Season one highlights<\/a><\/p>\n\n\n\n Getting into business journalism and entrepreneurship<\/a><\/p>\n\n\n\n Taking the plunge into freelance work<\/a><\/p>\n\n\n\n Working as a freelancer means an unpredictable workload<\/a><\/p>\n\n\n\n Finding the right fee as a freelancer<\/a><\/p>\n\n\n\n Top tips if you\u2019re just starting your freelance journey<\/a><\/p>\n\n\n\n Finding your gold or glory balance<\/a><\/p>\n\n\n\n How to prepare for maternity leave as a freelancer<\/a><\/p>\n\n\n\n Putting into your pension when you have a limited company<\/a><\/p>\n\n\n\n When is it necessary to become a limited company?<\/a><\/p>\n\n\n\n Meeting your accountant at a music festival<\/a><\/p>\n\n\n\n Once you go freelance, you never look back<\/a><\/p>\n\n\n\n Today is bittersweet for me. I\u2019m about to waddle off on maternity leave for a few months. And while I\u2019m really excited about my new arrival and the opportunity to spend some time with the family, I\u2019m really going to miss this show.<\/p>\n\n\n\n I\u2019m leaving you in really safe hands, however. Stepping into the breach is a fantastic journalist and podcaster, Kate Bassett, who is similarly obsessed with entrepreneurs and startups.<\/p>\n\n\n\n On today\u2019s episode, we\u2019re going to meet Kate, and together we\u2019re going to bring you a Sound Advice first, a freelancer special.<\/p>\n\n\n\n Well, there are 2.2 million of us in the UK. So, if you want to know what it takes to take the plunge and become a freelancer, what business structures might work for you, hacks for success, don\u2019t go away.<\/p>\n\n\n\n Kate, welcome. So excited to chat to you today and introduce you to our fabulous listeners.<\/p>\n\n\n\n Thanks, Bex. I\u2019m so excited to be here. How are you?<\/p>\n\n\n\n I\u2019m well, I\u2019m well. I\u2019m the size of a planet, so I\u2019m about to go on maternity leave.<\/p>\n\n\n\n And I\u2019m on week 38, so I\u2019m a slow-moving, wide load at the moment. But feeling pretty good despite.<\/p>\n\n\n\n You are blooming.<\/p>\n\n\n\n This is episode 50, which is incredibly exciting because we\u2019ve just told so many amazing stories now and had such a diverse range of guests on the show with all these different lessons to share.<\/p>\n\n\n\n Now, you are going to take over as host for season two.<\/p>\n\n\n\n And I know that a lot is under wraps at the moment, but can you share anything about what\u2019s in store, what you\u2019re excited about, what kind of guests you\u2019re likely to bring on?<\/p>\n\n\n\n Yeah, well I can\u2019t say too much at this stage because it\u2019s all top secret and hush, hush.<\/p>\n\n\n\n But we do have a stellar line-up of brilliant entrepreneurs.<\/p>\n\n\n\n We\u2019re going to throw a few surprises in there, and we\u2019re going to be back with a new theme.<\/p>\n\n\n\n So we\u2019re going to miss you, Bex, but we\u2019ve got lots of exciting things in store.<\/p>\n\n\n\n Well, I\u2019ll be listening, I\u2019ll be there. I\u2019m subscribing, so I\u2019ll get the new episode as soon as they land.<\/p>\n\n\n\n Baby in one hand\u2026<\/p>\n\n\n\n Baby in one arm, phone in the other: classic.<\/p>\n\n\n\n And I don\u2019t know if you\u2019ve been listening to the show, but are there any particular highlights or guests that we\u2019ve had on that you\u2019ve really enjoyed?<\/p>\n\n\n\n They\u2019ve all been brilliant, and I think they\u2019re all so diverse with different stories to share. And I love how they talk about some of their big challenges and how they\u2019ve overcome adversity.<\/p>\n\n\n\n That\u2019s what always really interests me, how you get over those big hurdles.<\/p>\n\n\n\n What have been your top stories from season one? Who have you loved interviewing?<\/p>\n\n\n\n Oh, it\u2019s really hard to pick a favourite. But similar to you, I love the ridiculous stories where it\u2019s the thing that went wrong and the scramble to fix it, and it\u2019s almost surreal. It\u2019s almost too crazy to be real life.<\/p>\n\n\n\n Like the Teemill guys<\/a> who only had, I think it was \u00a3200 to start their business, and that they blew most of their budget on business cards despite the fact they were starting a digital business and realised they were never going to give a single business card away, and then basically had to hack together their first tee shirt printer from an old Epson.<\/p>\n\n\n\n But those stories are wonderful.<\/p>\n\n\n\n And I loved Solveiga Pak\u0161tait\u0117<\/a>, who we had on really early on in the show, who got ghosted by her investor and had to beg her parents for her wedding fund to pay her staff. And she talked about sitting under a desk and just weeping.<\/p>\n\n\n\n She can laugh about it now, but I love the stories where you see the realness and just what people have to go through to make it work and for their business to survive.<\/p>\n\n\n\n I find that stuff the most inspiring.<\/p>\n\n\n\n Same here, actually.<\/p>\n\n\n\n And I just always think, sometimes you see these fabulous shiny brands, and you forget about all the hardships and those moments of, as you said, rocking backwards and forwards under a desk that has actually got them to that point.<\/p>\n\n\n\n I remember interviewing Jo Malone. And again, it\u2019s such an amazing brand, now owned by Est\u00e9e Lauder. But she talked about setting up.