Today I start work with a new client – ongoing work. Can you hear me cheering loudly? My goal has always been to work with at least two ongoing clients. Amen that I replaced the last one whose budget dried up. This work, for now, will be steady and lucrative.
Travis brought up an interesting point in the comments section of my last post. He said we should always vet our clients. I couldn’t agree more, Travis. But many writers don’t. Many writers, sad to say, grab anything going. They’re chasing the check. I’ve been done doing that for years. No, now I hunt down quality and interesting topics. The money follows, as that is also part of the criteria.
I’ve preached this here before, folks, but it’s time to revisit. You cannot build a lucrative, strong career based on hit-and-miss jobs. If you’re taking those more often than you’d like to admit, you need to work on your business plan, for you’re approaching your entire career on a hit-and-miss basis. And I’d lay odds you’ve not put one iota of time into building any business plan.
Every writer’s business plan will be different. That said, I’ll share the criteria that goes into mine:
My yearly income goal. Without this, I’m shooting in the dark. I settle on a figure based on last year’s income and what percentage increase I need in order to meet other goals, such as saving for a house, retirement, business expansion, etc. And hey, a raise, because most employees get raises annually, right? Why not the writer?
Per-hour wage. The amount I want to make annually has to boil down to a per-hour rate. Otherwise, I’m not going to know how much to charge (simple, yet don’t we forget to do this the most?). I have to know that charging $XXX will net me $YYYY each month or I’m just spitting into the wind and hoping it doesn’t come back to haunt me.
Marketing strategy. Oh yes, I have one. Oh yes, it changes. These are the living, morphing entities within the business plan itself. This one plan-within-a-plan makes or breaks the career. It’s the one I give the most time and thought to. And I revisit this every month (right here, too, when I share my monthly assessments) to see how my efforts match my goals. If it’s not working, I revise. Often.
Targeted clients. Here’s the defining factor. I know who I will work with and who I won’t. Occasionally an unknown will enter the picture – unknown as in unvetted and untested – but generally I know my clients, even those I haven’t worked with before, by knowing what they look like. It’s like this –
the pay + the industry + the type of work + the workload = my client
I know my minimum acceptable rate. That’s the first measure. The industry (and my knowledge of it or interest in it), the type of project, and how long they give me to complete the work necessary are all the deciding measurements once they make it past the price factor. And the price is key. I guess you could argue that I’m chasing price, too, but in this case, I’m targeting the rate I’m chasing, not just looking for anything. It’s a calculated goal and one I’m not willing to compromise. Nor should you be.
So what goes into your client vetting process? Your business plan? How do you improve your game plan? What works for you?
I take a lot more chances than most freelances at the level of, say, you and Susan and some of our other honored colleagues. i do sometimes take a chance on a start up or a new publication.
Part of it is that I'd rather have the flexibility of one-offs rather than regular clients. I've never, in my entire working life, been truly count on a fixed, regular amount of paycheck — even in B'way, you can close at any moment.
I know what number I need to hit and what number I want to hit, as far as income, and i hit it. I just don't do it with a lot of regular clients.
I do get a lot of REPEAT clients, which is different, but I don't count on them.
I go with my gut. And, sometimes I'm wrong. I learn and move on.
But I don't want to have to do x pieces for x client per week or month. I have enough trouble dong my columns!
I need more freedom and more flexibility. I'm willing to trade the financial security for it because I've never had financial security, and somehow, I always manage.
Without taking mill content/crap wage jobs.
My client vetting process/criteria is as follows.
1) Client must be a large enough company to generate multiple projects for me throughout the year.
2) Client must regularly or at least occasionally use freelancers and understand the value they bring to the table.
3) My goal is for each client to be worth at least $1500 in annual billing, and that is the absolute floor. A "gold level" client to me is worth $12,000 or more per year, and I strive to have at least three of these each year.
4) Average invoice is expected to be at least $500.
5) If company is a startup, client is knowledgeable about everything it takes to succeed in marketing, has all his ducks in a row, and is not delusional that a single mailing will make him rich.
6) Client is respectful, clearly understands my value (does not consider me a commodity), promptly signs and returns contracts, promptly pays deposits and invoices. If client negotiates about price, it is done respectfully.
I don't turn my computer on for anything less than $400 these days. Most new relationships with me start with larger projects worth at the very least $1000. If a new client wants just one press release, or one short article, or whatever, I usually refer them to someone else.
I guess I'm mid-way between you, and Devon, Lori. Of course, articles make up the majority of my work. I have two or three places I write for regularly (at least one article in most if not all issues per year), a couple that I write for frequently, but not every month, and yet others that I write for sporadically. I try to keep in touch with those editors even if I don't have an idea to pitch. At the same time I'm always seeking new clients, preferably ones that will become frequent or regular markets.
I just completed my first assignments for two new clients. One is a long-running industry trade I've followed for quite some time. The other is for a new consumer website connected to a national trade association. They offered me three articles, but I only took one. That's my vetting process. They seemed legit, had strong industry connections, and a detailed contract, but I wouldn't consider multiple assignments until I had evidence that they were on the up and up. They paid upon invoice, so I hope they will become a steady gig.
I'd be bored the death having to cover the same topics every day. I need a variety of subjects to keep my interest. I do specialize, but my real motto is, "I'll write about almost anything, as long as it's in English."
Like Devon, I've never had what others might call true financial security. (I grew up in a single-parent family with a dad who was a freelance artist/cartoonist!). Yet somehow I've always managed. Tenacity and curiosity help make it happen.
This is such an important topic, Lori. I essentially "wondered" into freelancing, but have since created a business plan and marketing strategy (you're right, these things are constantly changing). Mom was right; I you fail to plan you plan to fail.
I no longer take on any project someone tosses my way. I am learning how to tell whether or not a prospect is worth pursuing. I generally stay away from start-ups, but there are exceptions which must be qualified.
I've felt the pressure to declare a specialty, but it doesn't seem to be the right thing for me to do right now, although I can see the wisdom in doing so. Right now I'm working on targeting the right people. Great topic!
Great post — and a good reminder. I've been meaning to start marketing again for a while now, and I always seem to get sidetracked.
One thing I've never lost sight of, though, is the hourly rate conversion. In fact, I track my hourly rate on a daily and a per-project basis, just to make sure I'm not charging clients too little.
There's also a great tool for converting your annual income goal into an hourly income goal, here:
http://freelanceswitch.com/rates/
The page format looks funny on my screen, but I think that's because I'm still using IE6…
Lori,
I prefer steady clients with a lot of variety in what I do for them.
I'm planning a series on freelance pricing, and in preparation, I'm conducting a survey of freelance rates. The survey is completely anonymous. I'd love for you and your readers to participate. The more responses I get, the more accurate the information will be.
Lillie Ammann
Freelance Writing Rates Survey
Nice survey, Lillie! I took it yesterday. Nice idea!