The Freelance Folder recently ran a contest to celebrate its one-year anniversary. Whether a writer, editor, designer or other consultant, you'll find this list of freelancer-to-freelancer recommendations submitted by contestants helpful. And, if you have your own tip to share, post a comment at the end of the blog.
Gaea Honeycutt
blog@weirdingword.com
Many small business owners share the same story of starts, stops, and restarts. All the information one needs about starting a business is out there, and yet, it's not always easy to uncover, understand, and leverage. You find yourself trying to learn in SBA, Women's Business Center, and other seminars while being forced to seek clarification and advice on how things really work from a network of fellow business owners. It's a high-adrenaline, exciting, frightening adventure. In three years, three lessons have shaped my approach to consulting.
Start with, or quickly build, a network.
When I struck out on my own in 2005, I had recently returned to my home state of Virginia. Having spent a dozen years building a broad skill set in project management, research, communications, and development, I knew I could help other organizations achieve their goals. But, I soon discovered that around Washington it's about whom you know and not what you know—and not whom you know in other regions. And I didn't understand networking.
I decided to take a short-term position while working on growing the business. When I returned to the full-time world of entrepreneurship, I became a networking diva, tripling my business and developing an increasingly effective network. Word of mouth is the best advertising. Referrals inherently carry the message of quality and results.
Focus, focus, focus.
I had directed an association and worked in the nonprofit sector. Then I discovered other small businesses 
were hungry for our services, especially writing and design, and I began cultivating them. Connecting with the supportive community of local small businesses is energizing. However, I lost focus and found that small-business clients require more personalized services for the same or less revenue.
In addition, the combination of services we provide isn't intuitively understood by the for-profit sector. While the connection between intellectual and creative services is taken for granted in nonprofits and associations, few in business understand how many functions employees in small associations and nonprofits take on regularly. Still, I split the business between intellectual services under the parent company and creative services under a new division. Months later, it was clear that entrepreneurs could not sustain or help grow the firm effectively, and I had significantly changed my business to appeal to that market. I refocused on my target markets and began building a network just as I had among small businesses.
Partner and outsource.
No one can do it all. As one of my clients said, "We are all experts in our own respective industries. Sometimes we attempt to cut costs by becoming an expert in an industry outside of our own … [and] often fall short of the mark … . [My] efforts and time were best spent doing 
what I do best." Balancing the work of your business and the management of your business is difficult, especially if you don't know what you're doing. I'm not an accountant, and I finally hired one to help me manage my finances. Hire experts to do these things efficiently.
Likewise, I don't provide services outside of my defined business. For example, I actively avoid media relations. There are people who passionately love this field, and I recruit them as partners. Neither is my expertise in the financial industry; I am not too proud to refer potential clients to a marketer who can run with it. Everyone is happier getting what they want and need. Life is too short to create a job for yourself that you don't even like. This way, I cultivate my networks of associates and clients at the same time.
My most satisfied colleagues follow these same principles: They do what they love, they remain focused on their goals and mission, and they build excellent networks. It's the path to entrepreneurial happiness and freedom.
Written by Gaea L. Honeycutt for Associations Now. Reprinted with permission, copyright August 2008, ASAE & The Center for Association Leadership, Washington, DC.
Gaea Honeycutt
blog@weirdingword.com
Little did I know that when I sat down with Randy Philip, he would provide a such a thorough overview of health insurance. Part 1 gives an overview of different types of insurance and focuses on the self-employed. In this second part of the Weirding Word® interview with the Principal of The Washington Insurance Consulting Group, he talks about insurance for businesses and common mistakes.
WW: What should every business owner know about health insurance?
RP: First off, why should you offer coverage? It's going to help you retain employees. It's something they value. In an equal job market, people tend to take the job that provides insurance. And, it's a positive social agreement with your employees. Second, it's a strategic investment. If you were to pay your employees additional salary, you'd have to pay taxes on it. But if you provide health insurance, that becomes a tax deductable expense. Offering health insurance as opposed to offering increased salary will cost you less in the end. And third, health insurance promotes healthy lifestyles. If your employees are worried about being sick, they're not going to be productive. If they come into the office sick, not only are they less productive, but they may get others sick. That makes for a miserable workplace.
WW: How do businesses know whether to offer individual or group insurance?
RP: Group insurance is available to companies with two or more employees. If you don't have two or more employees, then your only option is individual insurance. Find a broker who can assist you in finding an affordable plan, and explore benefit features to see which combination will meet your needs and your budget.
WW: What are the most common mistakes that people make regarding health insurance?
