Self-employment has plenty of perks, but when the phone stops ringing the stress can kick in. Seasonal dips, unexpected cancellations, or even a quiet patch can leave you wondering how to keep the bills paid. The good news? There are practical ways to safeguard your income and keep your business steady, even when work slows down.
Plan ahead with an emergency buffer
A rainy-day fund isn’t just for big businesses. Setting aside a small percentage of every job into a separate savings account can make a huge difference. Aim for at least three months’ worth of essential expenses. It sounds like a lot, but even £50 a week adds up quickly. This cushion gives you breathing space to fall back on when work dries up.
Consider income protection insurance
If illness or injury stops you working, income protection insurance can be a lifesaver. It pays out a regular amount to cover your living costs until you’re back on your feet. Policies vary, so look for:
- Flexible cover that suits your trade and income level.
- Short waiting periods so you’re not left hanging.
- Clear exclusions (it’s worth reading the small print carefully).
Think of it as a safety net that keeps you going when you can’t pick up the tools.
Diversify your income streams
Relying on one type of job can leave you exposed. Could you offer related services? For example:
- A plumber might add emergency call-outs or boiler servicing if they weren’t part of the original day job.
- A carpenter could branch into bespoke furniture or repair work.
- An electrician might offer smart home installations.
Small changes to your proposition for clients can generate new revenue without huge investment.
Stay visible during quiet times
When work slows marketing often gets pushed aside, but that’s the moment to double down. Keep your name in front of potential clients:
- Post recent projects on social media.
- Ask happy customers for reviews.
- Update your website with fresh content.
Visibility builds trust and trust brings enquiries.
Negotiate better payment terms
Late payments can turn a slow month into a nightmare. Protect your cash flow by:
- Asking for deposits upfront.
- Setting clear payment deadlines in writing.
- Using invoicing tools that send automatic reminders.
It’s not pushy; it’s professional and it’s about making sure you’re paid promptly for what is owed.
Think long-term, not just quick fixes
Quiet spells can be part of the trade but they don’t have to derail your finances. By combining smart planning, insurance cover, and proactive marketing, you’ll create a business that can weather the ups and downs.
At Howden, we’re here to support you whatever business you’re in, while you focus on what you do best; getting the job done.
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This is a marketing blog by Howden.