Freelancers are those people who do not work for a specific company or organization. They offer their service to their clients to solve their problem against a fee paid by the client. Because, freelancers work singly, they can take up only small projects. Therefore, their services are mainly linked with creative activities like graphic design, software programs, web designing, book keeping and accounting services. Sometimes, it is also known as .
Freelancers could get variety of assignments which he might not have got if he was working in an organization. Another benefit for them is that they do not have to work from 9Am to 5 PM. Their work schedule is flexible as per their wish.
The way of getting freelance work done varies quite a lot. Some people would like do contract accounting based on written contract made with client, while others may work based on verbal agreement. Some freelancers may provide a written estimate of their work or may ask some monetary advance to start the work.
The opportunity to work as a freelance accountant has increased with the introduction of internet. It has provided a person with bigger market. In fact, he can work for any client located anywhere in the world. Because of this, much of freelance work is being outsourced from United States and Europe to other poorer country to get it done at a cheaper rate.
We have already mentioned that as a freelancer works on his own, he can take up only small projects. Therefore, it hinders his farther development in his field of specialization. Because, they do not get involved in bigger and more complex projects, which will require lot of resources including man power, they are unable to develop their technical skills. If a person wants to develop in his own field, he should try to hire other free lancers to enable the group to handle bigger projects.
Another problem about any freelancer is that they would get lower remunerations for his work compared to those working in a regular job.
The biggest problem for a freelancer is about getting his assignments. He is not sure that he would be getting regular assignments or not. Those working in an organization generally get retirement benefits, medical insurance, paid leave and bonus. But, a freelancer will never expect to get such benefits.
In view of all these drawbacks, European Union has studied the subject and prepared a draft paper making certain recommendations about free lance work. If these recommendations are accepted, it would make companies or organizations using the services to provide benefits like pension benefits, paid leave etc. to the freelancer also. If these recommendations are accepted in the UK also, it would require major modification in the way free lance work is done there