I know it’s bi-polar of me to say this when it was only yesterday that I wanted to *stay* in Germany.
Germany is still a very nice place to live, but today I was reminded why I want to leave. We did some accounting for my freelancing business and…
The German freelancing rules make it stressful to stay. Mainly because I can only earn 80% of my income from one client, which means I need to have more clients or turn down work from my biggest client to cap my income.
Currently I have 2 big clients. Client A and Client B.
I started working with Client A four months ago. We had cultural differences that have since been resolved. They give me fun projects that don’t really feel like work. I do the work, keep track of my hours, and send them monthly invoices. Lately I’ve been earning less from them because I’ve been focussing more on Client B.
Client B is a chaotic, high maintenance client with very boring work. But I put up with them because they pay well and I basically get to work with my friends. I thought I would lose them as a client next year, but I was wrong and everything looks fine. While I bill Client A by the hour, I generally bill Client B by the *day*.
In the last month and a half that I’ve been working with Client B, I’ve wracked up MORE THAN DOUBLE what I made from Client A for the entire 4 months!
So far my income for the year is 33% Client A, and 67% Client B. With a lot more work coming from Client B soon.
I knew this would happen.
My solution is to subcontract Client B projects through a fellow freelancer who has a company that’s not based in Germany (hey, I want to do that!). I’ve already spoken to fellow-freelancer about it. She’s fine with it and we’ve even signed a contract together. Understandably, she will take a cut from all projects that run through her company.
I’m totally fine with that. What I don’t like is the fuss of it all.
Freelancing is a lot of pitching, sending quotes, invoicing, following-up with invoices, following up with quotes. It’s enough for me to do this directly with my client (which consists of several different people), let alone involving a 3rd party so we can keep everything straight.
All of these issues could be solved by me leaving Germany to set up a Limited company in another country with different rules.
Which is exactly what I want to do, and SOON!!!!!!