<\/p>\n\n\n\n She was dyslexic, she had no qualifications at all. She had to teach herself how to make face creams just to survive. And actually, for the first 10 years of that business, it was just her and her husband running it from a tiny flat.<\/p>\n\n\n\n You definitely forget about those moments when you see her beautiful candles and perfumes on the shelves.<\/p>\n\n\n\n It\u2019s those reminders, I can\u2019t remember who said it, but it takes 10 years to make an overnight success.<\/p>\n\n\n\n I feel like this show, we get that reminder almost every week.<\/p>\n\n\n\n And you\u2019ve been a business journalist for many years, but you\u2019ve been focused on entrepreneurs for quite a lot of that.<\/p>\n\n\n\n So tell me how you ended up in this space.<\/p>\n\n\n\n Obviously, we\u2019re passionate about these kinds of stories, these human stories, which must have been the lure, but how did you end up writing about these people?<\/p>\n\n\n\n You know what? I have just always loved magazines and just have devoured content. So actually, I was rummaging around in the attic the other day, and I came across these My Little Pony magazines I had from the mid-eighties.<\/p>\n\n\n\n So I must have been about seven or eight. It was 30p an issue, and I was a subscriber. And I\u2019d get my fortnightly mag, and I just used to love it. And then obviously moved on to mags like Smash Hits. Don\u2019t know if anyone remembers that. Just 17, Cosmopolitan. Just absolutely loved magazines.<\/p>\n\n\n\n So when I was at university studying English literature, I started to do loads of work experience placements at publishing companies, newspapers. And one of the mags I was doing a two-week placement for ended up offering me a job.<\/p>\n\n\n\n So that\u2019s how I got into business journalism.<\/p>\n\n\n\n That was such a big break for me, really. It got my foot in the door. But also the founder of that company and the editor was also a columnist for The Financial Times.<\/p>\n\n\n\n I\u2019d been there about a year, and he came over to me one day, and he said, \u201cKate, I haven\u2019t got time to write my column for The FT today. It\u2019s due in at 5pm. Do you want to have a go?\u201d<\/p>\n\n\n\n And I looked at him, terrified, thinking, oh my god, I\u2019m 23. There\u2019s no way I can write a column for The Financial Times.<\/p>\n\n\n\n But of course, in my enthusiasm and youthful naivety, I was like, \u201cYes, of course I can do that.\u201d<\/p>\n\n\n\n So then got it done, handed it in on time. The FT were pleased with it, and I ended up to writing his monthly column for The FT, at 23. He just let me take over it because he was really busy, juggling lots of other balls.<\/p>\n\n\n\n But was that with his byline or with your name on it?<\/p>\n\n\n\n I had my own byline. Actually my maiden name was Pritchard, so I\u2019m sure, if you root around on The FT website, you can find Kate Pritchard. And it was the column called Found It on the Net. And that was when I was 23, so that was a really good foray into business journalism.<\/p>\n\n\n\n From there, I just worked with different mags, focusing on entrepreneurs and also diversity and inclusion. Doing a lot with businesswomen.<\/p>\n\n\n\n So just have interviewed some really amazing people over the years. Most of the Dragons [from Dragons\u2019 Den], for example. In fact, someone I interviewed fairly recently was Sara Davies who set up her business Crafter\u2019s Companion when she was still at university.<\/p>\n\n\n\n I think, by the time she graduated, she was turning over half a million. I love chatting to her. She\u2019s still so enthusiastic and down to earth.<\/p>\n\n\n\n But even she was saying that a few years ago she reached the point where she thought she couldn\u2019t take the business any further; she wasn\u2019t the right person to take it to the next level.<\/p>\n\n\n\n So she brought in this wiser, older executive and handed over the keys to the kingdom but then had to sit on the sidelines while he made all the wrong decisions for the business.<\/p>\n\n\n\n So she said that was the moment she realised she needed to step up, hired a coach, just got that confidence to trust her instincts and know that she was the one to take the business further.<\/p>\n\n\n\n So it\u2019s really interesting, yeah. I love hearing these human stories and chatting to people. So, so excited to take on this podcast.<\/p>\n\n\n\n You should get Sara on the show. I love that story.<\/p>\n\n\n\n Yes, we should. Sara, if you\u2019re listening, we want you on the show.<\/p>\n\n\n\n Give us a call.<\/p>\n\n\n\n Yeah.<\/p>\n\n\n\n So full disclosure, we met many years ago when we were both in gainful employment at a trade mag. But I want to know how you ended up becoming a freelancer.<\/p>\n\n\n\n And was it a gradual process, or did you do the two feet, take the plunge style, I\u2019ve had enough of being paid on time every month, I\u2019m ready for anxiety and stress?<\/p>\n\n\n\n Well, actually yes, I\u2019ve been working as a business journalist for about 20 years. And about eight years ago probably, I started taking on ad hoc freelance projects on the side. It was a real side hustle alongside employment.<\/p>\n\n\n\n And then at the start of the pandemic, so in 2020, I was made redundant from Haymarket. So, at that point, my side hustle became the main gig. So I\u2019ve been freelancing full time since then.