Start & Run a Graphic Design Business. Michael Huggins
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and most obvious is that you will always be the business. No “you” equals no business. If you’re going to choose a one-person business model, you’ll need to consider what happens if you aren’t able to work. How will you generate income? If it becomes necessary, you may need to have a way of outsourcing your work to others.
You’ll also need to consider the type of work you will go after. How will you generate sales for your business? You’ll need to create a marketing plan that works with minimum effort, or choose a niche where the work is always available to you. It will all be up to you to get the work, do the work, and collect the check.
Being a one-man show could mean choosing work that makes it easier to do what you like to do (design), while minimizing the things you don’t like to do (the business stuff). It’s tough to run a business and look for work at the same time. A friend of mine owns his own design business that caters specifically to other design firms and agencies. His work comes exclusively from these companies. They get the clients, and he does the work. This makes it easy for him in a lot of ways.
Mainly, he doesn’t have to market his business very much. It did take some effort at the beginning to make his initial connections in these agencies, but once he made them the hard work was done. His clients are always calling him, and that’s the beauty of his situation. His clients don’t require a lot of maintenance because they understand design and the creative process. He can keep his meeting times short and his productivity high.
The downside for him is the rushed timelines and excess work that can happen from time to time. Sometimes he’s pressured to work well into the night to get a project done. He says turning work down is always a struggle for fear his clients will find another designer to do the work. He wants to keep his competitors far away from his lucrative work source. As a result, there are some stressful weeks. For the most part it’s the perfect balance. The clients do the stuff he doesn’t like and he does what he likes to do: the design.
Working on your own can be great for productivity. You can get a lot done without the normal workplace interruptions. The other side of that is the lack of input and stimulation from other designers and coworkers. This also means that when you face a difficult challenge, you’re on your own. So, it’s good to create a network of other designers and professionals that you can call or get together with on short notice for help and support.
Having a solo business also means you’ll need to learn and do most (if not all) of the grunt work too. You’ll be responsible for everything from garbage detail to preparing and mailing invoices. Some days can be a real challenge, especially when you are trying to get your design projects completed. I’d recommend that you delegate where possible, or hire specific help for certain tasks to make doing the work easier.
Lastly, holidays can be difficult to schedule and take when it’s just you. In fact, a big struggle for the solo entrepreneur is to take time off and just relax. Many solo entrepreneurs find it difficult to “unplug” and take a vacation. Often they will blend free time with work time, but even that’s not so bad when you have a laptop or PDA. You live in a world where technology can easily keep you connected to your business from almost any location. That is, as long as you can manage the mental gymnastics it takes to keep it all balanced.
1.2 Having other people work for you
The other possibility for your business is to eventually have others working for you. Hiring people gives you the support you need in areas in which your skills are weak, need more support, or you have no interest in doing certain work. This leaves you with another decision. How will you bring on new people? Will you hire full-time employees or will you hire freelancers? Should you hire freelancers by the hour or on contract? The choice is up to you depending on the flexibility and security you want. Hiring freelancers hour by hour can be cheaper, but you won’t always be able to access the people you need when you need them. Contracting gives you a little more security, but may cost you if your business suddenly slows, because you will still need to pay them.
Whichever way you choose to hire someone, it’s a great way to lighten the load. However, don’t overlook the responsibility you will have of managing the people you hire. Very few people you hire will be “plug-and-play.” Even an experienced freelancer will need your direction, guidance, and supervision. As the business owner, you are responsible for delegating work and outlining the roles of others within your company. This can be time consuming and challenging, but the payoffs are huge. Building a team of highly qualified people is not only a rewarding experience, it’s liberating to you and your lifestyle. Once your team is working well, you will have more freedom to pursue other things without being tied to your desk.
Still, having employees can carry with it the stress of the additional income that’s required to pay your new people. If they’re doing the work in the office, you’ll need to make sure you’re connecting with clients to keep the work flowing. That pales by comparison to the bright side — now you have the capacity to do more work and make more money. (For more information on hiring freelancers and in-house employees, see the Appendixes.)
I decided very early that I would eventually hire people to help with the workload. I like the freedom and flexibility I get from having others contribute work. Some days it can be a little challenging to manage, but it’s worth it.
2. The First Step to Becoming a Design Entrepreneur
What’s the best way to start your graphic design business? Should you ease into it or jump into it with both feet? Again, that depends on what you want, and what your pocketbook can take.
You may be working for a firm right now and have a desire to go out on your own. In this case, you may want to start with freelance work on the side and build a portfolio of clients first. Or perhaps you’re ready to just make a “go” of it right now. Whatever the case let’s look at your options.
Making the leap from employment to self-employed can be stressful. Freelancing before you quit your day job can help ease the stress, especially since you’ve been conditioned to get that nice little paycheck every two weeks. When you are on your own you’ll have no way of knowing if you’ll have the clients and workload you need to compensate you for what you are now earning. Freelancing to build a client list might be the way to go for you, but keep in mind you will be stretched and your part-time freelance work could start to have an impact on your day job.
Most of your clients will work in the day and they will often want access to you when they are working. This can make it difficult when you still work for another employer. Be careful of “stealing” time from your current employer. Subtle things such as taking your freelance phone calls and emails while working at your full-time job can expand to large proportions and become overwhelming.
Be ethical and honest when you freelance. Do it on your own time, not on your current employer’s time. Talk to your employer in advance to make sure the company doesn’t have an issue with freelancing while you work for them. Be sure that there are no agreements such as noncompete agreements that prevent you from doing so.
In some cases your current employer can even be an excellent source of work when you start your business. You can talk to your employer about switching to freelance and moving into a contract position as you build your client base.
Even if you don’t choose to freelance while you work full time, you can still build your business by making connections with other people in the industry now. Build your relationship with other support businesses such as print suppliers, illustrators, photographers, web programmers, and production houses. Make sure to keep good records on these people. Chances are you’ll need their help when you’re ready to go out on your own.
3. Your Start-up Costs
Maybe you’re ready to just jump in and get started. If this is the case, then you’ll need to ask yourself this question: Do you have enough money to make it through the early months in your new business? If you are planning to go it on your own, you’ll need to prepare for it in advance as much as possible. Just as you would save to purchase