Often when businesspersons are in the preliminary stage of their business, they try freelancers to complete their tasks rather than full-time employees. This policy proves to be economical, needs less form-filling and on-boarding period.
Though there are various reasons why freelancing is so popular, some of them are enumerated below:
A freelancer itself reduces cost by 20-30% when compared to a full-time employee, not only this; it also reduces the fixed costs on insurance and retirement benefits. It helps an enterprise to reduce its employee count and skip statutory compulsions as well, in certain cases.
Freelancers are energetic, have desire to thrive for work and to get repeated work they maintain the quality of the work. Also, they do not work for fixed hours, they are allocated projects and the remuneration is based on completion.
Since they are not full-time employees, they cannot file against the company for discrimination or harassment. Employees, on the other hand, enjoy the protection of various laws.
The payment is to be made to a freelancer upon completion of the work allocated or the project completion which is not the case with full-time employees.
Right person for the job
An employee cannot be good at all the subjects, while an employer can hire an expert freelancer for any subject and can also save the cost by great margins.
Employee training is really expensive these days and to complete a project in time, an employer needs experts who can start work on day one rather than spending extra time on training. Also, using a freelancer not only saves the employer training costs but also saves them money, compared to a full-time employee.
Freelancing is the imminent future of the business and it is anticipated to grow. As of now, many people around the sphere are engaged in freelancing and it contributes majorly to the world economies.