<\/p>\n\n\n\n So yeah, it wasn\u2019t out of choice. I had to be shoved, had to be pushed off the cliff. But to be honest, I really haven\u2019t looked back. I\u2019m loving the freedom of it, the flexibility.<\/p>\n\n\n\n But your story\u2019s quite different because you just went in feet first, didn\u2019t you?<\/p>\n\n\n\n Yes. Yeah, but again, I think I was sort of pushed because I\u2019d been the small business editor at The Telegraph, for I think it was about four or five years. And my workload had just become completely unsustainable.<\/p>\n\n\n\n I didn\u2019t know at the time, but I was basically on the verge of a full breakdown. I think I was writing between 10 and 12,000 words a week because I had pages to fill on Tuesday, Wednesday, Friday and Sunday. And I was writing all the features, all the news stories, doing all the interviews, the reporting, the transcriptions, the story getting, all the morning conferences.<\/p>\n\n\n\n And it was like writing a thesis every week, but it was just unsustainable.<\/p>\n\n\n\n I think I was quite naive in that I never even really thought to ask for help. So I can\u2019t even blame my managers because I should have just said at some point, \u201cThis is just not possible. I can\u2019t continue anymore.\u201d<\/p>\n\n\n\n Instead, I was like, \u201cWell, clearly I have to leave.\u201d And I actually was going to start my own small business. I was going to start an import business. My mother is from Croatia, and they make really amazing booze.<\/p>\n\n\n\n I\u2019m not going to tell anyone too much about it because who knows? I might still do it one day.<\/p>\n\n\n\n Watch this space.<\/p>\n\n\n\n Watch this space, exactly.<\/p>\n\n\n\n There\u2019s this amazing kind of alcohol that you get in Croatia that you can\u2019t get anywhere else. And it\u2019s really specialised, and they serve at weddings. And I wanted to import that.<\/p>\n\n\n\n But then a little thing called Brexit happened, this is in 2016, and it was the worst possible time to start an import business from Europe.<\/p>\n\n\n\n So I thought, I\u2019ll just do some freelancing in the meanwhile and wait for things to calm down.<\/p>\n\n\n\n And then just loved it and had loads of different kinds of clients, had loads of variety, figured out my approach to freelancing, what the balance would look like for me in terms of what kind of jobs I would take on, the balance of regular clients versus incoming, opportunistic clients.<\/p>\n\n\n\n Admittedly, the Brexit challenge still hasn\u2019t gone away in 2022, so that other business has been parked.<\/p>\n\n\n\n But could come back. So we need to look out for your Croatian booze.<\/p>\n\n\n\n Although the company that I set up to actually sell the Croatian booze, I ended up becoming a limited company a couple of years ago. And that was lying dormant. And my accountant was like, \u201cOh let\u2019s just use that.\u201d<\/p>\n\n\n\n So the company name I chose for my Croatian business is now my freelancing company. So I\u2019d have to come up with a completely different name. But never mind.<\/p>\n\n\n\n We can do that. We can have a brainstorming session.<\/p>\n\n\n\n You mentioned that one of the reasons you went freelance was because of your unsustainable workload.<\/p>\n\n\n\n So how are you finding it now? Have you had those moments? Because as a freelancer, it\u2019s really hard to say no to work sometimes, isn\u2019t it? Because you don\u2019t know necessarily what the next month\u2019s going to bring.<\/p>\n\n\n\n So, I\u2019ve certainly found there are real peaks and troughs. There are times when I\u2019m inundated, and I\u2019m literally working every hour of day and night. It\u2019s like full time and a half. And then there are other moments where it\u2019s pretty quiet.<\/p>\n\n\n\n So how have you dealt with that?<\/p>\n\n\n\n Took me three years to find the balance.<\/p>\n\n\n\n I think, for those three years, I was a hundred per cent doing up the feast and famine where you would be working every minute and evenings one month and then the next month you would have a week where you didn\u2019t have anything on.<\/p>\n\n\n\n And that sort of worked for me at the time. I had to find the balance once I had my son, who\u2019s three and a half now, because I couldn\u2019t work evenings anymore. Certainly when he was small, he wasn\u2019t in nursery, so I had to have a really structured workday.<\/p>\n\n\n\n The only way to do that, I think, is I have a lot more regular clients that come back at the same time of year with a similar project. Or I do some ghostwriting for some tech CEOs, for example. I know that I\u2019ll speak to one of those guys every Wednesday at this time.<\/p>\n\n\n\n You just get into a rhythm where you can anticipate when the work is coming in.<\/p>\n\n\n\n And then anything that comes in on top of that, like features and commissions, if I can fit them in, I do.<\/p>\n\n\n\n But I\u2019ve also got much better at saying no and saying, \u201cI want to do a good job, and I can\u2019t commit that amount of time right now. Can I introduce you to another freelancer who might be able to take this on, and then maybe I can help you next time?\u201d<\/p>\n\n\n\n And I think that takes time to learn to say no. I don\u2019t know if you found that as well, that in the beginning you just want to be like, \u201cYes, yes, I\u2019ll do everything.