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View Full Version : Advice for someone starting home-based design business
tkearsey 02-23-2004, 03:52 PM HI,
I've been playing with and half-assedly attempting to start to build some type of foundation for my own homebased webdesign business. I'm currently employed fulltime, but would love to move into the freelance work, but of course i need some clients.
What I'm wondering is, does anyone have some advice to give for attracting clients via emails/direct snail mailers. Like I said I'm working fulltime and don't have much time to go nkocking on doors. Word of mouth isn't working for me yet, not enough work done yet i guess.
My latest plan is to present myself is a new light. I usually am pretty cut and dry with prospective clients and tell me my whole story about how I am one person, and I need to start building my portfolio with some 'real' clients. And continue on to offer them discounted rates. But lately I'm thinking about changing my approach to more of a corporate image and maybe printing off some nice brochures that give the feel of realiability and professionalism to the client. However this will take some money, and I'm uncertain if it will work.
Should I target local companies that have existing sites and offer redesigns? (as they already show an interest and committment to the internet side of their business) OR should I focus on random local companies that seem like they have the money to expand into a web pressence? Or both? How do you tell a client that their page sucks and you want to build them a new one?
What about net based work? Is it worthwhile to try and find companies from afar to do redesigns? I'm thinking the local market might be more profitable.
Any other advice would be great. Thanks alot!
Trevor Kearsey
www.tkearsey.com
xyzulu 02-23-2004, 04:37 PM Go for a local start...it will give you a good foundation for you own business.
Then you can go from there to web-based work. Location does not matter then...
speedy007h 02-23-2004, 06:39 PM The issue of approaching companies that have *badly designed* sites and trying to convince them to do a re-design has been discussed before on some forums I visit. The general consensus among the more experienced is that this is usually not worth the time and effort. One reason is because that site might be designed by someone close (related/friend) to the owner and they might be offended by a suggestion that it is less than nice. Another is that even though you would think they have more interest in this since they have set up a site, it is actually more the opposite - they've neglected it (possibly after spending some money on it) and don't feel it really has any value to improve their business and don't see spending money to upgrade it as a wise choice. As far as charging your clients - remember not to compete on price only. Generally there will ALWAYS be someone willing to do the job at a cheaper rate than yours. Clients will sometimes try and tell you (after you've given them a quote) that they've received a quote from someone else that beats yours by $500 for example. Initial instinct would be to lower your quote and get it close to the other one they got so you don't lose the project. However, the better thing to do is to acknowledge that yes there will be people who can beat your quote but tell them why you are worth the extra money - highlight your skills, other accomplishments, offer them additional ideas that will help improve the QUALITY of their site and business and tell them if they simply want the cheapest designer, they can choose your competitor but to get a quality site they should choose you. Obviously you want the project but it has to be worth your time. You need to decide what is worth your time. On the administrative side, make sure you keep track of ALL your business expenses and income. Remember in most states that collect sales taxes, as a web designer you have to collect sales taxes for the services that you provide and file them with the state. Keeping close track of your income will help make this easier (Contact your local city level small business help office and they should be able to send you a booklet on everything you need to know to conduct business *legally* within your area). Hope this helps.
MG315 02-23-2004, 08:11 PM (at least in texas) you do not have to pay sales tax for services rendered. actual products, yes, you do pay sales tax. but for a service like design, a massage, tutoring...things where you don't physically have a product - you don't need sales tax.
However, some will argue that web design IS a product. A product is a physical object that one can touch. Design is an abstract concept, visually PROJECTED on a monitor. think of a book. if the book represents (the result of) web design, the pages are the monitor and the thoughts that are projected through the words would be considered the design.
this is a grey area, so you should check with a local tax attorney. I checked with a local one and in relation to texas law i can legally provide a service and not charge sales tax. so if i design a site i dont need to pay sales tax, but if i design a corporate presentation and sell the client 100 cd's of it, i do. that is why print work and other physical production i have done by someone else. but most importantly, check with a local tax attorney.
