by Sophia McDonald Bennett
When I transitioned from being a part-time to full-time writer, I was lucky enough to pick up a full roster of clients quickly. But after my first year I was seriously questioning my decision to become a freelancer. In my rush to build a business, I’d taken on every project I could find regardless of how much it paid, whether it was a good fit with my skills, or whether I really had time for it. The result? I was exhausted, uninspired and had no time to tackle the projects I’d dreamed of doing when I quit my day job.
One evening I sat down with a notepad and started making lists. What did I want to accomplish over the next six months? How much income did I want to report at the end of the year? What did I need to do—and stop doing—in order to meet my goals?
Those lists eventually turned into a rudimentary business plan that guided me through the next six months. I let go of a few poorly-paying clients that weren’t helping me build my clip file. Instead of pursuing blogging jobs when I had spare time, I refocused on pitching national magazines. And when I considered new projects, I asked myself if they fit within my plan. If they didn’t, it was magically easier to say no.
Since then I’ve engaged in business planning twice a year. It gives me a chance to reflect on what I’ve learned about myself and my profession over the preceding months, consider what opportunities are and aren’t worth pursuing, and determine if I’m on track toward meeting my professional aspirations. I also use this time to consider how I’m doing at finding that tricky work/life balance. One of the best things about this process is that it’s helped me grow my income by 25 percent annually over the last two years.
There are a few reason I refer to this process as “business planning” rather than “writing a business plan.” It’s been my experience that people start shaking in their socks as soon as you utter the words “business plan.” That seems to be true even of writers, who I would argue are uniquely positioned to succeed at this particular task.
Why? “When you write a business plan, you’re telling your story,” says Doug Wilson, MBA, a senior instructor of marketing at the University of Oregon’s Lundquist College of Business. “What you want to do is tell it in the most compelling way possible for yourself and your potential customers.” Since most writers don’t need to apply for bank loans or approach investors to support their business, no one else ever needs to see their business plan. And since we’re natural storytellers, I find this approach heartening.
In addition, the document that results from my planning process isn’t nearly as extensive as a traditional business plan. It’s typically a one- to two-page framework that outlines my goals and tasks for the next six months. Sometimes it’s a series of lists or charts. One year, when I was eager to dig into the adult coloring book I’d received for Christmas, I turned my business plan into an art project.
Here, again, Wilson has some sage advice. “Don’t be intimidated by the structure or the format,” he says. “The real value in the business planning process is not in producing a document, but in having to think through all of the elements a business requires before you start making commitments or signing contracts.”
While content matters more than form, there is some value in considering the sections typically included in a business plan. The following five subjects can be quite applicable to writers.
Most businesses have a set of guiding principles that govern the way they work and serve their clients. Your writing practice is no different. Creating a set of simple statements can serve as a powerful framework for everything you do.
A mission statement broadly describes what you do and what you hope to accomplish. My most recent mission statement reads: “To support myself as a writer, editor and communications consultant who specializes in writing for and about food/beverage and other lifestyle topics, sustainability, business and nonprofits.”
A vision statement shares where you envision yourself and your practice in the future. In that sense it’s the most goal-oriented of these sections. My vision statement includes things such as writing for more national magazines, doing more work as an editor and engaging in more public speaking.
A values statement often reflects why you do the things you do, but can also encompass the morals or standards you hold yourself to as a professional. My values include providing outstanding customer service, meeting deadlines and working with companies whose belief systems are a good match with mine.
If you don’t have one already, this may be a good time to develop a professional bio. Summarize your relevant experience with an eye toward what you can offer a company or publisher. Why should they hire you over someone else?
You’re in the business of producing writing. But what kind of writing can you do? Especially if you’re just starting your career as a freelancer, it’s a good idea to write down the types of services you can provide clients. Are you a technical writer or a news writer? Do you have experience penning articles about business and financial trends or covering lifestyle topics?
After that, think about the types of writing you want to do. Do you want to do less corporate copywriting and more long-form nonfiction or personal essays? Do you want to ditch your focus on covering the healthcare industry from a business perspective and focus on writing about the human impacts of disease and medicine?
Clearly identifying your products and services will help you set goals for your business. To stay focused on my yearly plans, I create a list of both the subjects I want to write about and the kinds of clients I want to work with. I’ve also found it helpful to create a grid with the different types of services I offer and list my clients under each heading. It’s a quick way to assess whether my focus is falling more heavily in areas I want to pursue or those I’m trying to move away from.
The best goals are ambitious but realistic, measureable, and time-bound. You don’t want to get your first big byline or earn six figures a year by the time you retire. Presumably you want to do it in the next year, two years or five years. You can write down the details of how you’ll reach your goals here or in the timeline section.
While most writers don’t need a balance sheet or profile/loss statement, doing some financial planning can be quite beneficial. If you’re new to freelancing and are trying to set your rates, consider making a spreadsheet that shows all of your expenses. From there you can determine how much you need to earn per hour to cover them. Keep in mind that you will now have to pay self-employment tax on your earnings. Also, remember that all of the time you spend on business development is unpaid and must be accounted for in your hourly rate.
When I was considering the move to full-time freelancing, I set up an income calculator to estimate how much money I could realistically earn every month. I plugged in the amount I was earning from my existing clients (many of whom paid per piece, not by the hour) and then started playing with the numbers. If I could double the volume of blog posts I produced, would that give me a solid income? Or would I be better off picking up more regional magazines that paid about the same as the other publications I wrote for?
My income calculator is often accompanied by a time calculator that helps me estimate how much time it takes to write certain types of content (articles vs. blog posts vs. press releases) and how many more pieces I can realistically create every month. Figuring out how much time is dedicated to certain projects – including new business development – keeps me from getting too overloaded.
A basic budget that tracks spending on necessities such as office supplies, subscriptions, travel, conference fees and marketing expenses can also be quite helpful. Set projections for the time period of your business plan and track actual expenses so you can make adjustments in future budgets.
If you’ve gotten this far into the planning process, you already have answers to some of the hard questions you need to address before creating a bare-bones marketing plan. Now it’s about getting down to details.
Start by looking back at the types of writing you want to do. That will help you identify who is in your target market. The next thing you need to do is determine where to find those people. If you want to offer copywriting services to businesses, a Chamber of Commerce, professional association or your personal network are good places to start mining contacts. If you want to write for magazines or author a nonfiction book, you’re in luck—you’re already in the best place to find people who need writers.
Next, determine how you’ll reach out to potential clients. For copywriting, it may be a letter of introduction. For magazines, you’ll need to write query letters. For books, start learning how to create a book proposal.
A marketing budget may be useful in years when you plan to shell out cash for promotions. Digital advertising (such as a website, LinkedIn Premium subscription, or paid ads on Google or Facebook) can be an affordable and highly targeted way to reach decision-makers depending on what your professional goals are. Before you invest in advertising, make sure you put some real time into honing your message and understanding your audience.
Now that you have a list of goals and some ideas for marketing your services, list the steps you’ll take each month to grow or change your business. You can also place them on your calendar if that makes them easier to remember. Having a plan for how you’ll accomplish your goals will keep you moving forward. Setting deadlines will also keep you accountable (even if the only person making sure you check off each item is you).
Once you’ve wrapped up your business planning process, don’t put the resulting document away in a drawer. Revisit it on a regular basis to remind yourself of your vision and goals and revel in your progress. That’s another reason to make the document brief, well-organized and even attractive. You’ll be much more likely to review a short and sweet pathway to your dreams than one that seems like a long and winding road.
Sophia McDonald Bennett is a freelance writer, editor, communications consultant and marketing instructor in Eugene, Oregon.