\u201d<\/p>\n\n\n\n I think you are right though that, when you have to say no because of your workload, actually if you can recommend somebody else, it doesn\u2019t feel so harsh, and you don\u2019t necessarily feel like you\u2019re losing them as a client altogether because you\u2019ve still been helpful.<\/p>\n\n\n\n Actually, I know you and I have shared projects before, and we\u2019re part of this network of business journalists who are all freelancing. And we\u2019re really collaborative, and we share stuff, and we recommend each other.<\/p>\n\n\n\n Also, we meet up fairly regularly and discuss how much we should be charging because I think that\u2019s a really tricky thing as a freelancer, to know what your value is.<\/p>\n\n\n\n I read this terrifying stat the other day that female freelancers are paid 19.5% less than men, which is really depressing.<\/p>\n\n\n\n We\u2019re undervaluing ourselves.<\/p>\n\n\n\n So I do think it helps when you can meet up with other freelancers and not feel competitive but actually have these really open and honest conversations about how much you\u2019re worth, how much you should be charging, what your day rate is or your fee per word. I think that\u2019s really helpful.<\/p>\n\n\n\n Yeah. I think you can then encourage one another. When you\u2019ve got our little gang of business journalists around a table, there\u2019ll always be someone like, \u201cNo, you should not settle for that fee. You need to make sure that they pay you X or Y.\u201d<\/p>\n\n\n\n Or every year inflation rises, and you should be raising your rates.<\/p>\n\n\n\n And it\u2019s really hard to do that as a freelancer, to have the courage to say, \u201cLook, I\u2019m putting up my prices by 10%, 15%, whatever it is.\u201d<\/p>\n\n\n\n But you need sometimes your community behind you, encouraging you but also telling you that that\u2019s what they\u2019re doing, so that you don\u2019t feel like you are this lone freelancer trying to get a fair wage.<\/p>\n\n\n\n Yeah, definitely.<\/p>\n\n\n\n What are your other freelance hacks then?<\/p>\n\n\n\n What are the things that you have found have worked really well for you, as a journalist, yes, but I suppose more generally as well, for freelancers of all stripes?<\/p>\n\n\n\n I think learning to deal with those peaks and troughs like you said, but always trying to have six months of savings at the ready. I think there\u2019s a quote that you should always plan as if winter is coming.<\/p>\n\n\n\n Especially, I also have two children. There have been times where obviously I\u2019ve been on maternity leave, and you just really need to plan for those things and just make sure you\u2019ve got a pot of backup money as a buffer should things go quiet.<\/p>\n\n\n\n God forbid, if there\u2019s another pandemic, you need to prepare for these things if work\u2019s going to dry up.<\/p>\n\n\n\n I think having that variety of clients, which you touched upon earlier as well, a mix of freelance contracts in place really takes the pressure off.<\/p>\n\n\n\n So I did quite a lot of work for the Financial Times. Now, 20 years later, it\u2019s come full circle. And those all-ongoing contracts. Then alongside those, I take on at hoc freelance projects as well. And just having a really good accountant.<\/p>\n\n\n\n I\u2019m actually really lucky that my dad happens to be a chartered accountant, so I get it as a freebie. But he\u2019s really good in just making sure everything\u2019s really tax-efficient, and I\u2019m set up in the right way. I\u2019m expensing everything that I should be expensing. That\u2019s really helpful as well.<\/p>\n\n\n\n I think, if you don\u2019t have a good accountant, just make sure maybe you get a personal recommendation, find someone who\u2019s really going to give you some good advice.<\/p>\n\n\n\n How about you? What are your hacks?<\/p>\n\n\n\n I think those are all really amazing pieces of advice, and I definitely followed all of those, and that\u2019s been a massive advantage in my career.<\/p>\n\n\n\n The only thing I would probably add is that I think it\u2019s useful as a freelancer to make sure that about 30% or so of your income comes from clients that have pots of money, that are resilient to downturns.<\/p>\n\n\n\n An example would be a friend of mine is a yoga instructor, and it\u2019s a part of your disposable income that it\u2019s quite easy to slash if, say, we\u2019re in a cost of living crisis now, people can just cut down on their yoga classes.<\/p>\n\n\n\n But she\u2019s made sure that she does private sessions for some high net worth\u2019s, and that makes up a portion of her income. And that\u2019s income that\u2019s unlikely to go away. Those people are very rarely affected by downturns.<\/p>\n\n\n\n I do some work, for example, with private equity clients. And actually those kinds of companies are as active if not more active during downturns because they\u2019ve raised their funds months, even a year before, and they\u2019re still looking to support growth.<\/p>\n\n\n\n So it\u2019s been useful to just, whatever sector you\u2019re in, think, where is there likely to be resilience in terms of budget?<\/p>\n\n\n\n Then the golden rule as a freelancer\u2026 I can\u2019t remember who told me this, and I wish I could attribute it, but it\u2019s what I\u2019ve lived by, is that you have to do two out of three things to be successful as a freelancer.