{"id":1157,"date":"2022-09-28T10:33:53","date_gmt":"2022-09-27T21:33:53","guid":{"rendered":"https:\/\/marketingwebsite.afirmo.com\/nz\/?p=1157"},"modified":"2023-05-23T07:40:26","modified_gmt":"2023-05-22T19:40:26","slug":"how-to-write-a-freelance-business-plan","status":"publish","type":"post","link":"https:\/\/www.afirmo.com\/nz\/resources\/how-to-write-a-freelance-business-plan\/","title":{"rendered":"How to write a freelance business plan"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">A high-level business plan includes:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">What your business does<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Who your customers and competitors are<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your proposed business structure<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">How you\u2019ll advertise and provide your products or services<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your expected revenue, expenses and profit\/loss for the next few years<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The main milestones in getting your business up to speed<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your team, including yourself and partners, such as mentors, investors, accountant, customer referees and people you collaborate with to deliver a more complete service when required<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">To <a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/how-to-create-a-simple-business-plan-for-your-small-business\/\">write a business plan<\/a> you\u2019ll need to put some time into market research, defining the services you offer and your target audience, identifying your expenses and deciding what you will charge.<\/span><\/p>\n<h2><b>How to describe your freelance business idea<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Here focus\u00a0 on the value your business offers customers. You can do this\u00a0 by describing the problem they have and how your freelance business solves it. Choosing a business name that conveys this, rather than using your own name, often helps. It also makes it easier to grow your business and employ others later on. Here\u2019s an example for a freelance personal trainer targeting new mothers.<\/span><\/p>\n<h3><strong>Business Idea: Active mum &#8211; A flexible personal trainer service for new mothers.<\/strong><\/h3>\n<p><b>The opportunity<\/b><\/p>\n<p><span style=\"font-weight: 400;\">New mothers who have enjoyed working out at the gym for years can find it difficult to safely rebuild and maintain their fitness after having their baby.<\/span><\/p>\n<p><b>The solution<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Active mum will provide a flexible one-on-one personal trainer service, to suit mother and baby. An online platform will let customers book, reschedule and cancel training sessions with ease. Sessions will take place in the customer\u2019s home or surrounding area. The trainer can also provide experienced baby care as required to free-up mum during the training session.<\/span><\/p>\n<div class=\"ebook-banner-link\">\n\t<a href=\"#download-ebook\" class=\"fusion-button button-default button-large\">Download the full freelancing guide<\/a>\n<\/div>\n<h2><b>How to choose a freelance business structure<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">In New Zealand most businesses are a <a href=\"https:\/\/www.afirmo.com\/nz\/sole-trader-nz\/\">sole trader<\/a>, partnership or company. For freelancers, being a sole trader is the simplest option, but you\u2019re personally responsible for all debts and profits are part of your personal income. Partnerships are like a group of sole traders who are responsible for their own debts and, collectively, for all business debts. A company is the most complex option with additional accounting and regulatory costs. It\u2019s important to get advice from <a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/how-a-good-accountant-can-help-your-small-business-grow\/\">a business accountant<\/a> or adviser about the best option for you.<\/span><\/p>\n<h2><b>How to describe your freelance market and competitors<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Here you describe the number of potential customers and their demographic statistics, such as geographic location, gender, age and income.\u00a0 Then you identify your main competitors &#8211; their size, offering and why your freelance service will be better in the eyes of your target audience in each case.<\/span><\/p>\n<h2><b>How to write a brief freelance sales and marketing plan<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Begin by briefly describing how customers will access and pay for your freelance services. Will you have a physical or online store, a website with a booking service, or will you encourage phone or email contact? Will they pay up-front, on service completion, after receiving an invoice from you or some combination? What methods of payment will you allow?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To describe your marketing plans, briefly outline how your target audience will find out about your service and be encouraged to become a customer.\u00a0<\/span><\/p>\n<h2><b>How to describe your freelance financial plan<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">For a brief business plan you can simply include the amount you need to invest at the beginning and where that will come from. You can then provide estimates for your expected revenue, expenses and profit for each of the next three years.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These should be based on more detailed financials, often prepared with the help of a business mentor or accountant. This is an important step, because about a half of new businesses fail in the first few years because they run out of money. Make sure you keep your financial plan real and don\u2019t let your enthusiasm lead to unrealistic hopes.