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Ten Mistakes Freelancers Make When Starting A Business Doing What They Love

June 6, 2016 by jennifer mcgahan 2 Comments

Ten Mistakes Freelancers Make When Starting A Business Doing What They Love

business doing what you love

Freelancers who start businesses doing what they love are some of the most heart-centered entrepreneurs on the planet.

Not only do they truly love and benefit from practicing their craft or delivering their gifts, others feel it and want to be around that energy. Customers are naturally attracted, like moths to a flame.

But heart-centered entrepreneurs can be a bit starry-eyed about their core business at their own expense.

They get swept up in perfecting their thing, and set themselves up for some unique pitfalls. Because they love their craft so much, they forget the business.  Their more dispassionate colleagues avoid these things.

I’m not telling you to suppress your emotions or enthusiasm. If you’re fired up about building your dream by going into business with a hobby or interest, go for it! The world needs more passionate people like you. But take it from someone who has made every one of the following mistakes, it’s so worth checking these boxes. You’ll feel better about your work, and be able to serve customers better, too.

1. Forgetting the legal stuff.

Helping people accomplish their dreams through your gifts is a heady feeling — almost like being in love. But don’t forget contracts and milestones. Once, I lost a month’s work by digging into a project a little too much enthusiasm, but no real commitment from the client. You can imagine the result. No payment from the client, and my copywriter/marketer’s broken heart. (I had invested more than time and energy than my client. I invested my heart and mind.) I put everything in to a job that really had no future because the client was not invested… and I never got paid.  Now, contracts make me feel more comfortable and excited to move ahead.

2. Falling behind on your books.

Book keeping is right up there with the legal concerns. I used to avoid book keeping whenever possible. But it’s just not possible to ignore it forever. The longer you let things slide, the more work it takes to get your books in ship shape again. If you’re like me and would rather poke a dull ice pick into your eye than file things and keep records, then get someone very competent to do this for you.

The trick is being patient and diligent as you set up your books. You have to participate in the process up front if you want it done right — and if you want your book keeper to be able to work without you in the future. It’s worth the time and the bloodshed involved when, for example, you have to re-file your taxes because the records sent to your accountant turned out to be wrong, as I experienced not too long ago. “Trust but verify” comes to mind here. Take it from me. Make a date with your money and stick to it.

3. Underestimating the importance of being profitable.

If it’s a hobby you love, perhaps you’ve been doing it on your own free time; or in service to an organization or client; or on a volunteer basis. (As an example, I started writing copy for charities and schools.)

You finally decide to hang out your shingle, and serve your clients. Now make sure that you are charging more than you make. Otherwise you will not be in business for long.

If you’re like many heart-centered entrepreneurs, you’re tempted to give away or barter your gifts. Don’t do it. Every time you give it away, you devalue your gift and make it more difficult to internalize and own the energy of prosperity that is rightfully yours. Just because you love it doesn’t mean you can’t charge what you’re worth.

Remember, you’re in business to make money.

Mistakes freelancers make4. Not getting the help you need.

I know very few floral designers who love HTML, nor fitness trainers who love creating e-newsletters. At first, you may have to create some marketing or IT pieces going on your own, but as soon as possible you must get assistance with the tasks you hate the most.

Three reasons for this:

  • Bad energy: Doing crap you dislike drains you and prevents you from wanting to keep at your business.
  • Time suck: Handing over work that others can do better frees you to leverage your real talents and save precious time.
  • Blocked resources: Someone out there can do it way better than you. I had to admit I’m not great at graphic design, even though I know good design when I see it. It was worth every penny to let an expert take over my latest website and logo redesign.

5. Lack of self discipline.

Yoo hoo, all you work-from-home entrepreneurs… The endless distractions can easily derail your intentions. A key ingredient of a great entrepreneur is someone who can focus on what needs to be done first to move them forward the farthest.

Whether that means focusing on time management, or discerning next best steps, strengthening this muscle will set you apart from every other wannabe business owner. If you don’t get a handle on setting goals and taking steps to achieve them, you will be like most of the small businesses that fail in the first five years.

You will make no progress and you will give up.

There have been months in that past when I put a hundred other things before my copywriting business…my family, my workouts, shopping, housecleaning, cooking… I’ve begun to integrate the important stuff (family and workouts) and just do the rest of it when my energy is not at its highest level.

Now, for example, even though the HEB market is least busy during weekday mornings, I use this precious time to write, not to get groceries. Mornings are power hours for writing and exercising — the most important activities of my day, and the ones that propel my business forward.

As soon as I understood that in my bones, and made a pact with myself to keep that time sacred, my business started to move ahead.  I can always shop, and battle the crowds later!

6. Isolation.

If what you love doing most is a social thing, or if you work with people directly, then you’re probably doing OK here. For businesses like writing, graphic design, jewelry creating, or app design; working in solitude (though often necessary) can deplete our best resources.

People are what make your business profitable. Bottom line. They are your customers and colleagues and they shoot your business ahead the more you get your work and gifts “out there.”

