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FAQ: Why do freelancers have to pay for introductions that do not result in work?

The fee charged by  Freelancing.hk is for the provision of a qualified introduction to a client who is looking for a freelancer with your skills. It is up  to you, the freelancer, to make the most of that introduction. The most  successful freelancers have been able to clearly articulate what they do best  in their profile and have offered their services at a competitive and realistic  rate.

Historic analysis has  found that, on average, 37% of all the introductions result in active assignments*.  This approach offers the freelancer a much higher level of success than other  acquisition approaches such as going through agencies, direct tenders or  self-acquisition. Nevertheless, 63% of all introductions do not result in an  assignment. Our research however indicates,  on average, a freelancer requires  2.7 introductions to secure a new assignment. This means, on average, freelancers will pay fees equal to 5 times their hourly  rates in order to secure their next assignment.

The introduction of  professional freelancers to clients has proven to be a very efficient approach  which:

         
  • Offers professional  freelancers an effective marketing medium that directly helps the freelancer  find work.
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  • The client and  freelancer form a direct relationship and therefore do not have to constantly keep us informed.
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  • There is no incentive  to be dishonest or to conceal projects.
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  • The freelancer with  a clear and realistic profile, as well as a competitive hourly rate, is rewarded as they have a higher conversion  rate from introduction to assignment. As a consequence, they proportionately  pay over overall fees per assignment.
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  • The introduction fee  is only twice the hourly rate, which on average, is equal to only 1 % of the  total revenue generated from the assignment. This is far more cost effective than comparable commission based fee schemes.
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*: Average conversion rate. Our most professional freelancers get up to 80%.

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