As 2018 year comes to a close it’s a good time to take stock of the highs and formulate a plan for the year ahead. Contracting can be a dynamic sector to work within, and for many, this is precisely its attraction. Swapping the security and benefits of employment for contracting keeps you from sitting back and coasting along – the best contractors enjoy a challenge and the element of uncertainty that pushes them to keep sharp and proactive. Like most things though, contracting is a learning curve. There are bound to be assignments that earned you praise and admiration, and ones you’d rather forget – the trick is to learn from both your successes and failures and use these to keep improving the service you offer. Every contractor’s resolutions will be different, but here at Umbrella Exchange, we’ve put together 10 ideas that could put you in the right frame of mind to get ahead in the New Year.
Use the Christmas downtime productively
The Christmas holidays can be a good opportunity to relax without your phone constantly alerting you of new deadlines. As many businesses wind down for Christmas, contracts can be thin on the ground, giving contractors an excellent opportunity to tie up any loose ends. Keep it manageable and leave heavy-duty tasks for another time. In other words, this is the perfect opportunity to catch up and file the paperwork that’s been covering most of your dining table for the last few months and organize your expense receipts.
Improve your productivity
With contracting its not just about how much you work, but how you work. You could be taking on too much and failing to achieve what you need to get done everyday. This calls for a review of your working practices. For some contractors, this could be as simple as investing in one of the many Apps that are available to help track your time and organise your schedule. These Apps work by monitoring your daily activity and using this data to make suggestions on how you can improve productivity, while many also incorporate bookkeeping and invoicing software to help streamline your tasks. For contractors who find themselves with a lot of additional legal, financial and tax orientated tasks, especially those who are running their own limited companies, it could be time to consider using some of the specialist support services available to contractors so that you can focus on your contracting work and leave the admin to the experts.
Set yourself goals
The end of one year is a good time to take stock of your work over the past 12 months and think about where you want to go in the future. Taking a long term view will ensure that you work towards specific goals, rather than getting stuck in a repetitive cycle that limits your growth. Think about how your sector is likely to be affected by factors such as the UK leaving the EU and changes to off-payroll legislation. Ask yourself what kind of opportunities will be created and what skills clients will be looking for in your sector. It could be that smaller, niche business could offer you the best opportunities to capitalise on your skills, while reducing the likelihood of having to work under IR35. Large, corporate clients are always good prospects for higher rates and sustained contract work, but competition can be fierce.
Invest in your branding
Creating a personal brand for your contracting business will enhance your professionalism and credibility as a contractor. This is important in attracting high quality clients who look for high quality talent. Contractors can implement a successful branding strategy from the outset by ensuring that all their visual assets, such as company colours and fonts, are consistent across all marketing communications. Branding works on the premise that information grouped together by identifying shapes, colours and phrases is easier to remember. This will ensure that your marketing activities not only make the right impact, but a lasting one.
Expand your social media network
Use the Christmas downtime to increase activity on your social media channels and update your profiles to reflect your recent experience and achievements. While platforms like LinkedIn offer contractors excellent potential for building their network, consider whether you could benefit from creating a profile on platforms such as Instagram. In 2018 the number of UK contractors on Instagram rose to 48%, compared to just 18% back in 2015. Instagram’s visual appeal will give your marketing another dimension that you can link into your other social media. Expanding your online network will allow you to grow your contracting business and increase your chances of securing consistent work.
Review your rates
For many independent contractors, working out how much to charge clients so that you remain competitive without selling yourself short is one of the trickiest tasks. Once you’ve set your rate, there can be a tendency to use this as a default option. However, each assignment may present different expectations from the contractor, which is why they should review their rates on a regular basis. The fact is that with every new contract your experience, and therefore your value, will increase. If you were an employee, you’d probably benefit from pay rises and bonuses, so look at your performance on recent contracts and ask yourself if it warrants raising your rates. New skills and qualification are other reasons to raise your rates, especially since, as an independent contractor, you’ll be paying for these out of your own pocket, so you want to see some return on your investment. Lastly, annual inflation rates mean that your rates should reflect any annual increases in living costs.
Develop your skills
Contractors should view training as an investment in their career development; improving your skills increases your marketability and allows you to negotiate a higher rate. Take your Christmas downtime to research what training would benefit you before investing your valuable time and money. Research will allow you to anticipate the demand for specific skills in your industry, as well as identifying possible niche skills that fewer people possess. Learning online is a popular and cost effective way of acquiring new skills at your own pace that can be easily fitted around your work schedule. For Engineers and IT contractors, formal CPD or technical software courses held by accrediting bodies may be of more value than online courses and seminars.
Diversify your services
Contractors often get used to sticking within the same industry, but moving out of your comfort zone could open up new possibilities, greater rewards and opportunities for growth. When thinking about diversifying your services, look at your recent projects and list all the skills you have. Are there skills that you’re not including in your pitch? For example, experienced contractors could think about marketing themselves specialist senior advisors if they have strong communication skills. If you specialise in social media strategy, you could add the option to create social media content or run ad campaigns, or if you’re a web designer, perhaps you could consider offering other design services. Diversifying the services that you are able to offer will add value for the client and increase your agility when it comes to moving between sectors.
Take some time out
Last but definitely not least, take some time out to recharge, rejuvenate and enjoy yourself. Contractors are often driven to work longer hours than most, while also taking less holidays. While it’s true that contracting can give you greater choice and flexibility over the way your work, it’s often harder to keep work from spilling over into your private life. Multi-tasking is inevitable and can even be an effective mean of getting things done, however not many people can sustain this on a daily basis without corners being cut and mistakes being made. Resolve to give yourself regular downtime in the New Year and attention to your work life balance. This can be anything from taking a foreign holiday to relaxing with friends and family, just make sure you that don’t get so caught up with work that you forget to make the most its rewards.
To speak to a member of our team about all your contracting options, call 0203 393 3881.