Hi
I was inspired to write today's newsletter by a podcast episode of The Human Cloud where Matthew Mattola interviewed Albert Azis-Clauson, Chair at The Association for the Future of Work, Founder of UnderPinned based in the UK. They discussed several relevant issues impacting professionals' work, especially how we need to think about self-employment. I think it is a very relevant topic for wisepreneurs.
The Shifting Paradigm of Self-Employment
As the world of work evolves, more professionals are gravitating towards self-employment, fundamentally altering traditional employment models. These individuals, often experts in their fields, prefer the flexibility and autonomy of professional freelancing. However, the freelance space is fraught with misconceptions and complexities—many start by assuming that freelancing is about being an employee for multiple employers. In truth, it's about selling a commercial solution or proposition in a commercial context.
The Freelance Space: A New Dawn of Professional Opportunities
Today, approximately 1.5 billion people globally are engaged in some form of self-employment, highlighting the significant impact of this shift on the global workforce. The rise of freelancing creates opportunities and challenges, with a clear contradiction surfacing: the people who are good at selling are only sometimes excelling in execution. It's time for professionals to understand that freelancing success is not only about being good on camera or persuasive in a pitch. It's about substantiating your commercial proposition with relevant experience and interest.
The Role of Self-Identification: The Power of Defining Your Work
The self-employed operate in an expansive landscape, spanning different industries and roles. Depending on their expertise, a freelancer might identify as an advisor, consultant, or independent business owner. Understanding your professional identity and how to communicate your value proposition is crucial. This becomes your pitch, your commercial proposal. The validation of this proposition is different from your ability to articulate your skills and the relevant experience and interest you bring to the table.
Valuable Attributes of Successful Freelancers: More Than Just Skills
Being a successful freelancer is about more than just possessing a particular skill set. It's about understanding the commercial context and providing a business solution. A vital part of this understanding is knowing how to relay information effectively. The inherent skills of a successful freelancer are not different; the application varies, which in turn influences the type of work you have access to.
Tailoring Freelancing Approach Based on Business Size: Small Business vs. Large Enterprises
How you approach potential clients also matters. For example, if you're targeting small businesses, social proof and testimonials may play a more significant role, as these businesses often seek validation from similar companies. Larger corporations, on the other hand, prioritize specific, relevant experiences. Recognizing these differences can help you tailor your approach and optimize your success.
Understanding Work Access Based on Skill Application: Being the Efficient Bridge Builder
Successful freelancers are not only adept at executing tasks; they are also efficient bridge builders. They understand the end goal and devise the most effective path. A software developer, for example, can choose to become a technical specialist manager or a high-level technical specialist, requiring a different set of skills and methods of operation. However, The common factor is their ability to strategize and implement the most efficient plan to reach the desired outcome.
Legal and Descriptive Aspects of Freelancing: A Global Perspective
The world of freelancing is not just about selling skills or propositions; it also encompasses navigating various legal structures. From being a 'sole trader' to a 'proprietary limited company' in Australia and even dealing with tax implications like '1099' in the US or 'IR35' in the UK, freelancers must navigate these complexities to operate effectively.
The Future of Freelance Platforms: A Double-Edged Sword
For many freelancers, online platforms are a crucial tool for finding work. However, as freelancers become more successful and establish solid networks, their dependency on these platforms reduces, presenting a conundrum for the platform providers as their core service becomes less relevant to their most successful users.
The Future of Work and the Shamrock Organization: Redefining Workplace Structure
The future of work is changing, and with it, the structure of organizations. Many industry experts predict a shift towards a model of a small number of permanent roles coupled with a larger number of project-based roles, akin to Charles Handy's Shamrock Organisation from his 1989 book "The Age of Unreason. The three leaves of his shamrock represent the full-time staff (core workers), flexible part-timers (peripheral workers), and project-specific contract workers.
Embarking on the Journey of Self-Employment
The rise of professional freelancing is more than a trend; it's a transformation of the world of work. Whether you're considering self-employment or are already navigating the freelance space, understanding the evolving landscape can help you sell your skills and solutions more effectively. As the Shamrock Organization suggests, the future will require a blend of different workforce types to succeed, and talented, well-connected freelancers will be a crucial part of that mix.
The emphasis will shift from the traditional employee-employer model towards a more flexible, project-based approach. It is worth coming to terms with the nuances of the market and gearing up for the future of work—one where professional freelancers are not just participants but pivotal players shaping the work landscape.
References
The Human Cloud Ep. 77 Albert Azis-Clauson
Charles Handy The Age of Unreason
What do you think?
Cheers
Nigel Rawlins
https://wisepreneurs.com.au/
PS. We make it easy, which refers to how I help make it easy for you to shift to self-employment.
