jobs here
and there to make an extra buck. From the Uber
driver to the part-time photographer, there is a
plethora of individuals taking on new opportunities
apart from their full time work. That being said,
there isnt just one definition of freelancing.
11
Why freelance?
PROJECT
BASED
WORKFLOW
SCHEDULING
BASED
WORKFLOW
SHIFT
BASED
WORKFLOW
Throughout this book, we will focus on the project based workflow. We will address specifically the project based freelancer who is ready to take their skills and leap from working
for someone else to working for themselves, to earning their own keep, and to welcoming
their independence.
Whether you want to have control over your working hours in order to spend more time
with your children, or if you are looking to work from anywhere and pick your own clients
for a change, then listen up, because we are talking to you.
People are choosing to go freelance everyday. Over 50 million Americans have chosen
to embrace their independence. And we are
excited to see you are considering the path
as well. This book will guide you through the
steps needed to take to make your freelance
dreams a reality.
Take out a piece of paper. It doesnt have to
be very large. Grab a pen. And write down
exactly the reasons why you want to go
freelance. Do it. Right now. Thats the first
step. Use clear language and make it legible!
Here are some inspirational reasons for
going freelance:
READY TO ROLL UP
YOUR SLEEVES AND
TAKE MATTERS INTO
YOUR OWN HANDS?
13
Establish your
business entity
Establishing the business entity for your business is
a strong first step on the path to independence. Youll
create an element of legal protection for your business
and may enjoy some tax advantages as well. Lets explore
the different options that are out there so that you can
make an educated decision about which would be best
for you.
SOLE PROPRIETORSHIP
A sole proprietorship is one of the most
simple and common forms of business.
While a sole proprietorship will help to
make your tax filing a little more painless,
it offers no protection against personal
liability. With this type of entity, there is no
clear distinction between the business and
the owner. Only you are solely responsible
for all debts, losses, liabilities, etc. Further,
no formal action is needed in order to form
a sole proprietorship.
As long as you are the only owner, this status
is automatically attributed to you as a result
of your business activities. A common case
when it is good to choose to be a sole proprietor is if you wish to save money, do not
expect the business to grow much, and have
steady debt liabilities.
CO TIP:
When the sole proprietor has a spouse, the
IRS treats the income as belonging to you
and your spouse, but recognizes that only
you own and run the business. Be careful
that when you fill out any business registrations forms and especially when you fill out
your Schedule C that you list only yourself
and not your spouse. The IRS will be able to
clearly identity the business as solely run by
you, even though the income is joint.
15
S CORP
LLC
CO TIP:
Your personal Chief Operator will help guide
you through the process from beginning to
end in forming your LLC. Visit www.and.co
for more details.
Choose your
business name
Setting up your business is tied greatly to how that
business will appear to others. That is why choosing
a business name goes hand and hand with determining
your business entity. You want to think carefully about
the name and then you need to protect it.
17
Craft a CSA
and NDA
Along with a clearly stated proposal, you and your
client should agree upon the details of your relationship
Draft a
proposal
Begin each project with a proposal, which
is quite simply a description of the work
youll be providing and the timeline in which
youll complete it. A quality proposal will
help ensure that you and your client are
on the same page right from the get-go.
All proposals, no matter the length, should
include these core elements:
Timeline
Deliverables
Budget
Signatures
An NDA is a written agreement that guarantees you wont release any information that
your client deems confidential. NDAs exist to
protect both you and the client. As with any
contract, if the NDA is provided to you by the
client, make sure that you read the entire
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Identify your
ideal client
Selling your services in a way thats effective and is
uniquely you is an enormous part of the challenge to
becoming an independent success. Heres the lowdown
on how to make selling work for you. It all starts with
some clients.
DO YOUR RESEARCH
CO TIP:
IDENTIFY YOUR
DEAL BREAKERS
Its important that you also take some time
to consider your deal breakers. What will
you absolutely not tolerate from a client, no
matter how well-known their business or
seemingly perfect their requests?
Perhaps budget is a big concern meaning
youre going to need to look at larger
companies, rather than smaller startups.
Maybe you need advanced warning of any
21
SOURCE ASSOCIATIONS
Professional associations are another
great way to not only meet like-minded
freelancers in your industry, but also get
linked up with different work opportunities.