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For each of your first three years, a detailed financial plan should include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your costs broken down into main areas, such as advertising, loan repayments, phone and internet, vehicle expenses, ACC levies, taxes and insurance (including any liability insurance)\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your expected income, separated by each source if there will be more than one<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Your estimated profit or loss for each year<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A cash flow forecast that shows how much money will flow in and out each month and, therefore, what your business bank balance will be<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">A balance sheet forecast \u2013 this shows what the business is worth by including all assets, not just cash, less what might be owed through loans used to get the business started<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">A detailed financial plan also makes it easier to see when things aren\u2019t going to plan. This allows you to get early advice, put things right or take advantage of better-than-expected results.<\/span><\/p>\n<div class=\"ebook-banner-link\">\n\t<a href=\"#download-ebook\" class=\"fusion-button button-default button-large\">Download the full freelancing guide<\/a>\n<\/div>\n<h2><b>How to summarise your main milestones<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">This section of a business plan provides a high-level summary of the main steps to getting your freelance business up and running. Here are some potential examples:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\"><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/how-do-i-choose-and-register-a-business-name-in-nz\/\">Purchase domain nam<\/a>e and essential equipment by [date]. Budget $xx. Responsibility: Me<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Secure first XX customers by [date] using networking and word-of-mouth, backed by updated LinkedIn profile, mobile number and Gmail address. Budget $XX for coffees etc. Responsibility: Me<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\"><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/how-to-create-a-website-for-your-small-business\/\">Launch website<\/a>, business email address and print business cards by [date]. Budget $XX. Responsibility: Me, [Website company name] [copy name].<\/span><\/li>\n<\/ul>\n<h2><b>How to describe the people involved in your freelance business<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The final section is a chance to include a very brief summary of your experience and qualifications, starting with the most recent and relevant. You should also identify your proposed business partners as described above.<\/span><\/p>\n<h2><b>To learn more<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">For tips on writing a business plan, plus handy templates for brief and comprehensive plans visit <\/span><a href=\"https:\/\/www.business.govt.nz\/getting-started\/business-planning-tools-and-tips\/how-to-write-a-business-plan\/\"><span style=\"font-weight: 400;\">business.govt.nz. <\/span><\/a>You can also see our article on <a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/how-to-create-a-simple-business-plan-for-your-small-business\/\">how to write a business plan for your small business.\u00a0<\/a><\/p>\n<h2>Your Guide to becoming a freelancer chapters<\/h2>\n<ul>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/market-research-and-validating-your-freelance-idea\/\">Chapter 1- Market research and validating your freelance idea<\/a><\/li>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/defining-your-freelance-service-and-target-audience\/\">Chapter 2 &#8211; Defining your freelance service and target audience<\/a><\/li>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/how-to-price-your-freelance-services\/\">Chapter 3 &#8211; How to price your freelance services<\/a><\/li>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/chapter-4-how-to-write-a-freelance-business-plan\/\">Chapter 4 &#8211; How to write a freelance business plan<\/a><\/li>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/chapter-5-building-your-business-portfolio\/\">Chapter 5 \u2013 Building your business portfolio<\/a><\/li>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/building-online-presence-and-marketing\/\">Chapter 6 \u2013 Online presence and marketing<\/a><\/li>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/how-to-manage-your-time-as-a-freelancer\/\">Chapter 7 &#8211; How to manage your time as a freelancer<\/a><\/li>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/managing-your-finances-as-a-freelancer\/\">Chapter 8 &#8211; Managing your finances as a freelancer<\/a><\/li>\n<li><a href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/chapter-9-how-to-choose-the-best-insurance-for-freelancing\/\">Chapter 9 \u2013 How to choose the best insurance for freelancing<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>A high-level business plan includes: What your business does Who<\/p>\n","protected":false},"author":3,"featured_media":1874,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[6],"tags":[],"class_list":["post-1157","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-starting-a-business"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>How to write a freelance business plan | Afirmo NZ<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/marketingwebsite.afirmo.com\/nz\/resources\/how-to-write-a-freelance-business-plan\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to write a freelance 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