After my CNA’s article on fractional work went live, I received many LinkedIn DMs, so I’m answering the most common questions in this video.
00:00 Intro
00:37 What is Fractional Work?
01:58 Can It Work Financially?
03:14 Handling Dry Spells
05:24 Do You Need a Big Network?
05:59 Set Up a Company or Operate Individually?
06:29 How to Land Your First Client
07:35 What If a Client Wants You Full-Time?
08:11 Retirement & Exit Strategy
09:06 Which Industries Work Best?
11:51 How to Price Yourself
If you prefer, here is the written summary:
So a couple of weeks back, I published an article on Channel News Asia about fractional work, and it opened a floodgate of inquiries. I’ve received numerous questions via LinkedIn and even had face-to-face meetings about it. This prompted me to think: why keep repeating myself when I can just create a comprehensive resource? And that’s how this blog post came about.
Introduction to Fractional Work
Fractional work might sound new to some, so let’s first clarify what it entails. Think of it as part-time work within an organization, but at a more senior level. It’s different from being a consultant because a fractional professional isn’t just advising; they’re rolling up their sleeves and doing the work. This approach often includes reduced hours, making it distinct from typical full-time roles.
Financial Viability of Fractional Work
One of the biggest questions I’ve received is about the financial sustainability of fractional work. Can it work financially? The answer is yes, but with caveats. My earnings in this field have fluctuated, sometimes dramatically. It’s crucial to be prepared for periods of instability, where assignments might end sooner than expected. Retainer agreements help provide some stability, but the market dictates that you remain ever-vigilant and hunt for new opportunities.
Handling Dry Spells
Dry spells are a reality in fractional work. Personally, I diversify my income sources. Besides fractional assignments, I engage in project work, content creation, co-hosting podcasts, and even enjoy some royalties from my book. Leveraging personal branding has been pivotal in my success, helping me build pipelines of assignments and opportunities rapidly.
Networking and Setting Up Shop
Is a big network a prerequisite for success in fractional work? A substantial network helps, but isn’t mandatory. Various directories and communities, such as Portfolio Career Asia, support executives in finding opportunities and learning more about this career path.
Whether you need to set up a company or can operate as an individual depends on client preferences. I chose to incorporate a private limited company, which I found to be a cleaner arrangement. However, there’s flexibility here based on individual circumstances.
Landing Your First Client
My first client found me after I put out a call for opportunities online. The strength of a niche focus and a strong professional reputation brought further business my way. When well-established in your area of expertise, word-of-mouth can be a powerful tool.
Choosing Independence Over Full-Time Offers
What if a client wants to convert you to a full-time role? It’s a personal choice. For me, the independence and flexibility offered by fractional work outweigh the security of a full-time position. It allows me to explore different opportunities freely, maintaining a diverse and dynamic career.
Industry Suitability and Retirement
Not all industries are receptive to fractional work. Founder-led businesses or those setting up shop in new locations, like Singapore, tend to be more open. It’s essential to find industries where your expertise gives you a competitive edge.
As for retirement, fractional work is less about planning an exit and more about lifestyle. It prioritises time and personal growth over relentless career ambition, a choice that aligns with my middle-aged priorities.
Pricing Yourself
Pricing in fractional work isn’t straightforward due to the lack of standard benchmarks. Initially, I based my rates on market rates for full-time roles and adjusted based on demand. It’s about finding a balance between supply, demand, and your unique expertise.
I hope this blog post answers some of the burning questions about fractional work. If there’s more you’d like to know, feel free to ask in the comments. Thank you!
