Business Idea

Start A Freelancer Platform

About

Starting a freelancer platform requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell freelancer platform, or selling freelancer platform online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a freelancer platform ➜

Key stats

market size
$1.2T
revenue (monthly)
$15.9K
starting costs
$27.3K
gross margin
25%
avg product price
$93
time to build
10 months
growth
SEO
time investment
Side project

About

Starting a freelancer platform requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell freelancer platform, or selling freelancer platform online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a freelancer platform ➜

Key stats

market size
$1.2T
revenue (monthly)
$15.9K
starting costs
$27.3K
gross margin
25%

 

avg product price
$93
time to build
10 months
growth
SEO
time investment
Side project

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $750 $7,000
Employee & Freelancer Expenses $151 $352
Equipment & Supply Expenses $563 $5,200
Website Costs $303 $7,215
Business Formation Fees $600 $4,700
App Creation Costs $1,000 $20,000
Software Expenses $150 $2,794
Advertising & Marketing Costs $0 $3,050
Other Expenses $0 $800
Total Startup Costs $3,517 $51,111

Successful Businesses

Business URL Rank
Payoneer payoneer.com #825
Rock Content rockcontent.com #3,174
Freelance translators & Translation companies proz.com #10,059
ClearVoice clearvoice.com #12,892
Latium Freelancing: Work & Hire latium.org #16,430
AND.CO and.co #23,007
Codeable codeable.io #34,930
Topcoder topcoder.com #37,399
talentsroot talentsroot.com #43,307
AnyTask anytask.com #54,792
CRM for Agencies & Freelancers clientjoy.io #55,427

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Ability to start your business from home It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
Rewarding work Starting a freelancer platform can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Scalable With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
Traffic to your website A freelancer platform gives people a reason to visit your website and to keep coming back to you!
Meaningful business connections You never know who you will meet as a freelancer platform. This could be the start of an incredible business opportunity!
Cons Description
Crowded Space Competition is high when it comes to your freelancer platform, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.
Motivation of employees If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.
Low margins The gross margins for your freelancer platform are typically around 25%, which can make it more challenging to incur new expenses and maintain profitability.
Work can be inconsistent As a freelancer platform, the amount of work assigned to you and schedule tends to be more inconsistent, which may make your income less stable. It's important to set boundaries and budget accordingly based on the amount of work you plan to have.
Taxes As a freelancer platform, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.
Work can be repetitive You may find creating the same product over and over repetitive and tiresome. One way of avoiding this is to diversify product lines and revenue streams - this will keep things interesting!

Marketing Ideas

  • 1

    Affiliate program

    Affiliate marketing is a great way to bring in a new revenue stream, especially when you don't sell products or services.

    Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.

    The affiliate typically gets a unique link where clicks and conversions can be tracked.

  • 2

    Direct sales

    Direct sales strategy implies a direct contact between a seller and a consumer without the involvement of any third party. Direct selling is popular in sectors where sellers communicate with their clientele personally. The sales technique occurs at non-store locations which include at home, work, or online.

    For direct selling to succeed, hire a few (or many) salespeople to support the sales conversion process. It's critical that you assign them specific roles and responsibilities to nurture the client and provide excellent support.

  • 3

    Word of mouth

    Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.

    Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.

    According to Nielsen, 92% of people trust recommendations from friends and family.

    Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.