Find out everything you need to know about a freelance agency and when it makes sense for you as a freelancer to use one.
The freelance industry is growing rapidly, and and the number of 9-5 tired types going freelance and seeking more flexibility in their work life is steadily increasing.
At the same time, new concepts are constantly emerging and the freelance world can sometimes seem like an endless (albeit exciting) world to explore.
One of the great opportunities that has become available to you as a freelancer is a freelance agency. But what the heck does that even mean? We dive into it here.
1. What is a freelance agency?
A freelance agency, also known as a service agency for freelancers, is essentially an agency that offers a service to freelancers that makes freelance life a whole lot easier.
An easier freelance life with Factofly
Be a freelancer without hassle and get paid without your own CVR number with Factofly. We help almost 2,000 others with an everyday life without administration.
A freelance agency keeps administration and accounting under control
As a self-employed freelancer, it can be hard to fit it all in.
With so many things to keep track of, more and more people are turning to a freelance agency to remove one of the biggest headaches, also known as accounting and administration.
Often, freelance agencies charge a small fee for their service, such as a percentage of your revenue.
That way, you only pay when you use the agency and as needed, so the price can follow your revenue.
For the price, you get more freedom, less worry and no longer have to worry about accounting, VAT and taxes.
Not to mention start-up freelancers, who with a freelance agency have the opportunity to avoid setting up a CVR number, business account, business insurance and other administration associated with starting a sole proprietorship.
2. What can you use a freelance agency for?
When it comes to outsourcing time-consuming tasks as a freelancer, it's understandable that accounting and administration are often at the top of most freelancers' wish lists.
Get rid of administration and focus on your customers
In fact, freelancers spend an average of 13.6 hours on administration every month.
Therefore, this is also what the vast majority of freelancers looking towards a freelance agency dream of outsourcing.
In short, as a freelancer, you can use a freelance agency to get rid of all the accounting and administration and free up time for all the fun stuff.
Gaining more time by using a freelance agency for accounting and administration can often be a good investment as both the business and customers can get the focus they require, giving you a better chance of scaling and increasing revenue.
The reasons why a freelancer uses a freelance agency can be many, but most often it is due to:
- That you want to avoid the hassle of administration
- Wanting to free up time for other parts of the business or increase free time
- As a new freelancer, you want to try out the freelance life without setting up a company etc.
- Missing the simpler and more carefree time as an employee
Many freelancers also have a vision of a more free, simple and flexible working life, and this fits well with what a freelance agency can do.
What does a freelance agency do for you?
Most freelance agencies offer to take care of all administration and accounting - like everything. as in everything!
Most often, you only need to sign up as a user at the beginning, and then all that's required of you is to enter the customer's details, some information about the job and price, and any deductions.
After that, the majority of freelance agencies take care of the rest, such as creating and sending invoices, arranging insurance during your work, deduction registration, VAT and tax accounting, holiday pay, etc. and instead pay out your profit as a normal salary.
An easier freelance life with Factofly
Be a freelancer without hassle and get paid without your own CVR number with Factofly. We help almost 2,000 others with an everyday life without administration.
3. When should you use a freelance agency?
There is no exact answer to this, and of course it depends on your situation.
A broad answer might be; whenever you want or need it!
Are you tired of administration and accounting?
If you're tired of bookkeeping and the administrative work is a constant motivation killer, it's a sign that a freelance agency is a good solution for you.
Free up time and energy for what you are truly passionate about and get your passion back!
Are you a new freelancer and want to test the waters?
If you're new to the freelance world and have just found your first client, getting started as a freelancer can seem overwhelming .
With a freelance agency behind you, you can easily and quickly get off the ground and get started on your first assignment, so you can try out life as a freelancer without hassle and without setting up a business.
A great option for those who want to get started effortlessly and quickly!
Having trouble keeping up?
Maybe your freelance shop is busy, you have a lot of work and clients are lining up?
It can be a relief not to have to worry about accounting and administration on top of the many tasks.
We only have 24 hours in a day and everyone has a limit to how many balls they can juggle at once.
Free up time to focus fully on your customers and tasks!
There are many scenarios where a freelancer can benefit from a freelance agency - and in most cases, it pays off.
As a freelancer, by using a freelance agency, you can also avoid the costs of accounting software, accountants and business accounts.
An easier freelance life with Factofly
Be a freelancer without hassle and get paid without your own CVR number with Factofly. We help almost 2,000 others with an everyday life without administration.
4. What does a freelance agency cost?
As mentioned earlier, most freelance agencies charge a small fee, which is usually a percentage of your revenue or income from the invoice they process, before tax.
Denmark's largest freelance agency, Factofly, takes 6% of your invoice before tax. (It's our magic fingers that wrote this article, fyi!)
The price of other freelance agencies can vary slightly, often ranging between 6-12% in administration fees.
Many freelance agencies also have an online salary calculator so you can quickly and easily get a clear overview of what things cost and what you have in your hands.
With a salary calculator, you can see what your invoice payout will be after the freelance agency's administration fee, tax, mileage and personal deductions - your final 'salary'.