If you are looking for official associations,
here is a brief list:
Illustrators (theaoi.com)
IT Pros (aitp.org)
23
GET FEEDBACK
The most important part of freelancing is
permanent growth. Unfortunately as a freelancer you get very little feedback. Truthful
reviews of your work can provide a way to
identify both your weaknesses and your
strengths creating potential new paths for
becoming more competitive in your field.
Build project reviews or check-in meetings into the project plan. This can be either
in-person or virtual. The number and timing
vary by type of work, but a first check-in
meeting should generally be held after the
project is well under way, early enough,
CO TIP:
Use a paid invoice to send a thank you and
also to ask for a referral! Helps big time :)
SENDING THAT
FIRST COLD EMAIL
Youve identified your ideal client. Youve got
names and emails of people you know you
should speak with. There is only one last step
to take in order to secure a new project:
25
CO TIP:
As a CO, I see many proposals each and
every day. It would be wise to get a second
pair of eyes to review it just to make sure
youre getting all the legal protection that
you deserve. And if you need help in crafting
one, text your Chief Operator. Afterall, someone has to watch your back.
FOLLOW UP
Prospective clients are busy managing
other aspects of their business or drowning
in a sea of proposals from your competitors.
So, dont expect to hear back immediately.
This is where the art of the effective follow
up comes into play. If you havent heard anything back on your proposal in approximately
10 businesses days, touch base again!
Keep a running list of the prospects you
intend to reach out to, have contacted, and
have initiated proposals with, including key
information like contact name, last date
of correspondence, and what action is
needed next.
You can track this information using a simple spreadsheet, Streak.com or even Trello.
com (which allows you to assign deadlines).
Bottom line: Ensure that no matter what
system you have in place to stay on top of
your prospects and know when youre due
to touch base again.
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MARKET PRICING
A quick glance at a site like Upwork will show
you how varied prices range across different
regions. If you dive into the economics of
it, the cost for a nice meal in North America
could often feed a family for a week in Southeast Asia or some parts of Europe. As such, the
market rates in comparison to international
freelancers can be quite alarming.
That said, recognizing that most clients are
looking for services from people in their
region, you need to understand the local
or national market. Its here where you
may lose a deal based solely on the pricing
strategy youve taken. If two freelancers are
both offering the same services and both
PERCEPTION PRICING
Value driven pricing is when you base a
product or services price on how much
the target audience believes it is worth. For
example, if your client is a company doing
hundreds of millions per year in revenue
and they want you to redesign their website,
the right design, messaging and execution
could result in a significant return on investment. As such, you want to ensure that what
they pay for the website is commensurate
with the value you deliver. If youve become
a force in your freelance niche, this pricing
model is best for you. Within this model,
youll leverage your unique skills to command a higher rate. Be prepared to have
case studies or demonstrable experience
to back your quotes. A hefty social media
following doesnt hurt either, since you can
also promote yourself as an influencer.
With either pricing model, you will have to
consider five important things. Be sure to
check off the following:
1. DEMAND
Pricing according to the demand and the
economy. If there isnt much demand or if
there is an economic slump, youll want to
make certain you arent pricing too high.
2. OVERHEAD
Keeping your lights on is a critical component
of pricing. Calculate your yearly utilities,
wifi, heat, rent/mortgage, marketing and
insurance costs. If your project is one month,
divide everything by twelve and youll know
how much your overhead costs.
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3. BILLABLE TIME
Knowing how long certain tasks take you
is extremely important. You should always
be able to estimate a baseline or reference
point for your project pricing, whether you
bill per hour or not (more on that in just
a bit!).
4. BILLABLE EXPENSES
Regardless of your area of expertise, there
will be supplies, equipment and necessary
expenses related to your project work.
Record those! And bill them appropriately
to your clients. Its their domain name, ad
space, or photo rights after all.
5. PROFIT
Consider your talent and expertise when it
comes to pricing your services. But bottom
line your profit is what you are charging over
and above your expenses. Determine the
yearly salary for your needs and then begin
to calculate your desired profit goals
(typically 10%-20% more than your salary).
CO TIP:
Whether youre a writer, consultant, or web
designer, pick the business pricing option
that makes the most sense for your work.
Test the waters early on by trying both
pricing structures discussed. Your business
is going to evolve, so if your first option does
not work out, give the other a try! But no
matter which option you ultimately decide
on, your pricing needs to sustain your business and allow you to earn each and every
penny youre worth.
