Full-time to Freelance: More IT Pros Are Becoming Contractors - Will They Succeed
The reasons are typical--consulting simply offers techies more money and personal flexibility than the corporate grind. While the gleam of freedom and riches is still bright in the eyes of newly minted contractors, I decided to ask a simple question: In the long run, will these contractors succeed?
Five Best Practices for Consultants I've written in the past about the success factors of contractors, including planning for downtime, a rainy day fund, insurance, retirement, and networking.
But this recent revelation prompted me to look more deeply into the things HotGigs has learned about the contractor marketplace. We've learned that successful consultants follow a core set of best practices, including the following five behaviors:
They stay current on technology. They invest in themselves with training and new skills acquisition. They know how to run the "business side" of being a consultant. They think more about long-range career opportunities, not just money, when considering a new gig. They know how to market themselves and they do so frequently and consistently. While these five strategies keep a contractor vital, busy, and at the head of the profession, the reality is most contractors need to modify their behavior to live up to these high standards. Most Contractors Not Following Best Practices HotGigs' study of the state of the IT marketplace showed stark gaps between what contractors say they do and what they should be doing. For instance, being schooled in the latest technology is essential for a techie. But a whopping 49 percent of contractors surveyed said they only invest $1,000 a year--or less--in training and skills acquisition. This meager investment is hardly enough to bone up on a new programming language or qualify to sit for a certification exam. Business acumen was woefully inadequate, too. The majority of contractors ranked business skills first and second in importance out of a list of seven skill types they want to acquire. They said they want to learn more; bookkeeping time management negotiating skills A good step in the right direction to help consultants manage their business. When asked about their least favorite aspect of consulting, the majority of contractors said they "didn't really like at all" locating new leads. Negotiating rates, invoicing, and accounting issues ranked second among the least popular activities. Money Holds Too Much Allure Money drives most consultants too much. As my executive friend at the Fortune 500 bank pointed out, contractors are seduced away from their day job by the whisper of higher earnings as consultants.
HotGigs' survey showed that money was the number one deciding factor for consultants selecting new projects. But money isn't always the best consideration when examining a contract. Things like the prestige of the project or the company and the ability to network your way into more contracts may be a better consideration when thinking about a long-term career. Marketing Skills Weak The majority of tech contractors surveyed said that marketing continues to be a weakness. Contractors rely heavily on referrals to land new opportunities. While important, word of mouth is a passive way of marketing that may keep you hovering in the safe zone--in the same pay scale and type of project, further limiting your ability to learn new programming chops.
Only 32 percent of respondents were people who I'd call "active" in terms of marketing themselves. Active means seeking out new contract opportunities at least six to 12 times a year. With so many projects only lasting three to six months at a time, the importance of continually getting your name in front of prospects cannot be overemphasized.
When you enter the market as a consultant, you face the consequence of becoming unemployed if you fail to rigorously market yourself. Additionally, you're at a disadvantage when negotiating contracts and rates if you're desperate for work. You'll compromise your pay, accept work that may not interest you, and ultimately shorten your long-term prognosis as a contractor.
It's Possible to Obtain Better Contractor Skills Of course, all of these counterproductive behaviors are reversible. Sites like HotGigs that offer techies a suite of products, contractor management, and networking tools make it easier to break out of self-limiting behaviors as a contractor.
For instance, online training is a click away, with HotGigs E-learning. You can even research consultant bill rates and monitor who is checking you out. This makes it easy to follow up independently with a phone call or email to the hiring manager. You can also import a list of contacts, invite them into the HotGigs network, and promote your availability to them with a simple click. In the coming months, more features will further enhance the Consultant Desktop on HotGigs.
The goal is the long run success of contractors like you, whose numbers continue to grow at record pace.
Related Tags: freelance, contracter, contract employees, success of independent consultants
Doug has a long history in the recruiting and staffing industry. He started in IT as the Director of IT for the Minneapolis Institute of Arts. Doug then started his own IT consulting & staffing firm (Quantum Consulting) which he grew to over 75 consultants. In 1995 Doug sold his firm and founded techies.com which received over $100 million in venture capital. Doug's currently the founder and CEO of HotGigs.
Your Article Search Directory : Find in ArticlesRecent articles in this category:
- Ideas For Finding a Nanny Job
Looking after the welfare of children is a very important job. The role of caregivers in the present - What There is to Know About a Temp Agency
A temp agency is a place were skilled office workers can go to get work. There are a number of diffe - Discovering the Many Ways a Temp Agency Can Assist in a Down Economy
When out of money and unable to find work, often times can look hopeless. However, for many who have - Careers That Require Financial Responsibility
Keeping your finances in order is important for any adult, but if you want to work in certain career - What You Need To Know About Resumes And Cover Letters
If the ways of getting employed is composed of steps, the first task would be to come up with an imp - How To Increase Your Chances Of Getting Hired
In trying to get a job, the person that you are going to impress, aside from your would-be boss, wou - Tips on How to Get Hired in a Flash
Unemployment rate all over the world is undeniably huge. But, the bigger problem that professionals - Tips and Techniques on Finding a Job Quickly
There are three ways on how you can get employed at the soonest possible time- that would be, knowin - Securing Your Lifetime Starts Now
If by the time you're 30 and you still don't know what you want to do with your life, it should alre - Occupational Therapy Jobs For a Career in Nursing
Occupational therapy jobs are undertaken by individuals who are willing to engage their skills in he
Most viewed articles in this category:
- Hollow Eyes Are Not Dark Circles Under The Eyes
Many people of all ages complain of dark circles under their eyes. The phrase "dark circles under th - Career As A Hairstylist
Hairdressing is an art that involves arranging hair for aesthetic purposes, participation in formal - Life After West Point Military School
West Point exists to educate and train Cadets who are commissioned as Officers in the US Army upon G - Work Experience In Fashion - How To Get A Great Opportunity In Fashion Work
Work experience in fashion can be one of the most challenging positions to find. It's a simple equa - Tips for Job Hunting in Today's Market
In order to be competitive in today's job market, you must stand apart from the competition. Just h - Who are the EMTs
You'll find them at Denny's. At least I always do. Denny's, Coco's, Perkin's; any all-night restaura - Hiring A New Assistant?
More and more small businesses and even larger companies are turning to virtual office assista - You Too Can Start an Independent Record Label
It's no big secret, the trick of how to start a record label definitely involves some cash and most - Increased Salary with a Medical Degree: Consider the Options
Physicians are probably one of the highest paid professionals in the world. They make a lot of money - 5 Steps to Becoming a Virtual Assistant
Here are 5 steps that I went through in becoming a virtual assistant. These aren’t official by