The failure of major banks like WaMu have sent the American economy into a deep credit crisis. Money is hard to come by. 

Existing businesses can’t borrow money to expand or upgrade equipment, for example. Wannabe small business owners can’t borrow money to start. All of this means fewer new jobs are created and more layoffs are on the horizon.

 As a freelance writer, how does all of this affect you? What does it mean for freelance writers and their careers? Quite simply, the credit crisis is a good thing for freelance writers and their careers. Following is why. 

Layoffs Mean Opportunity : While companies are contracting, work still has to get done. And to whom do employers turn to get this work done? Temporary employees and/or freelancers.

Employee benefits cost employers an average of 20-35% of a full-time employee’s compensation package. Freelance writers and other temporary employees don’t have medical benefits, paid days off or sick time. Hence, they are a deal for companies because it saves them a bundle. 

Freelance Writers: How the Credit Crisis Can Create Long-term Clients

Staying Lean to Compete: Piggybacking off the point above, many companies look to stay lean once a shocker like the existing credit crisis has passed. If you’re one of the freelance writers a company uses because they’ve laid off workers, you have an excellent chance to create long-term relationships with them.

How can you do this? Many times, if a company is pleased with you as a freelance writer, the person you originally dealt with will refer you to co-workers. It’s not uncommon to go on to work with three, four or five different people in a company – all coming your way from internal referrals.

This is when human nature kicks in. When an executive gets accustomed to working with a particular freelance writer, they tend to stay with them because they know and trust their work. They’re not about to try someone new just because the company can afford it.

Don’t be surprised if you’re offered a full- or part-time job from a company you start freelance with during a credit crisis. It’s more common than you think.

Freelance Success Stories: There are freelancers who make very good livings at what they love. Inkwell Editorial's newsletter features these successful professionals who put to rest the phrase, "starving freelancer." Read a recent issue here and subscribe to read all previous issues.
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