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How to Grow Your IT Career with Independent Contracting

October 4, 2024

A group of five people standing in a circle with their hands stacked in the center, smiling and looking up at the camera. They are outdoors on a sunny day with a clear blue sky in the background, dressed casually.

Switching from full-time IT work to independent contracting is a big change. If you want to increase your income and freedom, having a plan for achieving it is a good starting point.

In this article, we’ll cover the steps needed to navigate this career shift. Learn how to prepare yourself for long-term success as an independent IT contractor.

Step 1 – Evaluate Your Skills

Assess your readiness. Decide whether you are ready to start working as an independent contractor.

Clients expect high levels of competence. You need to meet or exceed their expectations to make it as a contractor. Many contractors have five years or more of work experience before going into business for themselves.

Even with experience, continuing education is important. Take courses and add more certifications to your resume. Expanding your abilities can also increase your earning potential.

Step 2 – Financial Planning

Create a financial plan. You may find yourself with periods of low to no income when working as an independent IT contractor.

Save at least six months of living expenses. This gives you a buffer to help manage the months with less pay. You’ll also need to budget. Consider personal and business expenses.

IT young professional working on a laptop in a office.

Step 3 – Legal and Administrative Setup

There are certain legal aspects to the contractor business setup process. You’ll need to consider your legal and administrative framework.

Common choices for IT consulting in Melbourne include operating as a sole trader and establishing a company. Your choice comes with certain tax implications.

You may need to charge clients GST and maintain detailed records. Mistakes can be costly.

Using services from an umbrella company can help as they handle the administrative and legal details. This helps you focus on acquiring clients and doing your job to the best of your abilities.

Step 4 – Build a Portfolio

Use a portfolio to help clients assess the quality of your work. Let them learn more about your qualifications to decide if you are the right fit.

You can host the portfolio on a personal website or an online platform such as LinkedIn. It’s your professional showcase.
It should include:

  • Education
  • Certifications and awards
  • Employment history
  • Case studies
  • Client testimonials

Update these details regularly. An out-of-date site may cause you to miss out on potential contracts.

Step 5 – Generate Leads

Work on generating leads after updating your online presence. Look for contracts that match your credentials.

For a gradual transition to contracting, take on small jobs before making this your full-time job. This lets you build your client base without extra financial pressure. You can retain your current income while slowly taking on more clients. As your client list grows, you can begin to line up a steady stream of contracts.

Attend Industry Events

Networking is a good way to connect with clients. To start networking, attend local IT events in Melbourne.
Conferences and other events are held throughout the year. This gives you the chance to meet potential clientele and collaborators.

Join Online Communities

Join online communities to connect with clients. You can share advice on IT forums and social media groups. Topics may cover industry developments, strategies, and other helpful solutions.
Share your knowledge to showcase your expertise. It may lead to more prospects.

Cold Outreach

Cold outreach requires you to contact potential clients before they express interest in your services. This strategy involves identifying businesses that may benefit from your expertise.

Reach out to businesses through email or LinkedIn. Research the company’s needs and tailor your pitch to show how your IT services can help. You also need to follow up with your leads. Check in with them to keep your services in their consideration.

Try to target small to medium enterprises (SMEs). Smaller businesses often need flexible IT services. Targeting this segment helps you tap into a market with plenty of demand for IT solutions.

Join a Professional IT Community

Partnering with a professional IT community can simplify many of the processes involved in IT contracting. Umbrella Club helps you expand your professional network, connecting you with clients, partners, and fellow contracting experts whilst taking care of the legal and administrative responsibilities, allowing you to focus on your work.

Step 6 – Manage Client Relationships

After acquiring clients, you need to keep them. Work on maintaining strong relationships to retain more clients.
Always make sure that both you and the client are on the same page. Define what’s included in the project.

IT career growth at Umbrella Club events

Become an Independent Contractor

If you want to pursue IT contracting in Melbourne, you should first assess your skills and get your finances in order so you can make the transition with as little stress as possible. Remember to consider working with an umbrella company.

The team at Umbrella Club is ready to help you grow in the field of IT consulting without the usual hassle that comes with managing a business.

Learn more about becoming a member.

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