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To become an independent contractor, determine the services you’ll provide, create a business plan, obtain a business license if necessary, and find clients through advertising, job boards, and networking. As an independent contractor, you’ll need to calculate your own taxes and fees.
The steps to becoming an independent contractor are generally the same as starting a business. In most cases, you’ll need to determine the types of services you’ll provide and figure out how to find clients. Depending on where you live, becoming an independent contractor means you will technically operate a business, so you may need a business license. You may also need to create a basic contract for those who want to use your services. Once you’ve got those basics down, you’ll generally need to advertise your services or bid or solicit projects from independent contractors.
Before you go out of your way to become an independent contractor, it’s a good idea to learn what it means to be an independent contractor. As an independent contractor, you will be a freelancer who is not employed by the companies that hire you. Instead, you will generally be paid an independent contractor fee for the work you do. As an independent contractor, you cannot expect those who hire you to calculate the taxes you owe or withhold from money earned.
Generally, the first step you should take in becoming an independent contractor is deciding the types of services you want to provide. You can choose based on your skills and interests, as well as the need for the services you provide. For example, you can choose to become a freelance writer or editor, or you can become a doula. If your interest is in helping people market their businesses online, you can become an Internet professional. You can even work as an independent contractor, offering advice based on your area of expertise and experience.
Once you’ve determined the services you want to offer as an independent contractor, your next step could be to create a business plan. Essentially, you are starting a business, so you will need to include details on how to get start-up money, operate your business, and get in touch with potential customers. Your plans may change as you gain experience, but a business plan provides a basic blueprint from which you can start. When planning your business, you can also create a contract for clients who want to hire you.
You may also need a business license to become an independent contractor, although this depends on the laws in your jurisdiction. Typically, obtaining a business license requires you to complete an application and pay a fee. You can also find out if your jurisdiction requires any additional licensing for the type of work you will be doing.
Once you’ve created a viable business plan and secured the necessary licensing in your area, you can start looking for clients who need your services. You can implement an advertising campaign to attract prospective customers, for example. Many independent contractors also find it helpful to research projects on job boards and freelance websites. Also, networking opportunities can lead to referrals.
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