How to start a freelance business

Learn how to overcome initial doubts and launch a successful freelance business with steps from goal setting to client acquisition. Discover strategies for selecting profitable niches, branding, and pricing to kickstart your freelance career.

By Douglas Wade, Attorney

Email | Call (800) 484-4610

Have a quick question? We answered nearly 2000 FAQs.

Table of Contents

How to start your own freelance business

1. Understand your motivation and goals

2. Pick a profitable specialty

3. Prepare to do business

4. Create a logo for your company

5. Make social media accounts and a website

6. Establish your price, but be flexible with it

7. Attract clients and expand your customer base

How to start your own freelance business

If you’re hesitant to take the risk and launch a freelance business, that’s entirely understandable. At first, all freelancers experience the same doubts. But you know that you need to; it’s ingrained in your entrepreneurial spirit, that desire to be your own boss and do what you want, your way, one day. Believe it or not, you’ll succeed because of those emotions. In the beginning, all you need is some direction on which decisions you should make. The following are some steps to help you jump into the world of freelancing and land securely on your feet.

1. Understand your motivation and goals

Establish clear objectives and a clear understanding of your business’s objectives before you set out on your journey. Consider some of the following questions:

Why am I starting my own business? To have more time to be with my family, set my own hours, and be my own boss?
What am I hoping to gain from it? Would you rather have a full-time job or a side gig?
What is my dream? To continue working as a freelancer or to establish a company with staff?
What effort am I prepared to put into it? (How many days a week, how many hours a day, and am I willing to make sacrifices?)

Be really honest with yourself; if you make promises you can’t keep, they will just remind you of your past mistakes and weaken your confidence. Next, decide what you want to achieve. Set wise objectives—those that are time-based, relevant, quantifiable, and specific. Establish short-term (this week, this month, or this quarter), long-term (this year), and continuing (this is something you need to do every week). Set your objectives the night before, and make a plan for each day. Examine your findings on a daily, weekly, monthly, and quarterly basis. In this manner, you’ll be able to identify your areas of success and failure and make the necessary adjustments.

You can now start your journey.

2. Pick a profitable specialty

“But I am sure of what I want to freelance in,” you may be thinking, but that’s not your area of expertise. There are many different niches in any business, so choosing a lucrative one is essential if you want to make enough money to support yourself.

Assume you work as a freelance writer. People in your location have lower living expenses, so they are willing to charge less than you. If you only advertise on the same websites as them (like Fiverr or Upwork), you’ll either end up working for free or giving up. However, there are many different writing specialties (white papers, blog articles, long-form material, ghostwriting, etc.). Moreover, the most successful ones employ the best authors rather than the least expensive ones.

Select three lucrative niches in your industry. Finding the sweet spot—niches that fascinate you and pay well—is the key to making sure you don’t compete on price while earning what you need.

3. Prepare to do business

Now that you’re working for yourself, you need to choose how you’ll run your company. Depending on your destination, you can select one of three options.

Sole proprietorship: (Easy to start, little accounting costs, but you bear all financial responsibility for the company)
Limited liability company: You are not held accountable for the firm, but it is more difficult to form and more expensive, with higher accountant fees. This can be created yourself, with the help of a lawyer, or through services.
Corporation: Because of its complexity, expense, and superfluous perks, freelancers typically avoid choosing this option.

The simplest and least expensive alternative, if you intend to remain a freelance writer on your own, is to register as a sole proprietor. Nonetheless, since limited liability companies offer the advantages of not being personally accountable without the hassles of a corporation, many independent contractors choose them.

4. Create a logo for your company

You don’t have to postpone it just because you’re new; in fact, it’s precisely because of this that you should be thinking about branding, starting with a logo. But why is one necessary?

In the event that you lack a website or a social media presence, you will be reaching out to prospective employers via email. Additionally, adding a signature to your account can make it appear more professional. You’ll have the ability to put a logo, a personal photo, a description, and your contact information on your email platform. You have a considerably higher chance of capturing the attention of the intended reader if you accomplish this.

