Thursday Bram wrote a good article about preparing a freelance business plan. Freelancing is just as much a business as any bricks and mortar storefront, and the sooner writers, coders, graphic designers and other freelancers recognize that fact, the quicker they can start protecting that business properly.
One thing I’d add to the Bram article is something many freelancers overlook–insurance. Not health insurance, which is very important, but business insurance, renter’s insurance, or any other coverage that protects your most valuable assets related to getting the job done.
Freelancers often take their gear and office space for granted, but do a quick tally on the dollar amounts you have invested in your gear. Even if you only have $5K invested in a laptop computer, router, mobile internet card, camera, voice recorder, printer, etc…can you really afford to lay out five grand to replace it all? What about when you transport this stuff in your vehicle?
Don’t neglect the protection of the gear that you depend on for your livelihood. Anything could happen to your equipment–a neighbor’s home could catch fire and the flames could spread to yours. Your car could be stolen with your laptop inside. A pipe could burst and soak your home office. Doomsday? Or inconvenient setback until the insurance check clears?
I’m glad you found my article useful.
I’ve written about insurance for freelancers in the past — it’s worth checking into your renters’ insurance or home insurance if you work out of your home. Many freelancers will find that their equipment is already covered under that policy.
There are also other types of insurance that can really come in handy for a freelancer, like errors and omissions insurance. If you’re working with a big client, it can protect you from any mistakes on the project.