Grow Your Business Without Employees
Are you a solo entrepreneur with a growing business? Then you’ve got a problem.
Despite the fact that most of us think we are the only ones who can handle tasks the right way in our business, the harsh reality is, there’s a severe limit to your time and energy. You’re just one person. And as your business grows, you simply won’t be able to keep up. It’s just part of the package deal known as Success.
So, when you hit that I-can’t-do-it-all-myself-anymore wall, then what? Does it mean you must bite the bullet and hire employees?
Not necessarily.
Many successful solo entrepreneurs are turning to outsourcing as a powerful way to get the help they need without the big overhead costs or commitments associated with payroll.
Freelancers, or as the IRS calls them, independent contractors, are themselves professionals who specialize in providing specific services for your business. They can work as much or as little as you need; on a project basis only or for ongoing support. You decide. And best of all, you only pay for the hours or projects actually completed.
What Should I Delegate First?
Because I too am a solo entrepreneur, I have hit this wall in my own business more than once. Once again I am myself in the process of answering that very question. But the specific answer this time around has not been especially easy to pinpoint intuitively.
To start the process, I’ve started keeping a record of all of my daily activities (not just the billable ones) and noting those that are simply internal administrative trivia that are eating up too much of my time. These are prime candidates for outsourcing. I’m also looking at the tasks I enjoy doing, versus those I dread and drag my feet to get done.
For many businesses, tasks to delegate could include answering email, Internet research, website maintenance, editing and proofreading of marketing copy, routine customer service, general office administration, and yes, even bookkeeping. (Of course, I would never procrastinate on doing my own bookkeeping! 
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The idea is to free up your time for the activities that no one but you can do. These are usually the activities that matter most to your business. They generate the revenue and drive the growth. And since you are having success, they are also the activities you would likely do well to focus more of your time on to keep the momentum going.
Once you’ve identified which tasks to outsource, you’ll need to “package” them so that they can be done effectively by someone else. Commit to paper the step-by-step process of what it takes to accomplish each of those tasks so that someone else can do them nearly as well as (or even better than) you do.
This simple systems approach will make delegation so much easier because it forces clear communication and expectations between you and the professionals who assist you.
Where Do I Find Independent Contractors?
Now that you know what you want to outsource, and have documentation on how to accomplish those tasks, you are ready to start looking for the help you need.
At the end of this article I’ve listed just a few online resources for finding professionals to handle the tasks you have targeted for outsourcing. Of course, you can also ask your business and personal contacts if they can recommend any professionals they may know who may be able to help you. Please notice I said professionals.
That’s because if you decide to outsource tasks to friends and acquaintances, you have to be very careful. It should be clear that that person is in business for herself and is responsible for paying her own taxes. She must understand that you are not hiring her as an employee, but that she is in business for herself.
The IRS has rules about where the line is drawn between employees and those who can be classified as independent contractors. If you get caught treating someone as an independent contractor and the IRS says otherwise, you will get slapped with a big tax bill, as well as hefty penalties for your trouble.
You should also know that Uncle Sam is cracking down harder than ever on small businesses who violate the rules. Starting with 2007 tax returns, they have provided a new form that makes it extremely easy for workers who don’t understand the law to file a complaint against you!
So I’ll say it again. Hire professionals.
Over the years I’ve had employees and independent contracts alike. Since relocating and becoming a solo entrepreneur (again), it’s time to begin outsourcing anew. So I’m right here in the trenches with you. It would be great to hear about your experiences, suggestions, challenges and questions surrounding outsourcing. Please share your insights by commenting on this article.
Happy outsourcing!
~Gabrielle
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Where To Find Independent Contractors Online:
Administrative Tasks
http://www.assistu.com/
http://www.ivaa.org/
Computer / Web Services / Web Marketing
http://outsource.trilogysyndicate.com
http://www.rentacoder.com/
http://www.elance.com/
Editing/Proofreading