My business mentor Lisa Sasevich frequently says “Showing up matters.” Since working with her, I’ve learned to make myself presentable and to take my place at the table.

Community is the key to happiness and success.

Another great friend, Amy Cole, the LinkedIn expert in my circle, suggested I join BNI and show up weekly. Since doing that, I’ve become more clear about how to serve other small businesses and make my network more profitable.

Flying solo from behind your computer, or in your own private workshop is necessary for many heart-centered entrepreneurs. However, a thriving business requires that you make time to get out of your comfort zone and mingle with people. That’s what it means to work “ON” your business rather than “IN” your business. You must practice networking at least 10% of your time in order to grow.

freelancers can't do it alone for long7. The love for your craft dies and you feel like quitting.

Agh, this one hurts. It happens, though, so you’re smart to be on the lookout for it.

Here’s your first clue. Your heart starts looking around for something new to love. What previously gave you joy has now become “work” and so you start slacking off looking for a new fulfilling activity.

This happens a lot with creative types. I should know. I used to love the fiber arts until I realized I didn’t know how to make things out of fabric, build a business around it, and still love it. Making a doll, a purse, or a fiber journal stopped being fun because it stopped being my hobby. Uh oh.

Lesson learned. I still play with fiber and fabric, but I do it because I need the downtime and the open creativity. Same with my art journals. I love creating art, but I found I did not love the business of creating art. Huge difference!

It helps to rub shoulders with people who are doing what you love to do, in order to keep your audience engaged and interested.

8. Lack of marketing strategy.

Now, this may sound harsh, but I love you, so I’m gonna say it. I’m the first to stand up for the tiniest of micro-niches out there. If you love making dollhouses out of playing cards, then I truly believe you can build a business out of it, and even gain a decent following. But it’s going to take some time and some effort in marketing your dream.

Here’s where your passion serves you. You love it, so your enthusiasm and your personality will be the center you work from.

It may take a little while, but steady efforts to grow your community will eventually pay off — if you spend time marketing yourself and your product.

Another requirement is market research, even for a small business. Sometimes I meet entrepreneurs who have a great idea, but they don’t know who their market is, or what drives them. Invest the time to understand your ideal customer. If you make water bottles, understand if your customer is drinking water from it on the subway, or on a hike in the mountains. Know why they want to own a special water bottle (e.e. is it the design, or the function?) and what they see is the primary benefit.

Test things. As you build the business you love from the hobby or product you love, get it out there  in front of potential customers before you invest a lot of money in advertising or production. Daymond John from Shark Tank says if you can sell 50 items from the back of your van in the parking lot of a mall in two hours, then call him. He wants to talk to you!

9. Endless tinkering.

Here’s when you know you have a problem. Your numbers and goals are less important than the enjoyment of the work. If you are lucky enough to build up a business from that thing you absolutely love doing, AND your market sustains a regular income, you may be very happy to simply coast along with no growth, testing new things and expecting a loyal customer base to keep things going. But, if you are struggling so much that you’re thinking of moonlighting as a barista at the coffee bar to fund your business, you may have to rethink your business.

I know you love it. That’s great. But there is a little mindset shift that has to take place when you go into business. You can’t love it so much that you tinker, or tweak every little thing. You can’t expect customers to tolerate the intricacies you adore about your art, craft, service, or hobby. Sure, set aside time to experiment with new techniques, but at some point you have to go fast and far with what you know and what you’ve already mastered.

The key is to pick one thing that’s working and keep drilling down into those results. Practice getting better at conversion in those channels.

Document what you know and set goals for growth. Dig in to the business and every now and then stand apart from your “love” and observe it with a critical eye. Tell yourself it’s nothing personal. It’s only business.

even happiness is scalable
heap of yellow balls with smiley faces

10. Neglecting scalability.

This goes hand-in-hand with that common demon heart-centered entrepreneurs battle often…they say YES to everything. They take every one-off job (who would refuse new business?) and try to make each and every customer happy by catering to individual requests.

Sadly, it’s a no-win situation. Repeatability and systems will set you free to love not only your passionate hobby, but also to love the business you are trying to build.

You can still swoon over traditional Bohemian cooking, coffee roasting, or blending things in a Blendtec. You can start a business doing anything your heart desires these days, so follow your heart…and take account of these ten mistakes.

Open 10 doors and build a heart centered freelance business from Jen McGahan

Is there a pitfall you’ve experienced that I didn’t mention? Please share. Comments always welcome.

Need help making sure you’re targeting the right new customers for your business? I help freelancing business owners just like you. Set up a time to chat. 

Filed Under: Freelancing, Home Business Tagged With: entrepreneurs, heart-centered entrepreneurs, LinkedIn, loving what you do, marketing tips, networks, profitability in small business, scalability in small business, starting a business you love

Warming Up A Prospect With A Cold Email

August 26, 2013 by jennifer mcgahan Leave a Comment

cold emails to warm up prospectsYou know it would be better to have an engaged subscriber — someone who opted in to your list. You even know the benefits of using an email service for your email marketing.