(sorry, got off on a tangent). as far as starting up a web development business, a great investment would be the The Web Design Business Kit (http://www.sitepoint.com/books/freelance1/). I own it and it is a great asset. One thing you will need to keep in mind is keep your overhead low. if you are moonlighting, there is no need to go out and buy all expensive stuff until you actually have the revenue to support it. And for targeting local businesses, dont "focus on random local companies" but rather pick and industry and target it. here is a post from sitepoint a while ago on targeting local markets through direct mail (i don't have the link, saved it as a txt document for if i need some marketing ideas):
Target Industries Via Direct Mail For a Website Re-Design
The easiest people to sell your Web design services to are those who already have Websites.
Here's a way you can generate business without cold calls, and without promise-filled letters that will inevitably wind up in the trash.
Once a month, choose a specific industry segment in your local area: Spas, Real Estate Firms, Hotels, etc. Do a little research and find the "best" site in that local industry category, as well as the 10 or 15 in greatest need of a re-design.
Then, spend a day or two performing comparative tests: inbound links, Alexa ranks, loading times, browser compatibility, etc. and compile your findings in a letter. Address the letter to the Marketing Director, not the Webmaster.
Explain how you can help the Website surpass the metrics of that "best" competitor. Mail it off and follow up with a phone call 7-10 days later. Confirm that the Marketing Director received your letter, and invite them to a meeting to discuss the improvements/changes that can be made to the site.
When you win a new project, follow up with all the prospects that didn't accept your offer. Send another letter that shows before and after screenshots, and features a quote, testimonial or statistic revealing the difference the re-design made:
"After our re-design, the Alexa rank for the Website jumped from 50,000 to 24,000! Meanwhile, we reduced the loading time of the homepage from 34 seconds to just 8 seconds, and increased the time-spent-on site from 3 minutes to 8. Please let me know if we can be of any assistance to your business."
Your closing rate will be fantastic!
hope all that helps. if you need any help, remember to check out the Sitepoint Forums (http://www.sitepoint.com/forums/), they were - and are - extremely helpful to me. they have one whole forum dedicated to Business and Legal Issues.
speedy007h 02-23-2004, 09:18 PM MG314: It just so happens that I live in Houston, Tx. I contacted the appropriate authorities and they informed me that Texas levies sales tax on several goods AND services(though not all services). I was told that web design DOES fall under 'taxable services' category in the state of Texas and that I am required to collect appropriate sales and local taxes whenever I build a website for a client and file it quarterly with the state of Texas.
MG315 02-24-2004, 12:33 AM that just proves how much of a grey area it is. i live in the woodlands and contacted a local tax attorney and i got a different answer...
tkearsey 02-24-2004, 08:02 AM thanks alot guys, this was very informative. Especially the strategy of tackling a different industry/sector per month. Thanks alot!
trevor
unity100 02-25-2004, 06:46 PM Best option would be here to engage in flyers or ads in local newspapers. A great portion of the world, especially businesses, even in civilized countries are not presenting themselves on the internet yet.
Finding steady supply of freelance work via internet is hard and untrustable. Many employers are baffled because irresponsible 'designers' offering ridiculously low prices for even complex projects - with generally in fact offering free script customizing.
bmstudios 02-28-2004, 06:54 AM But most of the time when i advertise outside the net, i get people responding "oh, a guy from my neighbourhood's high school can do this for such a price, which is almost half the price of yours"- is that quite a problem nowadays with you guys?
this is true, even with print/graphic design
Project X 02-28-2004, 06:15 PM do a LOT of free work!
it works!
you can also check out
http://designcontest.net
(i have no affiliation with them)
MG315 02-28-2004, 10:52 PM how does doing work for free help you at all? all it does is label you as the pro bono guy to go to when you don't want to spend money.
if you are getting that "i know someone 13 who will do it for $30" crap from prospects, you need to make sure you are basing your selling on value and not price. someone will always be better than you, show how you provide a better service than the 13 yr old.
EagleImagery 02-28-2004, 10:59 PM Originally posted by MG315
[B]how does doing work for free help you at all? all it does is label you as the pro bono guy to go to when you don't want to spend money.I recently worked for a someone for free...
...two months down the line and he's so far sent me nearly $600 worth of business through recommendations.
I wouldn't recommend it all the time but it can reap rewards. (All you need is to be a good judge of character!)... ;)
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