<\/p>\n\n\n\n You have to be good, you have to be on time, and you have to be nice. You can survive as a freelancer if you\u2019re just two out of those three.<\/p>\n\n\n\n So you could be really nice and on time, and your copy can be a bit rubbish. But because you\u2019re on time when you\u2019re really nice, you\u2019ve given your editor plenty of time to fix it, you\u2019ve been easy to work with, they\u2019ll book you again.<\/p>\n\n\n\n If you\u2019re nice and your work is really good, then you can get away with being late sometimes with copy because they don\u2019t have to do any fixes, and you\u2019ve been nice.<\/p>\n\n\n\n But that\u2019s the golden rule. If you can, try and be all three. And that is the secret to repeat work.<\/p>\n\n\n\n Being nice and being kind is massively underrated; not just as a freelancer, I mean across the boards in business.<\/p>\n\n\n\n I\u2019ve interviewed so many high-profile, high-net worth individuals. The ones that stand out for me are the ones that are kind.<\/p>\n\n\n\n Kind leadership, I think, is really crucial in this day and age.<\/p>\n\n\n\n But yeah, I agree. I think if you\u2019re reliable, you\u2019re nice, actually people are going to remember you. I do try and make sure my copy is perfect. But actually, sometimes good is good enough.<\/p>\n\n\n\n Yeah, exactly. And sometimes it\u2019s more important to your client that they just get the words in. It just depends on the particular project. You learn to read the situation as you grow into your freelance career.<\/p>\n\n\n\n But yeah, being nice. As a freelancer you have to be nicer than everyone else because your client will never understand that they are just one of maybe five, 10, 15 clients that you\u2019re working for. They just expect you to be working for them full time.<\/p>\n\n\n\n You can explain that\u2019s not the case, but they want to feel like they\u2019re the most important person in your professional life. And you\u2019re only as good as your last project.<\/p>\n\n\n\n So if you snap or you\u2019re critical of something or you word something badly, that might be the last time you work for that client.<\/p>\n\n\n\n And actually, I did a short stint with a PR agency. I was head of editorial for about seven or eight months, just before I had our first child.<\/p>\n\n\n\n And just working in the PR industry actually really taught me about being reliable, about getting back to people, ideally within an hour of them emailing you. Just really be responsive.<\/p>\n\n\n\n That goes a long way.<\/p>\n\n\n\n I like your point about having an accountant because I was going to ask you the things that you wish you\u2019d known earlier.<\/p>\n\n\n\n I certainly wish I\u2019d just never bothered doing my own self-assessments for the first couple of years I was freelance. It was good to learn how the whole thing worked and to educate myself a bit about what expenses I could use.<\/p>\n\n\n\n But just the stress of it, I wish that I\u2019d done that earlier.<\/p>\n\n\n\n Is there anything else that you\u2019ve learned has become invaluable for your freelance career that you wish you\u2019d done earlier?<\/p>\n\n\n\n I wish I\u2019d been able to say no to work that wasn\u2019t very lucrative.<\/p>\n\n\n\n Sometimes there are things that are going to look really good on your CV but don\u2019t pay the bills. They can take up a lot of time and actually, it\u2019s not worth you doing it. And it\u2019s hard to say no to those things.<\/p>\n\n\n\n But actually, when I look back, they\u2019ve caused a lot of stress, a lot of sleepless nights, and I\u2019ve been paid pittance.<\/p>\n\n\n\n So yeah, I think learning to say no to those things and finding those more lucrative contracts that almost pay the bills, and then you have the freedom to say yes or no to those other things.<\/p>\n\n\n\n I call it the gold or glory balance.<\/p>\n\n\n\n Because it\u2019s usually the glory where, for me, it will be a TV appearance or something. And you think, it\u2019ll be good for my profile, it\u2019s worth doing. But you can\u2019t let it eat too much into the gold portion of your working day because otherwise the sacrifice is too big.<\/p>\n\n\n\n So I do often have that conversation with myself where something comes in, and I think, oh I\u2019d like to do that.<\/p>\n\n\n\n And then you think, right, is it gold or glory? What am I going to get out of this? What\u2019s my long-term plan, and does it fit? Which sounds very grown up.<\/p>\n\n\n\n It does, doesn\u2019t it? We sound really experienced.<\/p>\n\n\n\n I also think having that network of freelancers who are in a similar field to you really is like gold dust.<\/p>\n\n\n\n I don\u2019t think I could have really survived in this industry without that. Just being able to bounce ideas off each other and go to each other for advice has been really helpful.<\/p>\n\n\n\n I did want to ask you Bex, obviously you\u2019re about to go off on maternity leave. How have you prepared for that as a freelancer? How much time are you going to have off? How are you funding that time off?<\/p>\n\n\n\n Because obviously, you don\u2019t have a company to pay your maternity leave.<\/p>\n\n\n\n It\u2019s pretty terrifying, isn\u2019t it?<\/p>\n\n\n\n For most women, well, every woman that has a family and is a freelancer is going to have to work out how she\u2019s going to pay for her maternity leave.