Freelancing isn't always good

[Joff]

I've recently spent a number of weeks in and out of hospital in various states of recovery and as a consequence, my freelance work has suffered. I've blogged about it at http://blog.jofftastic.co.uk/2008/05/when-freelancing-is-a-bad-move/ and I don't want to repeat it all here, but wondered if anyone else has any thoughts on it?

What would you do in a similar situation? What plans do you have in place to cover yourself in the case of illness?


Oh Brian, what's up with posting URL's on here these days?

[Brian Turner]

I'm afraid I'm not sure about the links issue - am checking into that.

As for the freelancing issue - sorry to hear about it, but hope it all clears up soon. I think this is a typical case of where subscription-based income definitely comes in handy. Not sure how to apply it to a webdev scenario, though?

[Startup03]

Sorry to hear about your predicament! Sadly that is always a risk in freelance because there is no stability unless you can constantly produce something. You should look into a way to stabilize your income with a contract, if possible. However, I am not sure what other options you have!

[Joff]

Since posting I've found various income protection insurance options which seem to be quite a good option and I'm looking into taking one of those out shortly.

[Startup03]

Im glad you found a solution!

[kismet]

Sometimes freelancing is considered only an option. But if you really want to continue it and become serious about it, then you can just consider it to be your business where you can be boss of your own.

[Profitxchange]

Be careful with income protection insurance - read the very small print. The problem with freelancing ( ive been there) is that it can be difficult for one person the generate sufficient revenue to build a nest egg for rainy days. Can you reposition your service and pitch at premium clients where your cost is almost irrelevant in relation to the benefit. I have a client that charges £750- 1000/day (I think its low) but the overall cost to the client in relation to the benefit is less than the tea bag bill.

[toddex]

Originally Posted by kismet

Sometimes freelancing is considered only an option. But if you really want to continue it and become serious about it, then you can just consider it to be your business where you can be boss of your own.

I completey agree with you perfectly addressed in my opinion

[MichaelWall]

That's an eye opener. I think you really need to develop different revenue streams that don't depend on you putting in a daily shift and that can manage themselves or be managed by other people.

[frauke]

Cover for long term sickness...

Income protection (previously known as permanent health insurance or PHI) is a policy designed to payout a specified monthly benefit to replace your salary in the event of you being unable to work due to disability or accident or sickness

There are long term policies out there, that usually kick in after a least 12 week to cover long term illness and require full underwritting and there are specialist policies for the self-employed.

The other thing to consider - try and tie up with someone else in your field. I have started recommending clients running Ltd companies to do this, especially if they are IR35 borderline companies.

Initially you do it so you can go on Holiday. They provide holiday cover for you, and you do the same for them. You help (and pay) each other for a couple of weeks a year for covering each others work/contracts etc...... Sign a simple confidentiality etc. agreement so there are no conflicts.