Online Earning with Web developer

 

Online Earning with Web developer

Developers are often freelance. This applies to many who have just finished free Code Camp and are thinking of working for themselves instead of working for "the man". This also applies to many who have developer jobs but are considering going out alone.

The idea of ​​freelance work also appeals to those who want to make extra money even though they already have a developer job. Regardless of why you are starting your own business, it is important that you do it right. If you do things “right” you can look like the person pictured above.

I'm assuming you'd rather look like the former rather than the latter. If you've made up your mind to go out alone and are not against wealth, this guide will help as a roadmap for getting your new business up and running. It also serves as a guide for managing things once you are on the way. Developers need to understand that making money is adding value to others. Most first-time business starters are used to traditional professions. Such jobs often mean getting paid for your own time.

However, when you provide development services to a customer, the only thing that matters to the customer is how much value they get from it. For example, if you're building a website or app for a small business, the company's willingness to pay depends on what value it expects from the website or app in the future.

The price the customer is willing to pay is not based on the time you enter (as is the case with hourly jobs). Instead, it's based on the increase in value your customer is receiving. In a nutshell, making money is understanding that your services are about adding value to others, not investing time.

It's also important to understand that value is always based on the customer's perceptions, not yours. Too often developers see a website based on one type of framework as "better" than something that looks and works the same but is based on a different framework. The bottom line, however, is that if each is meeting the customer's needs as well as the other, then the one who offers the customer the most value is the one who costs less.

Developers need to understand that making money is investing time in quality activities

The heading for this section seems like something you would say “duh” to, but you would be surprised. I see many, many, many, many (many) cases where small businesses or sole proprietorships put time into efforts that really aren't very important at the end of the day.

Think of it that way. A lot of small businesses make really good money doing the "x" activity. They then think that they want to grow their business by starting to offer the service “y” in addition to x. If service y does not work, discard the idea if you continue with service "z".

Unfortunately, this strategy is a bit crazy. If activity x makes money, you are simply making more of x instead of allocating resources to activities. In other words, choose your activity that has the highest value and do more of it! This is why Mark Cuban was quoted as saying that "diversification is for idiots".

For example, let's say you can build a relatively simple small business website with certain features and charge $ 3,000 for that service. It takes twenty hours to create such a site (that is, you earn $ 150 per hour of input). I've spoken to a lot of startups and entrepreneurs who don't understand that once they became self-employed, they got a full-time job. This also applies if they don't have a single customer. I firmly believe that this is one of the main reasons many small businesses fail.

For example, let's say Joe Developer starts his new freelance developer business. He's setting up a website for his services and maybe paying a little advertising. Here and there he occasionally gets customers. He completes projects for these clients on time, but never really does much else to grow his business. He probably only puts in the operation about twenty hours a week for the year.

At the end of the year he wonders why his business is in first gear. Joe then closes his business thinking that his phone "didn't ring enough" for customers and that his advertising was ineffective. Joe blames "bad publicity" for why his business failed. What Joe didn't understand was that after its inception, he had a full-time job. His business failed because he was only working part time (twenty hours a week) on it.

It is really very simple. People don't get paid for not working. This also applies to business owners. Once you start, consider yourself a full-time job with at least forty hours a week.

This means that if you’re coding and administration work only takes up twenty hours a week, you should now spend the other twenty hours a week opening up new business areas. So Joe was coding twenty hours a week and should have spent the other twenty hours a week attending networking events or other marketing activities. If he had invested his time, he would have done more business.

Just think of one simple rule when starting up. You now have a full time job. To the extent that you don't have coding projects to do, now is the time to spend the rest of your working time doing more business?

Do you want to be successful? If so, it's easy. Understand that you need to add value to your customers and that you should focus on the value-adding activities that generate the highest amount of money per unit of input. Finally, take some time for your new business. These three rules are key to making money in any new business.

Freelance developers need to fund their new business

After reading the heading for this section, you may say What funding This is understandable as most believe that freelancers need little more than their laptop.

Well wrong. There are costs associated with your new business. Especially if you want to make money. These expenses can include renting server space, getting company liability insurance, fees for professionals (such as lawyers and accountants), and more.

The good news is that it takes very little money to get started in today's world. The amounts required will seem particularly small once you start generating income. With that said, let's look at some rules for funding your first operations. The most important rule to remember about your finances is that contrary to what many people in tech companies think, it's not okay to lose money! This point was brought home very well in the book Profit First, which I highly recommend.

While many small businesses are willing to lose money in order to grow quickly, I cannot stress enough that this is actually a really bad idea. The reasons this is a bad idea would be a) lengthy and b) the subject of another article. The biggest point to take away for now is that you should be profitable the first day and each subsequent month. The easiest way to make sure you start and stay profitable is to avoid debt when starting out solo.

Unfortunately, far too many people start a business (of any kind, not just coding) and start putting the initial expenses on credit cards. You can also get some kind of personal loan to get started.

However, it is easy to make sure you are and will be profitable from day one as long as you avoid debt. Why am i saying this? Because if you avoid debt, you can't spend more than you take in. By definition, the worst thing you can do is break even.

The growth of your business then comes from reinvesting your profits. When you make money, invest in the business again for growth. This leads to higher profits. Repeat the process over and over and the next thing you know is that business is doing really well without ever borrowing any money.