<\/p>\n\n\n\n And the first-time round, when my son Charlie was born, we\u2019d just bought our first flat, and my husband and I had no savings. So, I had two weeks off with Charlie, and then I continued to freelance.<\/p>\n\n\n\n And it was the hardest thing I\u2019ve done in my life. It was the classic baby on one knee, laptop on the other. Vomit down your front but still having to hold a professional interview.<\/p>\n\n\n\n Having had two hours sleep max.<\/p>\n\n\n\n This is it.<\/p>\n\n\n\n I don\u2019t know how people have done it during the pandemic when everyone loved video calls. Because I only got away with it because it was just phone calls, so no one could see the state I was in.<\/p>\n\n\n\n The vomit dripping down your top.<\/p>\n\n\n\n Disgusting. All that breast milk everywhere.<\/p>\n\n\n\n Anyway, I\u2019m not going to gross out the listeners too much. But that was a really hard lesson and one that I didn\u2019t want to repeat with our second.<\/p>\n\n\n\n So luckily, I became a limited company. I think it\u2019s a couple of years now. And one of the benefits\u2026 There are downsides, but one of the benefits was that I could work my socks off and create some cash buffers in the business.<\/p>\n\n\n\n And unlike when you\u2019re a sole trader, where you are paying income tax on all your earnings in one go, when you\u2019ve got a business, you can just keep your reserves in the business.<\/p>\n\n\n\n And then I can now pay myself a salary through my maternity leave, so that I don\u2019t have to survive on, I think it\u2019s \u00a3155 a week you get from the government, as maternity allowance.<\/p>\n\n\n\n That\u2019s not even going to cover your electricity bill.<\/p>\n\n\n\n Which doesn\u2019t\u2026 Exactly. Which won\u2019t cover electricity bills, won\u2019t cover my older son in his nursery. His nursery costs over \u00a31,000 a month.<\/p>\n\n\n\n I understand why so many women end up leaving the workforce because it\u2019s hard to make it work financially, especially if you\u2019ve already got kids. But yeah, that\u2019s been really, really helpful.<\/p>\n\n\n\n And plugging into my network of freelancers, so that all my clients who rely on me know that there\u2019s someone who will take over while I\u2019m gone. I can just really focus on being a mum.<\/p>\n\n\n\n I\u2019m planning to take six months. That\u2019s the longest I\u2019ve not worked since I was a kid, so I don\u2019t know how I\u2019m going to adjust to it. I hope that I love it.<\/p>\n\n\n\n I hope that I don\u2019t go in saying I\u2019ll be calling you up Kate, being, \u201cMy brain. It doesn\u2019t work anymore, my brain.\u201d<\/p>\n\n\n\n You\u2019ll soon get sucked into the lifestyle of coffee mornings and toddler groups and mini music.<\/p>\n\n\n\n Yeah, hopefully. And Julie Deane actually, who was on the show recently<\/a>, she made me laugh, and she gave me a kick up the bum.<\/p>\n\n\n\n She was like, \u201cContrary to what everyone says, your brain doesn\u2019t immediately atrophy when you\u2019re a mum.\u201d<\/p>\n\n\n\n And I was like, \u201cYes. Thank you. I needed to hear that.\u201d<\/p>\n\n\n\n And actually, you know what? Maybe that\u2019s the time to start working on your Croatian booze business.<\/p>\n\n\n\n It\u2019s possible.<\/p>\n\n\n\n Because actually, I know Judy said when she started her company it was out of necessity. She needed to pay those school bills, I think.<\/p>\n\n\n\n So often when you have kids, those are when you have those entrepreneurial moments of needing to start a new business.<\/p>\n\n\n\n The other benefit, I think, of having a limited company is that I\u2019m going to keep paying into my pension while I\u2019ve got my maternity leave.<\/p>\n\n\n\n That was one of the things that I wish I\u2019d done earlier as a freelancer, it took me a good three years to even think about paying into a pension.<\/p>\n\n\n\n I think that it\u2019s a real terrifying prospect for a lot of freelancers that they are sleepwalking towards a financial future which is very uncertain.<\/p>\n\n\n\n Because you\u2019re not in an employee pension scheme, and you don\u2019t want to be relying on the state pension because who knows what that\u2019s going to look like when we all start retiring in 30, 40 years?<\/p>\n\n\n\n There are a lot of these perks that suddenly you do lose when you come out of employment. No more pensions, no more sick pay, no more holiday pay.<\/p>\n\n\n\n So as you said, you do need that financial buffer in place. And yeah, make sure you\u2019re putting into a private pension regularly.<\/p>\n\n\n\n Do you have a certain rule about what percentage of your salary you put into a pension?<\/p>\n\n\n\n I put in \u00a3500 a month. And then, at the end of my financial year, I look at my earnings. If I can top up with a lump sum, I do, depending on how successful that year has been. And that\u2019s worked for me.<\/p>\n\n\n\n It feels funny to be talking about pensions now because the value of people\u2019s pensions have gone down so much with everything that\u2019s going on politically.<\/p>\n\n\n\n But because I\u2019m not planning to retire anytime soon, it\u2019s still a good investment for me because there\u2019s still plenty of time for them to recover.<\/p>\n\n\n\n Exactly. It\u2019s a long-term investment.<\/p>\n\n\n\n I\u2019m a limited company, but you are a sole trader.