Freelancing for agencies

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  • Jim_t

    I've been freelancing for a while but I've just started looking at freelancing for design agencies as well as my own clients.

    One agency I met wanted to give me a full-time position rather than use me as a freelancer as they have so much work on. However, they said they would use my services as a freelancer but wanted to pay me a rate based on salaried hours, (as if I was working there full time) which works out under half my normal rate!

    How would you approach this?

  • pixelchef0

    Sounds to me like they are getting a better deal than you!

    If your busy enough, stay with the freelance rate, or offer to do that 2/3 days a week but i wouldn't personally except.

  • Jim_t0

    Yeah, I'm in a situation where I need some extra income, but want to stay freelance as things will likely pick up in the next 6 months.

    Ultimately if they have enough work for a full-time person, and this work will continue indefinitely then its going to be tricky justifying hiring me on a freelance basis?

  • PonyBoy0

    that's when you say 'kThanxBye!!' and move on, Jim.

    I got sucked into something 'dumb' like this... turns out I was working at about 1/3 the rate of what freelance would be getting me... and I was working longer hours... OH... and I had no insurance, office or equipment covered by them... that shit was alllllll on me.

    ... these are all things that people who get paid at an employee rate should receive... yet... I was still getting 1099'ed at the end of the day and covering all the little things that a fulltime gig would normally cover. (stupid me!... happy them!)

    (damnit, Jim... I'm a doctor... not a staffing specialist!!)

    • oh... software! I left out software!
      If you're working for yourself... get paid at an appropriate rate that also covers your costs...
      PonyBoy
    • that covers your costs... what you're describing sounds like you could get taken advantage of rather easily.PonyBoy
  • Oneburn0

    the benefit of working full-time means you can expect a certain amount of money every week, benefits and 401k. if they are willing to provide that, and you really want to work for the company, go for it. otherwise, they are trying to hire you without recognizing your overhead and would be considered taking advantage of you.

  • pixelchef0

    True, maybe just offer to do a couple of months contracted, as long as its in writing, then when things pick up you can go back to freelance.

    what is it you do? print/web? you have a site?

  • jamble0

    I've had similar offers this year and rejected them.

    The reason my freelance rate is higher than what they'd pay a salaried member of staff is because I don't know from one month to the next if I'm going to be working so I need to cover for this. Also of course, I'm usually called in at the last minute to cover busy periods.

    If you're not interested in the full time position, then there's little point basically slashing your rates just to suit them which is what they're asking you do if you stay freelance.

    As for the suggestion of 2-3 days a week, I considered an offer like this a while back but found that I'm usually booked by agencies for 2-4 weeks typically so being unavailable 2-3 days a week would effectively rule me out of working for anyone else.

    I'd say if you're happy with how the freelancing is going, stick to your rates and don't accept offers like that.

  • pixelchef0

    Think your answer is there, i had a simler offer too when i was freelancing, and turned it down too.
    Good luck fella.

  • Jim_t0

    Thanks for the replies.

    Truth is I've just moved to another country, so I'm just starting afresh and picking up new clients. As you can imagine any offer of money in situation where you currently have a low income seems attractive. Maybe the part time solution will work for now...

  • PonyBoy0

    :) best of luck, man... I guess if I were in your situation I'd look into that part time gig to keep myself fed/living... it all depends on your situation.

  • madirish0

    do not accept it based on 'salaried hours' (whatever the fark that means- lol) but instead, suggest a day rate where they use you basically as a full-time person/staff for determined days or period of days. this would likely be ~ 80% of your daily amount if it were pure hourly.
    ex:
    hourly rate: $100/hr
    time: 8 hours
    hourly day rate: $800.00
    Day Rate: $640.00

    That way, you are still ahead of the curve on billable, and they get the 'benefit' of not having to pay you your full hourly rate, yet get to benefit from you as a working full-time resource.

    This practice (day rate) is pretty common in bigger cities in several industries. Might be applicable here and everyone is happy.

    • //oh shut up... you don't even know the diff between an A.D. and a...
      ... oh... nevermind. ;)
      PonyBoy
    • day rate x 220~230 will give you rough estimate on your annual income.tkmeister
  • tkmeister0

    Day rate is really common when you freelance for advertising agencies. I've done 7yrs of freelance and with 8-9yrs industry experience. A fulltime job feels like I've been ripped off because they will offer something that's 20-30% less than what you can make as a freelance and give less flexibility on working on some shitty projects if you get assigned.

    they try to sell you the company covers the health insurance, and other benefits. i know that even if i max out everything they can offer, still won't match up to the amount i lose going in fulltime.

  • PonyBoy0

    ^^just stopped freelancing after four years for a fulltime gig...

    ... *feeling shitty... thx for that, tkmeister. ;)

  • tkmeister0

    fuck me, pony. me too, only time you should go fulltime is if you want to build a career path in the agency world and do it with the right company.

    • ha... that's exactly what this situation is too... the right start-up w/the right clients etc... *feeling betterPonyBoy
    • well, i joined this company which wanted intervention and change things around. or so they said. oh well, whatever.tkmeister
    • assert your authority, sir... hehe :)
      good luck, man. :)
      PonyBoy
  • wwfc0

    ...none of us get out of bed to do charity work!! Agencies charge more than substantial fee's to their clients but expect freelancers and suppliers to treat them like some sort of "not for profit" set up - f*ck em!

    If they want to use your services then they should pay for them_period.

    If they want someone full time - then they should hire someone full time!