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33
REMOTE
VS
ON-SITE
Work only on that one clients project
at the onsite location
into meetings
at onsite meetings
CO TIP:
Quote your client a rate that includes
fewer zeroes. A specific number, such
as $2,763.00, shows that you made the
effort to actually calculate costs rather
than a round number (i.e. $2,700.00) that
looks padded. Price your services right,
honestly, and deliver them in a proper
proposal. Your client will see your respect
for the work you do from the very start.
35
LEARN TO SCHEDULE
If you work on site, scheduling your work is
a no brainer and feel free to skip straight to
the briefing phase. If you dont happen to
work on site, one of the most challenging
elements of being a freelancer is attempting
to figure out how much time each project
is going to take you. When youre the only
one responsible for managing and planning
out your entire workload, youll often find
37
each client. Save yourself hours by not
starting from scratch each and every time.
Here are some topics for the emails that you
should have templated:
Outreach
Delivery
Thank you
Feedback
Payment Received
ROUTINES
Pick set dates to conduct regular activities.
For example, select Friday as the day each
week when youll send a friendly update
email (using a saved email reply, of course!)
to each of your clients and send your invoices
out on the first of every month. Having a
predictable schedule in place will save you
tons of time.
ONBOARDING
Establish an onboarding system. Getting
new clients up to speed and through all of
the hoops of getting started with you can
be a pain. Set up a system, using a tool like
Trello.com, to ensure that your clients go
through a set process.
TIME TRACKING
Be transparent and track your time. It is
incredibly important to always keep your
client in the loop and to make the communication as transparent as possible will
lead to better, more satisfying work. Also,
tracking time regardless of whether or not
you are charging per time is a very good
CO TIP:
While we advocate for templates to save
precious time, you still want to ensure
youre dedicating time to personalizing
your correspondence. That personal touch
is both necessary and appreciated!
WHEN IN DOUBT,
OVER-COMMUNICATE.
While expectations for communication and
progress updates will be outlined in your
CSA, you need to hold yourself accountable.
If you promised to communicate weekly,
you stick to that schedule - your reputation
and your business depends on how you
handle the entire communication process.
When in doubt, over-communicate. In the
end, your client will be informed and will
operate from a position of knowledge.
When a client reaches out on a weekend,
reply asap. If its urgent: act. Offer solutions,
not excuses. And try to be cooperative. The
client may reach out on a Saturday afternoon, that means you have a choice: reply
that you will have a look first thing Monday
morning or establish higher weekend rates.
And dont forget to track time spent on
work emails.
39
FINDING THE
RIGHT TOOLS
BRIEFING AND
RE-BRIEFING
From to-do list apps and project management systems to social media dashboards
and integration tools, theres a seemingly
endless amount of tools available to you
all of which promise to make your freelance
life easier and more streamlined.
to feel that expectations were met and understands what youve completed. That way you
are able to cement a positive relationship for
future work (and those glowing referrals!).
Set up a time for both you and your client to
briefly chat about your delivery. This oneon-one conversation will give you a chance
to walk the client step-by-step through what
youve completed, and also provide the
opportunity to explain anything complex to
them especially if you completed a complex
project. Beyond that, this discussion will
demonstrate that youre a conscientious
freelancer who truly cares about the final
product.
RECEIVING FEEDBACK
Depending on what is outlined in your proposal, you may need to respond to feedback
and complete revisions for the client. Of
course, youd love if your clients told you,
Everything looks perfect! each and every
time you submitted something to them,
but that isnt reality. Receiving constructive
feedback isnt always easy, but responding
to it effectively will be your secret weapon as
a freelancer. Being open to suggestions for
improvement and specific client requests
will only make you better.
If a client isnt forthcoming with feedback,
feel free to ask for it! With each piece of feedback, you will improve the quality of your
projects, while simultaneously establishing
youre someone whos always looking for
CO TIP:
AND CO offers a PayMe Page to every member.
On that PayMe Page you offer your preferred
payment methods, including credit cards,
ACH, and PayPal. Painless time tracking and
beautiful invoices are also available to all
AND CO members.
