Make no mistake: you’re running a business

Do you think of yourself as a freelancer? There’s almost no difference between a freelancer and a consultant. In either case, you have a variety of clients and projects. It seems that some people prefer the term "freelancer" because it sounds more informal. But make no mistake: you’re still running a business.

What’s involved in the business of freelancing? The Wall Street Journal details the business side of the freelance world (dead link). But, as you work as a freelancer, you’ll be confronted with business decisions every day. Some examples:

Even if you think you’re "just a freelancer", you’re still running a business. Be sure to keep good records, because the tax guys aren’t going to give you a break if you say you’re just a freelancer.