Find out everything you need to know about a freelance agency and when it makes sense for you as a freelancer to use one.
The freelance industry is growing rapidly, and and the number of 9-5 tired types going freelance and seeking more flexibility in their work life is steadily increasing.
At the same time, new concepts are constantly emerging and the freelance world can sometimes seem like an endless (albeit exciting) world to explore.
One of the great opportunities that has become available to you as a freelancer is a freelance agency. But what the heck does that even mean? We dive into it here.
1. What is a freelance agency?
A freelance agency, also known as a service agency for freelancers, is essentially an agency that offers a service to freelancers that makes freelance life a whole lot easier.
An easier freelance life with Factofly
Be a freelancer without hassle and get paid without your own CVR number with Factofly. We help almost 2,000 others with an everyday life without administration.
A freelance agency keeps administration and accounting under control
As a self-employed freelancer, it can be hard to fit it all in.
With so many things to keep track of, more and more people are turning to a freelance agency to remove one of the biggest headaches, also known as accounting and administration.
Often, freelance agencies charge a small fee for their service, such as a percentage of your revenue.
That way, you only pay when you use the agency and as needed, so the price can follow your revenue.
For the price, you get more freedom, less worry and no longer have to worry about accounting, VAT and taxes.
Not to mention start-up freelancers, who with a freelance agency have the opportunity to avoid setting up a CVR number, business account, business insurance and other administration associated with starting a sole proprietorship.
2. What can you use a freelance agency for?
When it comes to outsourcing time-consuming tasks as a freelancer, it's understandable that accounting and administration are often at the top of most freelancers' wish lists.
Get rid of administration and focus on your customers
In fact, freelancers spend an average of 13.6 hours on administration every month.
Therefore, this is also what the vast majority of freelancers looking towards a freelance agency dream of outsourcing.
In short, as a freelancer, you can use a freelance agency to get rid of all the accounting and administration and free up time for all the fun stuff.
Gaining more time by using a freelance agency for accounting and administration can often be a good investment as both the business and customers can get the focus they require, giving you a better chance of scaling and increasing revenue.
The reasons why a freelancer uses a freelance agency can be many, but most often it is due to:
- That you want to avoid the hassle of administration
- Wanting to free up time for other parts of the business or increase free time
- As a new freelancer, you want to try out the freelance life without setting up a company etc.
- Missing the simpler and more carefree time as an employee
Many freelancers also have a vision of a more free, simple and flexible working life, and this fits well with what a freelance agency can do.
What does a freelance agency do for you?
Most freelance agencies offer to take care of all administration and accounting - like everything. as in everything!
Most often, you only need to sign up as a user at the beginning, and then all that's required of you is to enter the customer's details, some information about the job and price, and any deductions.
After that, the majority of freelance agencies take care of the rest, such as creating and sending invoices, arranging insurance during your work, deduction registration, VAT and tax accounting, holiday pay, etc. and instead pay out your profit as a normal salary.
An easier freelance life with Factofly
Be a freelancer without hassle and get paid without your own CVR number with Factofly. We help almost 2,000 others with an everyday life without administration.
3. When should you use a freelance agency?
There is no exact answer to this, and of course it depends on your situation.
A broad answer might be; whenever you want or need it!
Are you tired of administration and accounting?
If you're tired of bookkeeping and the administrative work is a constant motivation killer, it's a sign that a freelance agency is a good solution for you.
Free up time and energy for what you are truly passionate about and get your passion back!
Are you a new freelancer and want to test the waters?
If you're new to the freelance world and have just found your first client, getting started as a freelancer can seem overwhelming .
With a freelance agency behind you, you can easily and quickly get off the ground and get started on your first assignment, so you can try out life as a freelancer without hassle and without setting up a business.
A great option for those who want to get started effortlessly and quickly!
Having trouble keeping up?
Maybe your freelance shop is busy, you have a lot of work and clients are lining up?
It can be a relief not to have to worry about accounting and administration on top of the many tasks.
We only have 24 hours in a day and everyone has a limit to how many balls they can juggle at once.
Free up time to focus fully on your customers and tasks!
There are many scenarios where a freelancer can benefit from a freelance agency - and in most cases, it pays off.
As a freelancer, by using a freelance agency, you can also avoid the costs of accounting software, accountants and business accounts.
An easier freelance life with Factofly
Be a freelancer without hassle and get paid without your own CVR number with Factofly. We help almost 2,000 others with an everyday life without administration.
4. What does a freelance agency cost?
As mentioned earlier, most freelance agencies charge a small fee, which is usually a percentage of your revenue or income from the invoice they process, before tax.
Denmark's largest freelance agency, Factofly, takes 6% of your invoice before tax. (It's our magic fingers that wrote this article, fyi!)
The price of other freelance agencies can vary slightly, often ranging between 6-12% in administration fees.
Many freelance agencies also have an online salary calculator so you can quickly and easily get a clear overview of what things cost and what you have in your hands.
With a salary calculator, you can see what your invoice payout will be after the freelance agency's administration fee, tax, mileage and personal deductions - your final 'salary'.