41
BE GRACIOUS
Above all else, its important that you
remember to be gracious and appreciative
for the opportunity. This client was willing
to work with you and pay for what you had
to offer (when you were just getting started
no less!), and that deserves your heartfelt
appreciation. Beyond that, your reputation
is one of your biggest assets in the freelance
world. So, even if youre leaving that client
behind, you want to make sure you leave
them with only positive things to say
about you.
43
Why marketing
matters
Even if the work you deliver to clients doesnt
involve a lick of marketing, maintaining your
business will! Here are the most effective methods
of marketing your freelance business and how to
easily execute them.
Leverage
testimonials
Your past clients will have a huge influence on your
business and the health of your marketing. Word travels
fast, no matter how large the community around you
appears.
CO TIP:
Good ol fashioned word of mouth should be a
standby for your freelance business marketing
strategy. Get those clients chatting about you.
www.and.co
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47
Get yourself
out there
YOUR BRAND
SOCIAL MEDIA
CONTENT MARKETING
Content is king - its a phrase heard over
and over again in the marketing world. And,
while you might think it only applies to large
and well-known businesses with established
blogs, content can also be a powerful tool to
help you grow your own brand as a freelancer.
I know what youre thinking: But, Im not
going to be a freelance writer! Surely, this
content rule cant apply to me as well.
Well, yes, content is especially helpful if youre
aiming to make a name for yourself in the
writing world. But designers, developers,
photographers, and the like shouldnt count
themselves out simply because they arent
making their living with the written word
content can be just as powerful for you.
Why? To put it simply, authoring content
gets your name, your brand, and your
expertise out in front of more eyeballs.
Sharing information helps to establish
you as a thought leader in the space. And,
what client wouldnt want to hire someone
who appears to be an expert in his or her
industry?
49
Networking and
relationship building
Its not always what you know, but who you know. Its
advice youve heard time and time again and for
good reason. As a freelancer, your network is going to
be one of your greatest assets when it comes to pulling
in clients, landing new opportunities, and growing
your business.
GUEST
BLOGGING
YOUR
OWN BLOG
PUBLISH
ON MEDIUM
That industry-relevant
blog that youve always
followed and admired?
Send an email to see if they
accept posts from guest
contributors. Itll offer
great exposure.
51
How to ace
a networking event
So now that youre convinced of the importance of
getting out there and meeting new people, youre
likely left with one big question: how do you knock
those networking events out of the park? You dont
want to be the person left bumbling through a
half-hearted elevator pitch about your business or
scribbling your email address on a soggy cocktail
But, where do you find these chances to network? The opportunities are nearly endless,
but here are some places you can start:
napkin.
53
You want to look polished, professional, and
prepared. Its nothing complicated it just
takes a little bit of prior planning.
Heres what you need to know to make the
most out of any networking opportunity.
CO TIP:
AND CO members get access to a ton of
great perks and discounts like a special deal
at MOO.com! MOO allows customization
of both sides of each card. Make sure the
card fits in a wallet and has a spot for your
client to write notes. Check: www.and.co/
freelance-benefits
What you do
Strike Up Conversations
Dont wait for people to come up to you.
Instead, grab the bull by the horns and start
conversations yourself. Ask what s/he does
for a living. Find out how s/he came to know
about the networking event. Bring up an
interesting article you read that afternoon.
Do what you can to get the conversation
rolling. After all, getting started is the hardest part.
Sell Potential Clients
Use that elevator pitch you prepared before
the event to share what you do and the value
it brings to the table in a way thats natural.
Be sure to leave people with your business
cards and encourage them to reach out if they
find themselves searching for some help in
your area. You might just be surprised at how
many calls and emails you get after the event
comes to a close.
When time
tracking takes
too much time,
its time to
switch the app.
Freelance smarter. From Proposal to
Payment AND CO is all you need.
www.and.co
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59
Open separate
bank accounts
To start, open a designated business checking account, which should include a debit or
credit card for all purchases, specifically for
your freelance business. Deposit any checks
youve earned and make any business-related purchases with this account. Keeping
everything in one account will make things
much easier for you come tax time. Trust us
on this one. Seriously. Do it today.
Aside from a checking account you can use
just for your business, youll also want to
explore your options for retirement savings
as a freelancer. Its in your best interest
to open up a retirement account (such as
an IRA) as soon as possible. Not only will
this give you the vessel you need to begin
planning for your own retirement, but it will
also allow for you to move a portion of your
income into your retirement account each
year, which results in a pretty big tax break
for you.