<\/p>\n\n\n\n What made you decide to stay sole trader? Did you think about becoming a company, or did that not make sense?<\/p>\n\n\n\n Not yet. I think, again, for tax efficiency I\u2019m still a sole trader because I\u2019m part time, so it just makes sense at the moment.<\/p>\n\n\n\n I think maybe when the kids are a bit older and I go full time, I would, at that point, set up a company. But for now it doesn\u2019t really make sense.<\/p>\n\n\n\n But again, I think it\u2019s about getting that advice from your accountant on what\u2019s the most tax-efficient thing to do.<\/p>\n\n\n\n And there\u2019s a threshold, I think.<\/p>\n\n\n\n Once you start earning more than \u00a385,000 you have to be registered for VAT [in the UK], and then you have to be a limited company.<\/p>\n\n\n\n So you reach a point where it\u2019s obligatory that you become a company. Your accountant can tell you. If you\u2019ve got a good accountant, they\u2019ll be able to tell you if your turnover is moving in that direction and that you need to prepare by registering for VAT at that point.<\/p>\n\n\n\n That\u2019s why they\u2019re so useful.<\/p>\n\n\n\n How did you find your accountant?<\/p>\n\n\n\n This is an unusual story. Probably won\u2019t be repeated by many listeners. I met my accountant at a music festival. And this was before he was an accountant.<\/p>\n\n\n\n Where all good accountants hang out.<\/p>\n\n\n\n He was actually a barman at a backstage bar at a music festival.<\/p>\n\n\n\n And this is back in my vodka Red Bull phase. He poured the biggest vodka Red Bulls on the whole site, so I got to know him really well.<\/p>\n\n\n\n That\u2019s how he earned your trust.<\/p>\n\n\n\n We became friends. And then he was, I don\u2019t know how soon after that\u2026 This is 10 years ago. I\u2019m not sure how soon after that he retrained as an accountant.<\/p>\n\n\n\n But I do think that having the solid basis of friendship there meant that I trusted him immediately and also knew that if I didn\u2019t understand something or if I was worried about anything, I could email him, and he would come back to me really quickly.<\/p>\n\n\n\n He also didn\u2019t charge me for queries. I\u2019d heard so many horror stories about accountants who would charge you \u00a350 for a two-minute phone call or a quick email.<\/p>\n\n\n\n And because we had that background of being pals and knowing each other outside of our professional lives, that trust was really important.<\/p>\n\n\n\n But I have to say, when you are thinking about becoming a limited company, don\u2019t forget that your accountancy fees are going to go up astronomically. I don\u2019t think I\u2019d really thought about that.<\/p>\n\n\n\n When I became a limited company, I went from paying \u00a3250 for my end of year accounts to over \u00a31,000 because obviously it\u2019s all the Companies House filings, it\u2019s a lot more arduous for your accountant. Plus, I then had to pay a payroll software company, which is an extra \u00a3200.<\/p>\n\n\n\n So yeah, I think you have to be making enough money in your company to stomach the additional costs if you\u2019re going to make that move.<\/p>\n\n\n\n There\u2019s the higher fees and the bureaucracy attached to it.<\/p>\n\n\n\n But then I think, on the plus side, there\u2019s a reputational gain, in some ways, of having a limited company.<\/p>\n\n\n\n It gives you that image of gravitas and size.<\/p>\n\n\n\n Because some big brands don\u2019t want to work with sole traders. They want someone who has a limited company whose VAT registered, who has all the transparency that comes with being a limited company.<\/p>\n\n\n\n Often that means you are on software too. We\u2019re all going to have to be on software soon.<\/p>\n\n\n\n But if you are a limited company, you\u2019ll usually have a software system, so you\u2019ll invoice at the same time every month. There\u2019ll be a lot more stability and consistency to the relationship.<\/p>\n\n\n\n Having been through all this, Bex, do you think you would ever go back to employment, or are you a freelancer for life now?<\/p>\n\n\n\n Oh God, I don\u2019t know about you. I just don\u2019t think I could ever go back. I can\u2019t imagine it.<\/p>\n\n\n\n So many entrepreneurs say this, that once they\u2019ve run their own company and been their own boss, they\u2019re almost unemployable. And that\u2019s how I feel now.<\/p>\n\n\n\n I never expected to go into business journalism. I was always thinking I was going to write for The Sunday Times Magazine or Style or Cosmo, definitely lifestyle features.<\/p>\n\n\n\n But just because I ended up getting a job out of some work experience at a business magazine, that\u2019s how I ended up in this field. But it\u2019s so interesting.<\/p>\n\n\n\n As you said, you\u2019re just learning new things and sucking up information all the time. Actually, particularly entrepreneurs, these are the people that are keeping the economy ticking and contributing so much to this country.<\/p>\n\n\n\n So, I think we really want to celebrate their stories and shine a light not just on the successes but on some of the real challenges that they\u2019ve been through and how they\u2019ve overcome adversity, so that other people can find it easier when they come to set up their businesses.<\/p>\n\n\n\n Oh, Kate, I can\u2019t wait to hear all of your episodes of this show. That sounds right up my street in terms of approach. I\u2019m going to be tuning in every two weeks.