There are several ways to design a logo, and using an online logo builder won’t break the bank. A logo creator can suffice while you’re just getting started, but after you start making some cash, you can opt for a more costly logo.

Though crucial, a logo shouldn’t be overthought. Some folks spend weeks at a time stuck in this phase. This is a waste of precious time. Create a logo that you are satisfied with and that looks the part, then continue on.

5. Make social media accounts and a website

Although having a signature email will help you land work, eventually you’ll also need to have a website and social media profiles.

Both offer a point of contact for potential clients as well as an area to highlight previous work and clients. Above all, you may sell yourself in a way that distinguishes you from other independent contractors in your industry.

A well-designed and polished website communicates to prospective customers that you are a reliable and respectable company. Creating a presence on a website like LinkedIn is an excellent method to increase your visibility in the industry and widen your network of potential employers.

Use them to promote your accomplishments, get followers and likes, and soon you’ll be turning jobs down.

6. Establish your price, but be flexible with it

Choosing your pricing plan is a prerequisite to making a proposal for a job.

It is possible to use:

Hourly: (Start there by determining the going rate)
Flat Fee: (A fixed fee that is not based on the quantity of work completed)
Project Quotations: (Single quotes based on specific projects)

You can conduct internet research, speak with other freelancers in social media groups, or visit websites like Glassdoor and Payscale to learn what rates other freelancers in your area charge.

But keep in mind that you’re still a newbie, so be adaptable now and take on gigs that fall outside of your ideal budget. People who learn to swim are the ones who get their feet wet, and one gig frequently leads to another.

Dressing the part is another surefire way to land gigs.

7. Attract clients and expand your customer base

After identifying lucrative markets, creating a logo, developing your website and social media accounts, and establishing your pricing strategy, it’s time to start attracting clients.

However, because you’re new to the game, how will you play it?

A fishing net strategy, as opposed to a fishing hook, might be your best option at this early stage. You may already know some of your prospective clients, or you may be completely in the dark. Getting your first gig and entering the game is the aim.

The location of your client is going to depend on your market. Through email, social media, or their website, you can get in direct contact with them. Another alternative is to sign up for a paid membership. Paid platforms are places where professionals congregate because they offer a service for a cost, in contrast to their free counterparts.

After you start working, you can narrow down your list of potential clients to simply those who are dependable and consistently offer high-paying jobs.

Have a quick question? We answered nearly 2000 FAQs.

See all blogs: Business | Corporate | Employment

Most recent blogs:

Best Free Payroll Software for Small Businesses and Startups in 2025

Find the best free payroll software options for small businesses and startups in 2025 with essential tools and flexible features. Compare user-friendly platforms offering global payments, tax calculations, employee portals, and cloud access at no cost.

What Services Does a California Business Lawyer Provide?

A California business lawyer helps protect your company by providing legal guidance on structure, taxation, contracts, and compliance. Their services ensure you avoid costly mistakes and navigate disputes, allowing you to focus on growth.

Where Can I Find a Business Lawyer?

Find a skilled business lawyer to navigate legal matters like contracts, trademarks, and liability issues. Protect your company with expert legal advice and support.

What Are the Requirements for a Business Contract Termination Letter?

A contract termination letter must clearly state the reason for termination, reference the original contract, and follow required notice procedures. Ensuring proper documentation and adherence to contract terms helps prevent legal disputes and wrongful termination claims.

Are Verbal Contracts Binding in California?

A verbal contract can be legally binding in California, but proving its terms in court is often difficult. Written agreements provide stronger legal protection, reducing risks of disputes and misunderstandings.

Where Can I Find a Business Lawyer Near Me?

Find a business lawyer by seeking referrals, researching credentials, and ensuring they specialize in your industry’s legal needs. Schedule consultations to assess their expertise, compatibility, and pricing structure before making a final decision.

What Is the Statement of Information and When Is It Required?

