united-states, software, entrepreneurship, freelancingI am considering to try out starting up/building a Software QA freelancing/consulting type of business. I have some skills in automation, and know at least java/javascript language. I just don’t know how to maybe market my skills to build up my own business as a software QA. Any advice on this? Thanks :)
Here are some details on my situation based on the comments/answers posted on my original question:
1. My Location
I am physically located in the US, in the south, where IT is not really that I could say, popular? I am very new in the US coming from Asia
2. Why Hire Me?
I have the skill that a lot of IT companies wants to have in a QA and also the experience
3. What makes my service valuable?
The cost
4. Do I have a portfolio of happy customers?
I don’t know how and where to get this. Does this mean, my former employers?
5. My set of success stories I can share
I can get some feedbacks from my former bosses I guess?
6. What is my education background?
Bachelor’s degree
7. What commercial QA software I or my company own?
No commercial QA software. I am more into Open source.
8. Are you insured?
Yes
9.Would I bring my own hardware or be accessing the client’s hardware?
I can do both
10. Have you thought about branding and a website?
Yes I have HTML/CSS/Javascript knowledge but website design is my weakness and, marketing
I've been a consultant since 1994. Its profitable but not without its pains. If you plan on employing others, have you thought about cash flow? In 2014 I had two people on my books and paying them while waiting up to six months for my invoices from the client to be paid hurt. I managed it, but it was not easy.
Let's assume you start off as a one man band like I did... then what...
Updated2017: Unemployment Insurance In many jurisdictions, legally tax efficient moves can be made to reduce your deductions and thus increase your take home. You should check exactly what insurances you are paying as I recently discovered that registering self employed in Germany excludes you from making state pension and unemployment contributions. The issue that one can face is if you spend an extended period out of work and attempt to register for unemployment, you might find few doors open to you.
A word about recruiters and contracting (consultancy) in general...
Between you and the client will likely be a recruiter. Typically this is to ensure there is no employee/employer relationship. You will be responsible to pay your own taxes, health insurance, pension. The best you can expect from a client is a desk and a computer. Benefits are for the employees who get a salary. You won't get a salary, they will pay your invoice. You need keep that in mind when you feel secondary to team events (typically you will be excluded from team events unless you want to attend them for free and/or pay your way to be part).
A recruiter will love you for two reasons. 1) Good candidates are difficult to find so if they think you are good, they will not want another recruiter placing you at a client site. 2) Good candidates are difficult to find so if you say you are with five other recruiters, they realise five people are trying to sell you to a finite number of clients within 20 sq miles. They won't want to battle it out and thus work less hard to place you at a new client side.
If you get asked if you are with other recruiters, say you have sent your resume off to two others but as yet not had a reply. Never give details of an interview from one interview to someone at a different recruiting company. This will cost you opportunities. If a recruiter wants to know details about the competition, and they ask you, then this is a poor quality recruiter and rank them accordingly.
Oh! Remember, the client pays the recruiter to find a candidate. The recruiter, as nice as they can be, does not work for you. Don't forget that.
If you get to interview stage, the recruiter is likely going to say the client loved you. It might not be true - but you are told this so as 1) to gauge your interest in the job and 2) they don't want to pull a candidate from the client prior to the client having decided.
Flexibility is key. For the most part of my career I have been able to say yes to a job that was anywhere in Europe. If you are married with kids it becomes less easy for you to do this if the contract is for three or six months.
You will be a service provider, not an employee - you won't have rights (meaning you pay your own sick pay, you don't charge for lunch). You need remind yourself that - I've worked with contractors who cursed about their rights. Your hourly rate is high because it covers for possibilities like sick pay, long journey time to a fixed place of work (meaning the client should pay if you need go on business trips and you agree the remuneration terms between you).
If all this sounds like a headache, it can be. Don't consider the 'career' because of the money (rates of $300-$600 bucks an day are not unheard of in Europe for java programmer depending on experience). When you get your first invoice it can be rewarding. Your expenses can be high, but if you register your company for VAT (sales tax) you should be able to claim back your taxes (you need talk to an accountant). Until recently, within the UK, I could claim back all fuel/train/hotel taxes, plus the taxes on hardware I needed for my work (iPad, laptops, cell phone etc). At 20% this adds up to a few thousand bucks tax credit.
Like any job, there are good points and bad points. I have had more than 20 contracts since 1994, the shortest being a few days, the longest being six years and I have lived in various parts of Ireland, UK, Belgium, Germany, Holland and Czech Republic. I met some great people but also lost out on some great times seeing family, nieces, nephews grow up.
You need to flush out this idea some more for us to help advise you.
Give us some more details about your plan:
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