CO TIP:
Check out the AND CO quarterly tax calculator to get to the bottom of your payment
obligation: www.quarterlytaxcalculator.com
CO TIP:
Save money by filing all expenses correctly
or rather have it done by your CO. For some
freelancers like designers, even going to the
movies or a Spotify subscription can be tax
deductible which may save you up to 50%
of costs. Ask your CO that comes with a free
AND CO membership!
61
What exactly
is a write-off?
Total Income
Expenses
Taxable income
Taxes (35%)
Profit
$60,000
$60,000
$21,000
$39,000
$60,000
$15,000
$45,000
$15,750
$44,250
+ $5,250
Date of Purchase
Amount of Purchase
Purpose of Purchase
63
Accepting
payments
CO TIP:
The frequency of invoicing is ultimately
up to you and your client, but you should
always choose a standard before engaging with your client. That way you can
speak from a position of knowledge and
confidence. A Chief Operator will handle
creating an invoice at every appropriate
time; resend outstanding invoices; and
mark invoices paid as soon as funds have
been received.
65
PROS
PAYPAL
Very secure
CREDIT CARD
CHECK
No associated fees
Paper trail
CONS
What if a client
doesnt pay?
Get started by organizing all of the documentation
youll need to prove that youre entitled to that
money youre owed that includes gathering
correspondence between you and your main point
of contact, those contracts and documents you had
signed in the beginning (heres your SOW and CSA
coming into play again), as well as any invoices
that are still unpaid.
Can be inconvenient to
expect your clients to mail
you a check
Waiting period to receive
payment in the mail
CO TIP:
Get paid faster: AND CO offers every member their own PayMe Page. On this page, clients
can pay via the preferred payment methods whether that be credit card, ACH, or PayPal.
GO HIGHER UP
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69
When to
pay taxes
When most people think of taxes, they likely
think of April 15th. But, if youre a freelancer,
youll likely need to be making tax payments
every quarter. Those dates are roughly those
listed below but can differ from year to year:
January 15th
September 15th
June 15th
April 15th
CO TIP:
Chief Operators remind freelancers about
approaching quarterly tax deadlines, deliver
income statements before every quarter, and
assist with quarterly payment calculation via
www.quarterlytaxcalculator.com
How to pay
your taxes
Paying your taxes really isnt as complicated as many
people make it out to be. In fact, you simply need to
fill in your information on a straightforward payment
voucher, write your check, and mail it to the instructed
address.
Designer,
Entrepreneur,
Accountant.
Yeah, right ;)
Freelance smarter. From Proposal to
Payment AND CO is all you need.
CO TIP:
Every AND CO member receives an income
statement - a detailed statement of income
from projects and freelance work including
a complete description of expenses listed in
the appropriate tax deductible category.
www.and.co
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73
Time is money
Never is that statement more true than when youre
working as a freelancer. When your income is so
directly tied to the hours you spend working, you
undoubtedly want to make the most of your time and,
thus, maximize your income. You can work faster
but only so much; you can charge more but only so
much. Service doesnt scale. Be aware and make the
most out of your time.
75
Learn to
prioritize
Automate
what you
can
Establish
business
hours
77
Avoid
distractions
Working from home is nice. But, it also comes with
its fair share of distractions. You could start that
load of laundry or empty the dishwasher instead
of answering some emails. You could walk the dog
instead of beginning that project. Or, you could
binge on Netflix instead of sitting in front of your
computer.
Distractions are ever-present. So, its going to
be up to you to do your best to avoid them.
Keep in mind that super quiet places may
not inspire you, but that all depends on the
tasks at hand. Diamonds are created under
pressure so try to have at least two projects
running at a time, because frankly this may
improve your output!
Not every freelancer works from home or
a coffee shop or a hipster cafe in Brooklyn.
Some freelancers work on site, in an office,
or in co-working spaces. You have to find a
place where you are most productive and
where you could truly focus on your work.
Finding those spots that work best are best
discovered through trial and error. Ultimately, decide on a space where youre free to do
your best work. And wherever that may
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Have fun!!!
Writers
Amanda Spinelli
Kaysie Garza
Kat Kuehl Boogaard
Illustrations & Layout
Basia Grzybowska
Martin Strutz
R
O
F
S
K
N
A
H
T
READING!