A Statement of Information is a required filing for California corporations and LLCs, providing key business and leadership details. Filing deadlines vary, requiring annual or biennial submissions to maintain compliance and avoid penalties.

What Is Indemnity and How Does It Apply to Insurance Contracts?

Indemnity protects individuals and businesses from financial loss by ensuring compensation for damages under legal agreements, including insurance contracts. Various indemnity policies cover liability, property damage, and professional risks, with terms defining coverage limits and exclusions.

What Is Gross Profit and How Is It Calculated in Financial Statements?

Gross profit represents the revenue remaining after deducting the cost of goods sold, helping businesses assess production efficiency and pricing strategies. Calculating gross profit involves subtracting direct expenses from revenue, providing insights into cost control and financial performance.

What Is Gross Income and How Does It Differ From Net Income?

Gross income includes all earnings before deductions, while net income is what remains after taxes and expenses. Understanding these figures helps determine tax obligations, loan eligibility, and overall financial health.

What Is Beneficial Ownership Information and Why Is It Important for Compliance

Beneficial ownership information helps prevent financial crimes by increasing transparency in corporate structures. Businesses should stay informed on reporting requirements to avoid penalties and ensure compliance with evolving regulations.

What Is Arbitration and How Does It Resolve Disputes?

Arbitration resolves disputes by allowing a neutral third party to make binding decisions, offering privacy and efficiency over traditional litigation. Businesses and individuals prefer arbitration for its speed, cost savings, and adaptability, ensuring enforceable outcomes across various legal frameworks.

What Is a Corporation, and How Does It Differ From an LLC?

A corporation is a separate legal entity owned by shareholders, while an LLC offers flexible management and pass-through taxation. Corporations require stricter compliance and structured oversight, whereas LLCs provide fewer formalities and adaptable ownership structures.

How Do You Incorporate a Business, and What Are the Benefits?

Incorporating a business creates a separate legal entity, protecting personal assets and offering potential tax advantages. This process enhances credibility, simplifies ownership transfer, and provides growth opportunities while requiring compliance with specific regulations.

How Do You Get an LLC, and What Are the Benefits of Forming One?

An LLC provides liability protection, tax flexibility, and management freedom for business owners. Follow seven simple steps to establish one efficiently.

How Do You Start a Business, and What Are the Legal Requirements?

Starting a business in California requires careful planning, legal compliance, and financial preparation. From selecting a business structure to obtaining permits, tax registration, and funding, each step is crucial for long-term success.

How Do Accrual Accounting and Cash Accounting Differ in Financial Management?

Accrual accounting records transactions when they are earned, while cash accounting records them when money changes hands. Choosing the right method impacts taxes, financial planning, and cash flow management for businesses.

Do I Need a Permit to Operate a Vending Machine?

A vending machine business requires permits, including a business license, EIN, and compliance with state and federal regulations. Proper location approval, ADA compliance, and product labeling are essential for legal operation and profitability.

Are There Grants Available to Start a Business?

Government and private grants provide funding to help entrepreneurs start businesses, with eligibility varying by industry, location, and business type. Opportunities include federal programs, state initiatives, and private grants supporting startups, research, and minority-owned businesses.

What Is a Stock Corporation in California – General Requirements?

A stock corporation in California raises capital by selling shares, granting investors ownership and voting rights while maintaining limited liability. These corporations, classified as C or S, follow specific legal steps, including filing Articles of Incorporation and drafting corporate bylaws.

Is a Contract Valid Only if It Is in Written Form?

A contract can be legally binding whether written or verbal, but some agreements, such as real estate deals, require written documentation. A valid contract must include clear terms, mutual agreement, legal capacity, consideration, and intent to create enforceable obligations.

What Is a Cash Receipt and Why It Matters for Business Transactions

A cash receipt records the exchange of cash during a transaction, detailing the amount, parties involved, and purchase specifics. Maintaining accurate cash receipts supports tax reporting, financial management, and dispute resolution while ensuring compliance with audits.