What is a freelancer ? There is no legal definition of this status.
The term first refers to a self-employed worker. They can be sole traders. A freelancer may also run a sole proprietorship, a single-member limited liability company, or a simplified joint-stock company with a single shareholder. Therefore, it is not the legal structure that defines a freelancer. Here's what a freelancer is (and what they are not).
The origins of the term "freelancer"
The term has semantic roots in the 19th century. The first recorded use of the word appears in 1809 in The Life and Times of Hugh Miller by Thomas N. Brown, and then in 1820 in Ivanhoe by Sir Walter Scott. "Free lances" referred to soldiers for hire, distinguished by their main weapon : the lance. So, is the freelancer a mercenary selling their labor to the highest bidder ? No, this independent worker primarily sells skills and expertise. Here's a look at what makes freelancers unique.
The specificities of freelance status
Freelancers are, by definition, the opposite of salaried employees. But that’s not the only distinction. Entrepreneurship, independent consulting, and liberal professions are often confused with freelancing. Here's how to tell them apart.
Freelance contract vs. employment contract
Unlike employees, freelancers are not bound by an employment contract to an employer. They do not sign permanent or fixed-term employment contracts. As a result, their entrepreneurial activity may fluctuate - and so may their income. Freelancers do not benefit from employee advantages such as paid leave or health insurance coverage. However, they enjoy complete freedom in organizing their work. Their relationship with clients is a commercial exchange, not one of subordination. The mission can be governed by a freelance contract or a service contract. This legal document falls under commercial law, not labor law.
Is a freelancer simply a self-employed worker ?
There is no formal legal status called "freelancer." The freelancer falls under the broader category of self-employed workers, which includes various professions. A self-employed person operates independently and on their own behalf. They may be involved in agriculture, commerce, skilled trades, or professional services. Your plumber is a self-employed worker, but not a freelancer. In common usage, a freelancer is a self-employed worker who operates in intellectual or creative fields like marketing, IT, or design. They are closer to what is often referred to as a professional service provider.
Differences between freelancers and liberal professions
A professional working in a liberal profession is an independent worker whose job involves intellectual or conceptual services. Freelancers fall into this category. However, in everyday language, the difference isn't always clear. People often confuse liberal professions with regulated liberal professions, which are governed by professional bodies or associations. Examples include lawyers, doctors, or real estate agents. Freelancers mostly operate in unregulated liberal professions, such as consulting, training, translation, or IT services.
Freelancer and entrepreneur : what’s the difference ?
Is a freelancer an entrepreneur ? Opinions differ. Freelancing is undeniably a form of entrepreneurship. Working as a freelancer means full autonomy : the individual is responsible for developing their activity and generating income. However, some argue that freelancers work for other entrepreneurs, while entrepreneurs create their own business. A freelancer sells their skills, while an entrepreneur sells services. The line is thin, especially when it comes to selling intellectual services. You be the judge.
What are the most common freelance professions ?
Top 5 freelance jobs
Among the most common freelance roles are :
Web or software developer
Web content writer or copywriter
Graphic designer or web designer
Community manager
SEO or SEA expert
Freelance status is expanding across many professions
The rise of freelancing is linked to major structural changes in the world of work. Companies, seeking agility, are shifting toward extended enterprise models. Procurement functions have evolved significantly, encouraging the development of outsourcing - particularly for specialized tasks in professional services. At the same time, the COVID-19 crisis and the search for more meaningful work have driven many employees to create their own independent business and leave behind traditional employer-employee relationships.
Key steps to become a freelancer
Want to start your own freelance career ? Don't skip these key steps:
Define your business vision
Position your service offering
Choose the right legal structure
Register your company
Find your first clients
Working as a freelancer means having multiple clients in order to avoid economic dependency on a single customer. A sole collaboration could be considered disguised employment, which is prohibited in many countries. Economic dependency laws penalize excessive reliance of a subcontractor on a single client. Likewise, case law in labor matters holds that if nearly all a freelancer’s income comes from one client, the service contract may conceal an employment relationship.
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