But the fact remains that sometimes you truly need to contact a certain demographic or even a specific individual to get the ball rolling. You have no choice because it’s part of the prospecting required to open the door for new business. You’re sending it from your personal professional email address to theirs — and it must impress them.

Sometimes you just have to send a cold email. 

First, accept that even when your recipient knows you and and expects regular emails from you, the delete key is easy to access. Bet you do it too; delete emails with barely a scan, especially when you’re busy or you’ve fallen behind cleaning out your inbox. According to the Radicadi Group, a technology research firm, business people get an average of 108 emails every day, and they tend to pile up. How do you make sure yours stands out?

The best way is to become that sender who consistently send useful and interesting emails.

The second best way to get your emails opened is to make sure the person receiving your emails is expecting them. Rule number one in deliverability and list building is a confirmed opt-in.

But there are times when you want to try reaching out to someone you’ve identified might be a good fit as a business client or a partner in a project…the only trouble is, they just don’t know it yet.

You need to send a cold email to start a relationship.

A couple of days ago I tried this — only I wasn’t asking for his business. I wanted to give the guy MY business. Here’s the story:

Last week Mr. MyTeamConnects and I bought our first rental property. As a writer to and for investors over the past decade, I am excited to finally start investing my own money in real estate. (Woo hoo! )

Now, you’d think I would know what to do with a property after all the research, webinars, seminars and phone calls about real estate investing that I’ve been exposed to. But though I know the marketing side of things, I have a steep learning curve to climb dealing with actual property. Now that I own a tangible investment, I’m searching for a property management firm to get some questions answered.

Funny how it works learning something new…in theory, it’s easy-peasy. In practice, you really feel the bumps in the road.  😯

The first firm I contacted told me they don’t manage houses like ours that have septic tanks and wells, due to liability issues. (Hmmm, first road block.) But he referred another management firm — even gave me the owner’s direct email address. Cool! I sent an email to him on his buddy’s recommendation.

To his direct email address, mind you…name spelled out and everything.

I’ll bet you can guess what happened. No response. After waiting a couple of days I went to the firm’s website and sent an inquiry through the website. It was sent to “propertymgr@…” not the man’s direct personal email that his colleague/competitor gave me.

See, the gentleman my first contact recommended was not expecting my email. So it’s probably sitting somewhere in a junk folder. The email filter did it’s job, even protecting him from someone who needs his services! I even dropped his colleague’s name in the subject line: “Your colleague Bart at Bella recommended you.” Crickets. No response. He probably never even saw it.

Now imagine how difficult it is to get a response from a cold email when its purpose is to engage a possible customer — it’s even more challenging!

Many business people, especially B2B sellers, contact prospects via a cold email. They get their list of names and address from various sources:

  • Business cards from a conference, trade show or Meet-up they attended.
  • LinkedIn contacts
  • Purchased email lists
  • Online data-gathering services like Jigsaw or ZoomInfo

Whether you have a long list of cold prospects, or you’ve selected just a few to contact, your next hurdle is creating an attention-getting email. How do you capture someone’s attention within the first few words?

Tip #1, and I can’t stress this enough: Never forget that you are not “selling” anything with a first touch. All you’re trying to do is get them to read and respond in some way.

Don’t make the mistake of thinking this first email is a one-time shot.

It’s a fantasy to believe that all you have to do is send a cold email, and someone picks up the phone and calls you. As I said before, you’re lucky if the email even lands in their inbox, let alone gets read. The type of response you’re aiming for with a cold email is more likely to be one of the following:

  1. Reading it and simply digesting the message. It’s rare that a reader will remember and follow up at some point in the future, even if you’ have left a good impression. Plan to reach out at least a couple of times, spacing your emails a couple days apart. Remind them who you are and repeat your message.
  2. Clicking on a link for more info: a white paper or web page. This is the ultimate response, because now you can ask if they would also like to receive updates, a newsletter, or a follow-up by phone or email.
  3. Deciding to add you to his contacts on a social site — following you on Twitter, checking out your Facebook page or Linked In profile. Reinforce your message or campaign by repeating it on your social sites. That way, your recipient will see a common thread, something to hang onto and remember.

If you make an impression, that’s great, but guess what? The ball is still in your court. Oops, I’m getting ahead of myself. Let’s go back to just getting that first cold email opened… 

Now that you have the proper mindset, it’s time for the real work — writing a subject line that compels action when they don’t even know who you are.

Thursday’s blog post will give you five smooth moves you can use to get their eyes to lock onto your subject line and open your email. Stay tuned!

Filed Under: Email Tagged With: business email, cold calling, cold email, contact list, email marketing, email subject lines, email tips, finding customers, Jigsaw, LinkedIn, marketing, marketing with email, prospect, prospecting, real estate investing, real estate property, sales, subject lines, Twitter, ZoomInfo

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