Currently, the dynamics and expectations of today’s reality require the blurring of all barriers and boundaries – also in a business context. A source of an open workforce is a real added value for a modern company, and skillful use of freelancers’ qualifications can result in a huge competitive advantage. In today’s publication, we present the 5 most important advantages of working with independent contractors.
Benefits of using an open workforce – table of contents:
The traditional form of recruitment is characterized by a very critical limitation – the specific location of performing duties. In practice, this means that a job offer will attract only those professionals who are located in a given area.
Cooperation with the open workforce eliminates this problem. The vast majority of such people perform tasks from the comfort of their own home and the only limit concerns a good Internet connection. This solution significantly widens the circle of available professionals, making it possible to find the optimal candidate for the job.
Independent contractors are distinguished by an extraordinary level of expertise, competence and practice. That’s because this category of workers operates in an open market, so a diverse range of information is key to attracting the attention of potential customers.
For the future employer, it means one more positive aspect – portfolio. Activity in the virtual space means that many freelancers have examples of completed projects. This is an additional plus because the standard form of employment prevents real testing of the declared abilities.
The mentioned need for constant development and progress is a great opportunity from the perspective of every entrepreneur. The American Association for Talent Development estimated that the average cost of training a new employee is $1252. However, it is worth remembering that education should be regular and systematic, so the expenses are not constant. Offering a position to a representative of the open workforce is an investment and cost optimization of the company budget.
However, this is not the end of the savings, as educational fees are only part of the complex expenses involved in engaging and maintaining a template employee. Base salary, insurance premiums, advance payment of income tax, bonuses, office equipment, company car – all elements deplete the organization’s portfolio.
Using the skills of independent contractors provide functions in a completely different way, and the listed fees lose justification. The rate agreed with a freelancer covers a very specific range of duties. As a result, the fee is for the performance of a particular project, i.e., tasks related solely to the project at hand. Moreover, independent contractors can become a form of expense for the company, and this positively affects the tax aspects.
Time is precious
Cash is not the exclusive value that every entrepreneur strives for. For some, it’s time. The issue itself involves a multi-level advantage.
It is worth noting that the process of hiring a new employee is not simple and immediate. The entire procedure involves the design of an inviting job offer, the screening of multiple applications received, numerous interviews, and administrative and induction activities in the new work environment. An open workforce reduces all actions to the required minimum.
Some enterprise missions enforce the hiring of a particular expert whose range of aptitudes deviates from those prevailing in the company. Contracting with a freelancer allows you to concentrate your efforts on the core initiative of the business, executing the plan and handling the current orders.
Independent contractors also offer full flexibility and operability in their services. What does this mean in reality?
Selected engagements require one-time attention and response. The short-term specificity of the target makes the standard form of hiring an adequate person simply unprofitable. In that case, a member of the open workforce will be perfect!
A great example is also the situation when there is a periodic increase in demand for a particular service or product. Such a specialist is great support for the company team whenever there is a need. The end of increased customer demand also means the culmination of the interaction with the freelancer and without negative consequences.
Drawing on the strengths of an open workforce is a proven strategy for building a strong competitive dominance. Saving time, expenses, as well as a rich repertoire of professionals and full customization to the current demand-these are just a few factors that make independent contractors ideal business allies.
Hire and work with freelancers with Frimbee. Our Freelance Management System covers all your business activities – from recruitment to payment.