RP: Purchasing too much insurance. In truth, 80% of people use health insurance for office visits and prescriptions. With that in mind, most people don't need benefit rich plans. They're better off choosing a plan with a larger deductible. You should pick a plan with the lowest premium possible.
Believing that they cannot get insurance. For the most part, if you're in a major city, you can find insurance. It may cost you, but you can find insurance. In DC, Maryland and Virginia, if you have a serious illness, you can still get health insurance. There are state mandated insurance plans based on certain criteria.
Believing that the insurance carrier won’t find out if you “forget”. It's best to be honest and up front regarding your medical history so that there are no problems when you want to file a claim. Not to mention that insurance carriers are really good at tracking down your health information. For instance, they can determine what conditions you have based on prescriptions from your past.
Believing that the insurance will cost less by not using a broker. Insurance brokers help you review plans from different companies and secure affordable health insurance. Our commissions are built into your insurance premiums. If you work directly with the insurance carriers, you will be charged the same rate and the insurance carrier will retain the commission. And the benefit is that brokers are knowledgeable about the market and can be objective. We don't represent the insurance companies, we represent the clients.
WW: What are your final words of advice?
RP: If difficult buying insurance for your home when your house is on fire. You're better off trying to get your insurance well before that. Your health status can change at any time. It's easier and more affordable to get health insurance when you are healthy. For example, a 41-year-old male can get a rate as low as $107 a month with a well-known company. But, not if you wait until you're sick.
Learn more about Randy Philip and his firm. Or contact him at randy@thewicg.com or 703-879-2423.
Gaea Honeycutt
blog@weirdingword.com
Weirding Word® sat down with Randy Philip, Principal of The Washington Insurance Consulting Group in VA, to learn more about the factors to consider when choosing insurance for yourself or for your business, and the biggest mistakes people make when applying for insurance. The 17-year veteran of the insurance industry also talked about the roll of brokers in the insurance selection process.
Randy provided so much helpful information, that his interview is broken up into two parts. This part provides an overview and focuses on the self-employed, while the second focuses on businesses and common mistakes.
WW: Nowadays, there are so many options for protecting yourself. How does health insurance fit in?
RP: Life insurance, health insurance, disability insurance and long-term care insurance are the Four Points of Protection that you need. You may die if something happens. But, you may not. You may get sick or become disabled. And, if you're disabled, you may need someone to take care of you. The life insurance takes care of things if you die. The health insurance takes care of you if you get sick. Disability insurance protects your income if you become disabled. And, the long-term care insurance will protect you if you're disabled and can't take care of yourself.
You need to have each one. Most people have health insurance and understand the value of care when you're sick or injured. Many people have life insurance because they understand the value of protecting a family if they loose a loved one. Many people don't have disability insurance because that's relatively new, and they assume they'll be able to come back to work if something happens. Most people don't have long-term care insurance, which is also relatively new. More and more, patients are being sent home to recover and long-term care insurance will ensure you're able to afford the care you need if no one is home to take care of you. The disability and long-term care insurance is something many people don't have.
WW: What should every self-employed professional know about health insurance?
RP: As a self-employed professional, you need to know your options. First you can go without insurance, which isn't the wisest path. Second, there's COBRA, which is a continuation of the insurance from your employer for 18 months. That's very expensive because you'll have to take on the employer's contribution. But, it's a good option if you have a pre-existing condition.
The third option is to purchase your own insurance. You can buy into a trust association plan, which is set up in another state with more flexible laws, but sells in your state. However, the drawback is that the plan follows the laws of the state in which it's based, which may have less strong consumer protection laws. Or, you can go with a limited benefit plan like AFLAC that pays you...say $100 a day if you're injured...but it's not insurance. They will just pay you a flat amount; not take on the liability of your other health expenses. If you're currently unhealthy, there may be a state-run plan that you can purchase. Finally, you can buy traditional health insurance.
Look for Part 2 of this interview in a few days. In the meantime, learn more about Randy Philip and his firm. Or contact him at randy@thewicg.com or 703-879-2423.
Gaea Honeycutt
blog@weirdingword.com
Sharon McLoone writes a daily Small Business Blog for washingtonpost.com. This Monday, April 14, at 10 a.m. ET, the blog will feature a live chat with Small Business Administration Chief Steven Preston to preview National Small Business Week (April 21-25) and to answer your questions about the small business community.
For those writers, wordsmiths and intellectual consultants out there, don't forget that you're running a small business, too. Sharon is taking questions early, so be sure to pose your most perplexing challenge.
Gaea Honeycutt
blog@honeycuttconsulting.us
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