<\/p>\n\n\n\n And thank you so much for stepping into the breach. And best of luck with it.<\/p>\n\n\n\n Thank you, Bex. We\u2019ll miss you, but thanks for handing over your mic.<\/p>\n\n\n\n Wherever you\u2019re listening or watching, subscribe to Sound Advice on Apple iTunes<\/a> here.<\/p>\n\n\n\n We are also on Spotify<\/a> and anywhere else you get your podcasts.<\/p>\n\n\n\n Join our community to share your insights and stories on Twitter @SageIreland<\/a> using the hashtag #SoundAdvicePodcast, on Instagram @SageOfficial<\/a> or in the comments below!<\/p>\n\n\n\n You can check out Kate on her website<\/a>.<\/p>\n\n\n\n You can also find her on Twitter<\/a> or LinkedIn<\/a>.<\/p>\n\n\n\n \n Get your free guide, business plan template and cash flow forecast template to help you manage your business and achieve your goals.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t Join 1.5 million subscribers and get the best business admin strategies and tactics, as well as actionable advice to help your company thrive, in your inbox every month.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t Get expert tips from two freelancers navigating the world of self-employment, covering finding work, getting paid and more.<\/p>\n","protected":false},"author":1161,"featured_media":13091,"menu_order":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"audio","meta":{"_sage_video":false,"post_featured_image_hide":false,"footnotes":""},"categories":[162],"tags":[130,332,153],"business_type":[5],"lilypad":[],"context":[],"industry":[],"persona":[232],"imagine_tag":[230,234],"coauthors":[439],"class_list":["post-13089","post","type-post","status-publish","format-audio","has-post-thumbnail","hentry","category-growth-customers","tag-grow-business","tag-sound-advice-podcast","tag-startup-stories","post_format-post-format-audio","business_type-small-business"],"sage_meta":{"region":"en-ie","author_name":"Bex Burn-Callander","featured_image":"https:\/\/www.sage.com\/en-ie\/blog\/wp-content\/uploads\/sites\/13\/2022\/11\/Blog_Episode-50.jpg","imagine_tags":{"230":"Small business","234":"Start-up business"}},"distributor_meta":false,"distributor_terms":false,"distributor_media":false,"distributor_original_site_name":"Sage Advice Ireland","distributor_original_site_url":"https:\/\/www.sage.com\/en-ie\/blog","push-errors":false,"_links":{"self":[{"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/posts\/13089","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/users\/1161"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/comments?post=13089"}],"version-history":[{"count":0,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/posts\/13089\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/media\/13091"}],"wp:attachment":[{"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/media?parent=13089"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/categories?post=13089"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/tags?post=13089"},{"taxonomy":"business_type","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/business_type?post=13089"},{"taxonomy":"lilypad","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/lilypad?post=13089"},{"taxonomy":"context","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/context?post=13089"},{"taxonomy":"industry","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/industry?post=13089"},{"taxonomy":"persona","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/persona?post=13089"},{"taxonomy":"imagine_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/imagine_tag?post=13089"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/coauthors?post=13089"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Saying goodbye to Bex and hello to Kate<\/h2>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Season one highlights<\/h2>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Getting into business journalism and entrepreneurship<\/h2>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Taking the plunge into freelance work<\/h2>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Working as a freelancer means an unpredictable workload<\/h2>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Finding the right fee as a freelancer<\/h2>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Top tips if you\u2019re just starting your freelance journey<\/h2>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Finding your gold or glory balance<\/h2>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
How to prepare for maternity leave as a freelancer<\/h2>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Putting into your pension when you have a limited company<\/h2>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
When is it necessary to become a limited company?<\/h2>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Meeting your accountant at a music festival<\/h2>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Once you go freelance, you never look back<\/h2>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Bex Burn-Callander:<\/h3>\n\n\n\n
Kate Bassett:<\/h3>\n\n\n\n
Inspired by this small business story?<\/h2>\n\n\n\n
Want to know more about our new host, Kate Bassett?<\/h3>\n\n\n\n
Small business toolkit<\/h2>\n\n\t\t\t\t\t\t\t\t\t
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