Freelancer Vs. Entrepreneur Vs. Consultants. Are They Interchangeable?

When I say I’m an entrepreneur, some ask “What type of consultant are you?” “Since you are a freelancer and do your own thing, you’re an entrepreneur right?”

Since I’m a freelancer, can I really call myself an entrepreneur? Since I’m an entrepreneur, can they really say that I’m a consultant? Can you really be considered all three at once? Maybe? Maybe not?

The difference between being an entrepreneur and freelancer?

• Entrepreneurs have automation, systems and employees that work in their businesses that they created without their direct involvement.
• Freelancers exchange time for money (but you accept a job at a rate that you charge, which is more than a traditional job).
• The difference between the two is time.

The difference between being a consultant and freelancer?

Being a consultant, the work takes place as part of a long term ongoing agreement. Consultants work on-site for the client, and sometimes are called independent contractors. In addition, if the consultants use the client’s tools, and end up completing more assignments in addition to the main task, there’s a chance you might be considered an employee (or could be hired as an employee in the future).

Being a freelancer, your services have a start and end date with a specific goal in mind (sometimes it’s a few days or a few weeks). It’s your job to take instructions from the client and then go off and complete the work quickly and efficiently. You and the client decide the necessary timeline for completion. You control how the job gets completed (as long as it’s done when within the time frame you and the client agree on). Once the project is finished, your relationship with the client ends until the next project comes along.

Freelancer

For example, I wrote an article on receiving a freelancer assignment the day after signing up for upwork (and how I did it).

According to the Merriam-Webster Dictionary: a freelancer is “a person who works independently, selling work or services by the hour, day, or job, with no intent to pursue a permanent or long-term commitment to any single employer.”

I told the person hiring me my rates. I ended up doing 15 hours of work (because I kept track of it), so I was paid for doing 15 hours worth of work (mostly in my pajamas).

The key about being a freelancer is this. You get paid by an hourly wage, BUT when you start and finish the assignment depends on the arrangements that you set up.

When I stop receiving assignments, I stop being paid. When the client needs me again, they will get in touch.

Freelancers get paid for their work. If you’re a freelancer copywriter, you get paid when you work.

According To Daniel DiPiazza and other heavy hitters, freelancing is an essential step in the entrepreneur’s journey. You have to learn how to find clients, talk to them and get them to pay you. You have to learn how to develop skills and ideas and test them in the marketplace. And freelancing is great, because for all intents and purposes, you can get started immediately.

Consultant

Consultants give professional or expert advice, generally to executives about their companies so they select the best way to proceed forward. According to American Express, consultants may come in and evaluate how a company can streamline their production efforts or render a professional opinion on an accounting audit.

Consultants and freelancers have similar backgrounds (with different titles obvs). Both are their own bosses for projects working for various clients as projects are assigned to them. Freelancer’s work is more in likely done at home, in the library or in a coffee shop. Most consultant’s work is done outside the home.

Consultants may also have some W2s & 1099s to show for their work at the end of the year.

Entrepreneur

Question #1 “Is the business sustainable and can survive after you are gone?”

If the answer is “Yes”, you are an entrepreneur.

Question #2 Business+ Capital +Products + Customers = Entrepreneur.

Do you have a customer problem and a product that solves it? Do you have a service?

If the answer is “Yes,” you are an entrepreneur.

Question #3 is: “If I take myself out of the loop, does the business still work?”

If the answer is “Yes,” you are an entrepreneur.

A recent example? I have been absent from my ventures because of health issues.

One of my companies I’m involved with, actually created another company while I was sick as a dog, puking my guts out from surgery! This same company was creating apps in my absence. Royalti Virtue was still making music without me being there (in fact they are updating the studio without me being there).

So if you can remove yourself from the company, yet the company still book clients, and performs it’s services or sells it’s products without you being there, guess what? You’re an entrepreneur.

Entrepreneurs use other people’s money to build a business bigger than themselves so that they can get paid when they hang out with friends, sleep or whatever.

Hello! I’m Alesha! I’m a musician, actress, entrepreneur and writer and recent hospital patient (I still can’t believe that is real). Follow on Twitter. If you like what I’m writing, give me a heart and share! :) I like hearts. Let me know what you want me to write! Click here!