Half of small businesses want to hire freelancers. Here’s how freelancers can win their business

Some 900,000 new small businesses launched in the UK in 2023. The good news is over half (53%) of them are looking to hire on a contractor or freelance basis, according to a new survey by 1st Formations.

While this is promising, there is a slump in UK recruitment levels, as reported previously by The Freelance Informer. With the Labour Party ready to announce tax hikes and the cost of living crisis still lurking, how can freelancers best position themselves to attract these small business clients? Here we share a few tips based on the survey’s findings and how to position your expertise in times of economic uncertainty.

1. Fill the skills gap

The 1st Formations survey highlights a significant skills shortage amongst SMEs, particularly in marketing (34%), lead generation (21%), and sales (14%). Freelancers specialising in these areas have a clear advantage.

If you possess one or more of these in-demand skills you can start to position yourself as an expert. You can do this by stating a common pain point small businesses are likely to have and the frustrations that are tied to those. Share snippets of your knowledge through blog posts, social media, or webinars to establish credibility and attract clients.

But what if you do not specialise in these areas? Think of how your experience or knowledge could help boost or enhance marketing, sales and lead generation. Why have clients hired you in the past and what were the results? Did your work help achieve sales or customer service goals, for example, by addressing a need for the end customer?

2. Be the solution

Understand the unique challenges faced by small businesses and present solutions that address their specific needs. You can do this by offering “tailored” solutions. Highlight your expertise when offering these solutions. You can do this while you’re sleeping by having your portfolio online. But you can go one step further and create case studies (just a paragraph or two) and seek testimonials from former and existing clients to demonstrate the value you could bring.

3. Use your remote working track record  

With 43% of small businesses adopting a fully remote working policy, freelancers who can work independently and effectively from anywhere are highly sought after.

Emphasise your remote work experience by highlighting your ability to collaborate effectively and deliver results remotely.

One of the quickest ways to demonstrate strong communication skills when working remotely is to show that you are proactive and responsive.

• Use technology that makes communication easy, effective and saves time.
• Familiarise yourself with project management tools and communication platforms to streamline workflow.
• Even create a LinkedIn survey to find out which software tools project managers have found the most useful and why. Ask clients in your target sectors their workflow pain points to also get some insights.

4. Address economic concerns

Economic uncertainty makes cost-effectiveness a key concern for small businesses. Freelancers need to demonstrate their value proposition clearly.

• Offer flexible pricing: Consider offering project-based pricing or packages to make your services more affordable.
• Highlight your efficiency: Exhibit your ability to deliver high-quality work quickly and efficiently, saving the client time and money.
• Focus on Return on Investment (ROI): Demonstrate how your services can contribute to the client’s bottom line and help them achieve their business goals.

5. Build Relationships

Building strong relationships with small business owners can lead to long-term collaborations. Start at industry conferences, that are for startups and specific industries. You can meet potential clients by introducing yourself after panel discussions and workshops. Spend that time finding out more about their business, objectives for the rest of the year and anything exciting or challenging they are addressing. Then, express why you find their goals are important and how you could help them achieve objectives (i.e. use an example of how you helped a previous client).

• Engage on social media: Use platforms like LinkedIn to connect with small business owners and participate in industry discussions.
• Offer free 20-minute consultations (and make it known on social media): Find out as much as you can about a prospective client in an initial complimentary consultation. Provide valuable examples of how you have helped clients; what you have managed to achieve and common pain points that you have witnessed and helped solve. This demonstrates your expertise and builds trust right away.

How to convince small businesses to hire you

Present a clear and concise proposal: Outline your services, pricing, and deliverables in a professional manner. Some freelancers are happy to outline these on their websites for full transparency. Others may show just a few prices and suggest incremental fees for additional add-ons.

Be prepared to tailor your pitch to each client: Show that you understand their business and their specific needs. You can use AI tools such as Otter.ai to record and summarise your initial meeting and develop a pitch that addresses their needs and matches your skills and experience. Just mention that you are recording the call to take notes, but reinforce that the call is confidential. There is also the AI-powered Intelligent Recap feature in Microsoft Teams Premium to consider.

Offer a trial period: Allow clients to experience your work firsthand on an ad-hoc basis. However, any work must come with a contract so you are protected as a freelancer when it comes to Statement of Work (SOW) and payment terms.

Above all demonstrate your passion for your work and your commitment to helping your clients succeed. You will undoubtedly have to be patient. Small business owners want to grow fast but also will try to wear many hats to keep costs down. If you can illustrate how you can help them achieve their goals (make sure you know them specifically) and make them confident that hiring you is a good return on their investment, you could land yourself a handful of small business clients before the year’s end.