Advantages and Disadvantages of Hiring Freelancers
Posted by Wayne in Business Growth, Freelance
In case you weren’t aware, Ugly Mug Marketing is a fairly small company with only a few full-time employees at this time. Everyone else is a subcontractor.
I’ll admit it is an unusual business model, and there are certainly advantages and disadvantages of hiring freelancers. Here are a few of each:
Advantages:
Decreased Salary Costs – When we have a slow project month, this model prevents us from paying a lot of money in salary costs. If we don’t get projects in a given month (which hasn’t happened in over two years), we don’t have to pay our subcontractors.
The Best Fit – This business model also allows us to pair the right subcontractor with each project. For example, if we had one or two salaried designers then all design projects would go these alone. However, because we have a large team of subcontractor graphic designers we are able to assign the project to the designer whom is the best fit for the specific project.
No Sick Days – If we had a salaried graphic designer, there would be a very good chance they would miss some days each year to illness, and a few more for vacation. There is absolutely nothing wrong with this, but by having a large team of subcontractors we drastically improve our turnaround times by reassigning a project to a different designer if the initial designer becomes sick or goes on vacation.
Disadvantages:
Long-Distance Takes Longer – Without question it takes longer to go over project details, modifications, or issues with someone that completely on the other side of the country (or world). Technology has certainly made this disadvantage a little easier to deal with because of tools like Skype.
No Team Spirit – The biggest disadvantage, in my eyes at least, is that it is difficult to get all the subcontractors motivated and pushing toward our goals. With a team scattered all across the world, it’s difficult to get everyone together at the same time to talk about where we are heading.
Although there are certainly other advantages and disadvantages, these are the ones that have the greatest impact on Ugly Mug Marketing. Have you considered using subcontractors in your business? What are the advantages and disadvantages of using subcontractors in your business?
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