When it comes to your small business, are you a freelancer or a consultant?
This discussion has come up many times lately within my digital circle, and I think it’s worth outlining and understanding.
I feel it’s important to be conscious of:
- The difference between a freelancer and a consultant
- How/if “freelance work” and “consulting work” are interchangeable
- How/when to label yourself as something different altogether
B Squared Media has gone through some serious growing pains in 2015, so this post will help clarify some things for freelancers, consultants and small business owners.
Let’s start with defining each role: Freelancer and Consultant.
What Is A Freelancer?
When I first started B Squared Media, I didn’t have a company name, DBA, or any “real” business set up.
I was moonlighting — testing the waters for doing my own thing while I was employed full-time by another company.
A lot of business owners get their start this way as it makes taking the leap a little easier.
Business Dictionary defines freelance as:
“Working a contract basis for a number of companies … freelancers are often considered to be self-employed … without being tied to any one company in particular.”
Essentially you’re selling your work, or deliverables, as a time share, available by the hour, day, or project.
Did you catch the word deliverables?
Freelancers are hired to deliver something to the client. They often have a defined set of tasks to complete.
Take writers for instance. Writers are often working as freelancers and their deliverable is the copy — whether an ad, story, blog post, or press release.
These freelancers, or writers, probably work for several clients during the course of the year, and are paid as a 1099.
But isn’t this basically what a consultant does?
Let’s discuss …
What Is A Consultant?
For the most part, there isn’t much different between a consultant and a freelancer.
Consultants often have many clients they work for and are paid as a 1099 as well.
[bctt tweet=”The main difference between a freelancer and a consultant is in the scope of work.”]While freelancers have a set of specific tasks and deliverables, a consultant is more often hired to create processes, a strategy, or even coming up with the specific tasks that require deliverables.
Consultants are usually responsible for things like:
- Strategy
- Project management
- Insight & forecasting
- Research
With my own business, I eventually started helping with digital strategies and needed help — from a freelancer — to do the actual day-to-day tasks that supported the social strategy I created.
My job was to be both a consultant and a freelancer, but as my workload and client roster grew I needed to divide the work between strategic thinking and “must do” tasks.
Of course by this time I had gotten a DBA and started my own company, which leads me to my third label.
Do you have to be a freelancer OR a consultant? Or is there a label more fitting?
I’m An Entrepreneur — Here’s Why
Whether you’re a freelancer or a consultant, you are selling your time as an individual to other individuals or businesses.
As an entrepreneur, I sell my business services to other businesses.
There are many traits that make me what I am and the “Double B behind B Squared Media.”
Sometimes I act as a freelancer, especially when people or companies hire me to write, and most of the time I act as a consultant and build processes and plans around a brand’s digital presence.
I also employ freelancers and consultants who help me complete specific tasks, or in the case of our ads specialist, devise strategies around online advertising.
When it comes to hiring my brain and experience, you can rent me. I’m not for sale, but I do still partner with some larger consultants or agencies as a consultant (like Mark Schaefer and our work together on The Content Code!).
I guess I’m all three, but overall I feel “entrepreneur” fits me and my work/business the best.
Blurred Lines: Are You A Freelancer Or A Consultant?
While a freelancer could be seen as an hourly employee, a consultant and entrepreneur could be seen as working for oneself.
However, a consultant is often a 1099.
You see where things get blurry and confusing.
This is probably a topic ripe for discussion and disruption considering 34% of the U.S. workforce consider themselves to be freelancers.
What do you think?
Are you a freelancer or a consultant? Or are you an entrepreneur? And what parameters help you define each? I’d love for you to share your thoughts in the comment section below!
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7 Comments. Leave new
This is super relevant to me and my business journey right now – I’ve recently started doing more consulting with my clients (I’m a freelance designer, mostly!) and currently burning the candle at both ends 😉 I can handle it all now, mostly because I love both delivering ‘real things’ as well as strategising for my clients. I can imagine I won’t be able to do it all for long though!
Same here, Cat! I think this is probably a pretty relevant topic for many freelancers, consultants and small business owners. Growth and scaling are hard — even “good” growing pains are painful. I feel you! Good luck to you and be sure to let us know how your journey develops. 🙂
Great article, Brooke!
I consider myself an entrepreneur, but based on the parameters you used in this article I am all of the above. I mainly act as a consultant while evaluating companies, employees, processes and many other areas of their business, and advise clients on my findings. I also do a lot of training on how they can do things in a more efficient manner and with the proper personnel in place. I also do a small amount of freelance work.
Welcome Back! 🙂
Dennis
Thank you, Dennis! I feel I’m all of the above, too. Though I mostly do consulting now, there are still some freelance opportunities that are too good to pass up! 😉
[…] 5) Are You A Freelancer Or A Consultant […]
Fantastic tips! I like the concept of a feedback loop, where by you can share your services with a first client, and over time gain more clients through executing your projects with a good set of principles around each one. Providing not only your service, but a great relationship, follow ups, and helping the client to be successful in any way you can.
Jaret recently posted…Six Reasons You Really Need to Purge Your Social Media Accounts
Thank you, Jaret! Totally in agreement. 🙂