With any self-employed activity, tracking your performance is necessary to identify what works and what needs to be improved to achieve optimum results. The slow summer months can be a good time to carry out this type of assessment and ensure you are doing the best you can to be a successful IT freelancer.
But what are the best indicators of success for your self-employed activity? Follow these key indicators to draw appropriate conclusions and make effective resolutions, both in terms of income and of work methods
What was your turnover this past year? Was it higher or lower than the previous year? Although freelance income can vary widely from month-to-month, looking at the bigger picture will help you assess your performance. Compare this year’s figure with what you achieved the previous year over the same period. Deduct from it the percentage of evolution. If that percentage is negative, it might be time to change certain things.
When calculating your turnover, do not forget to take into account all your expenses. Then divide your total turnover by month to get a comprehensive overview of the year.
Another indicator of the health of your one-person business is the total amount of your expenses, especially compared to the previous year. As a successful IT freelancer, your charges should be in theory low, especially if you carry out your tasks at the client’s office or from your own home.
If the expenses incurred are made in the interest of your activity and this has resulted in an increase in your gross turnover, this is a good sign. On the other hand, if your expenses have increased more than your earnings, you have things to ask yourself.
Time management is essential for any successful IT freelancer. You must organize your days to be as productive as possible while maintaining a healthy work-life balance. thinking of allowing yourself moments of rest.
But that is not all: as an successful IT freelancer, you must also reserve some time for housekeeping. Make sure you allocate time to deal with administrative duties, as well as to search for your next assignments.
Customer loyalty is a key indicator of a successful IT freelancer, as it reflects the ability to build trust and ensure satisfaction with clients. The higher your loyalty level, the more likely you are to be contacted again by this client. But you are also more likely to get good recommendations; the best asset for finding new assignments.
You can also look at your customer portfolio and calculate your average income per customer: you may find that some customers have asked for too much time compared to what they paid you.
If you are doing short assignments and a client represents almost all of your turnover, you are in a delicate situation that must be taken into account. You in danger of depending too much on this unique client. In the case of long missions, this indicator is obviously less relevant.
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