What is freelancing?
Working as a freelancer means being contracted for short-term placements by a client company. You’ll work as a self-employed business owner providing your own specialist services based on your technical skills for a placement that could be as short as a few weeks, to as long as a couple of years.
When you work as a contractor with CMC you have all the flexibility and self-ownership as a freelancer, but without the hassle of finding work yourself. We partner with leading businesses in the Advanced Engineering embedded market, and will match your specialist skills with the project leads that require them the most.
What are the biggest benefits of freelancing?
Many people in Sweden are turning away from the traditional employment model to work for themselves as a freelancer, because of the huge benefits that come with that way of working.
- Higher earnings potential
- Usually you work on an hourly or daily rate that’s set to your specialisms. This rate often works out as far more than working as an employee, though is dependent on you working enough placements. As an example: an annual review of salaries among the biggest tech companies in Stockholm comes to around 50,000 SEK/month. We have a current consultant who’s been working with CMC for two years, operating as a self-employed owner of his own company, who is currently earning 800SEK an hour, totalling 120,000 SEK per month.
- Flexibility and autonomy
- While there may be standard hours you’re needed to work to deliver the project, freelancing means you have the flexibility to take on projects you’re interested in, take time when you need it and balance your work to suit your lifestyle
- Diverse opportunities
- As a freelancer you can work across different businesses and different projects, rather than focusing on one area as you would working as an employee. With Sweden’s embedded market booming, there are many different opportunities to utilize your skills in different businesses.
- Professional growth
- By focusing on the areas you know best, taking away the extra admin and tasks you may find yourself stuck with as an employee somewhere else, you have the opportunity to enhance your skills in the areas you’re most interested in. Working different placements in different businesses also helps you build a network and personal brand as an expert in what you do.
Learn more about the benefits of working as a freelancer here https://www.expertisedelivered.com/insights/blog/freelancing-in-sweden---all-your-questions-answered/
What are the challenges of freelancing?
If the benefits are so great, why doesn’t everyone do it? There are several reasons some people prefer to stick with the safety of the traditional employed model:
- Stability
As an employee you’re guaranteed a regular salary, with a notice period to hold you over if you leave. You’re also covered for holidays and sick days. When freelancing you’re only paid for the time that you work – take a day off sick and you can lose out on a payment. Once you finish a contract or a placement as well, you may find yourself without any income until you’re able to secure your next placement.
- Opportunities
Depending on your specialism, finding enough opportunities can be a hindrance. You have to be able to reach out to the right people and know how to position yourself to secure another contract. If there aren’t enough opportunities available, you may find yourself at financial risk.
- Proving yourself
As an employee you only have to be hired once. As a freelancer you may have to do regular interviews and conversations to continually secure your next placement. Having to regularly prove yourself and demonstrate your capabilities and value can be frustrating for some.
There’s no denying that the challenges are significant – if it was easy then everyone would be a freelancer. But working as a consultant with a company like CMC can mitigate many of these risks. Because we partner with leading specialists in the embedded market, we have access to a wider range of opportunities. We see high demand from across the sector and we position you in the businesses that are most going to benefit from your expertise.
You don’t have to do the work of promoting yourself or finding the businesses who are looking for specialists like you, because we do all of that for you.
What do I need to do to start freelancing?
To begin you need to set up your own company, which in Sweden is easy. There are 2 options:
- Enskild Firma (EF)
This gives you as an individual a license to do business, using your personal finances as the “company” finances. You have to register for F-Tax and VAT, but that’s it, you can begin operating right away.
- Aktiebolag (AB) – Limited Company
This makes your company a separate legal entity that handles its own finances, from which you can pay yourself a salary and dividends. This gives you more legal financial protection if you can set it up.
To set up an Aktiebolag, you need:
- A name for the company (this can be your own name)
- 25,000 SEK in initial capital (This is kept in the company as an asset which you can get back if you ever liquidate the company).
- Board members: One main board member (you) and one substitute (often a family member)
- Unique identity number (allocated by the Swedish Tax Agency)
- Tax Registration of the limited company – F-skatt and VAT are necessary and can be done online through the Swedish Tax Agency website. Limited company registration can be completed online via the Swedish Companies Registration Office website.
- Insurance policy (optional): Professional indemnity and public liability insurance with coverage of 1 million euros/pounds or 10M SEK for each is highly recommended.
Finally, get in touch with one of our embedded associates at CMC and share your experience and expertise with us so we can work with you to help you get your first placement.
How do you find work as a freelancer?
Being able to showcase your experience is key, so the more you work as a freelancer, the easier it will become to secure your next placement.
But what about getting your first contract?
Word of mouth can go a long way – reach out to your existing network, get in touch with people you’ve worked with before and see if they’re looking for support with any new projects.
Get online and start building your personal brand through sharing your expert insights on linkedin and in sector-specific groups.
Ask for recommendations from previous employers and colleagues that you can share with other businesses as proof of your capability.
And of course, use the benefits of a business like Coalesce. We’ve already listed many of the benefits of working as a consultant with us, such as having access to bigger companies and more advanced projects, and benefitting from our own network of partners. But there are other benefits, like being fully supported through regular feedback and development sessions, having someone with wider market knowledge helping you negotiate the best rate, and being able to be redeployed on another project as soon as your current one comes to an end.
Our experts can also advise on you any aspect of the consulting process, so if you’ve never considered freelancing before get in touch with us today to learn more about how you can benefit and succeed with CMC.