If you read a story about any successful business, you’d quickly understand that growing business simply means reinvesting the business profits. If you don’t reinvest your freelance income, you block your opportunity to earn more in the later stages of your freelancing campaign. By reinvesting your money in correct places, you can speed up your money making process and hence increase the weight of your bank account.
Amount to reinvest
The portion of your profit that you should reinvest your income technically depends on how much you make and how much of it goes into taxes and covering other expenses. If you are making enough surplus money each month, then you can allocate a fixed percentage of your surplus that would go into reinvestment, for example, 30% of the surplus or 50% of the surplus.
Once you reinvest your freelance income, you can either reinvest directly or you can save up the money for a future big investment such as renting an office or buying a high graphics computer etc.
Make sure that the money that you’ve set aside for reinvesting is free of all taxes and other restrictions. That money should be entirely belong to you.
So now the question is how to reinvest? Here are some tips on where you can reinvest your hard earned profit.
A. Outsource Non-Important Work:
Pay someone else to do your non-core work so that you can completely focus on your important work. You can pay someone else to design a logo for your blog, a template for your portfolio, create an infographic based on your collected data or you can even hire a blog content writer for your blog’s content. The time that you would have spent on doing these chores can now be used for other important purposes such as marketing, advertising, and more importantly, working on the project.
Don’t be afraid to outsource some work if it promises to give more in return.
B. Start A New Blog:
In general cases, newbie freelancers don’t create their personal blog. Rather they make use of blogging platforms such as WordPress and Blogger.com and earn a domain “www. Mynamedesigner.wordpress.com”. While reinvest your freelance income, create your own personal blog where you can use top CMS platforms and buy your own domain name “www.mynamedesigner.com”. You might consider outsourcing your blog template designs and CMS installation, while you can focus on your blog monetization plan.
C. Marketing And Advertising:
A big portion of your reinvest your freelance income should go into this. Upgrade/polish your marketing and advertising efforts to attract more clients. This might mean redoing your website, purchasing online ads, offline promotion cost, creating a webinar to promote your business etc. The more effectively you use your money in marketing and advertising, better are the chances of making more money with it.
D. Learn More:
Look out for classes, seminars, offline conferences which you can attend to upgrade your web design knowledge. The more skills you learn about your niche, the more clients you can impress to reinvest your income. Gain knowledge in every stage of your life. Never be complacent with it.
Upgrade your computer, softwares, desks, chairs, anything that you think can improve your productivity. But a pin board, a laptop, tablet PC etc.
Well, these were just a few ideas of reinvesting your money. You can reinvest your freelance income it in any way you like. Just make sure your hard earned money does not go waste.
How did you reinvest your freelance income? What steps would you take to reinvest your freelancing campaign? Tell us the importance of reinvestment in freelancing. Put in your thoughts and views via comments.
If you are looking for a step by step process to start your own freelance web design, you can visit our Complete guide to become freelance web designer to reach near targeted visitors. Please feel free to leave any comment you have in your mind.