May 2023 Income Statement
I really love this build-in-public stuff, so I suppose it's my turn to share...
$22,390 in collected revenue for May. It's one of my better months for sure. I'm a solo web agency (aka "freelancer"). Zero employees, zero contractors.
This income is comprised of a couple retainer clients, new website projects, and hourly requests from existing clients. One thing that boosted my numbers in May was offering new clients two payment options: 1) Pay 50% down, 50% to launch -OR- 2) Pay 100% upfront for a 15% discount.
I was surprised how many people took option 2. Unfortunately now I'm left with a handful of new projects to finish and very little financial motivation to do so. Funny how that works...
My goal for this summer is to grind less and productize more. I'll keep y'all updated!
Indie hackers selling to indie hackers?
Hi! Love this update - congrats on a big month, and interesting learning re: the upfront payment... I'm going to give that a try! I'm a "microagency" too - I often team up with one partner, but no outsourcing. Like you, I'm also "cursed with the entrepreneurial spirit" - haha - so I'm working on creating a product that makes working with clients easier, specifically geared toward creatives. So I'm trying to talk to other people who do this kind of work, too, to learn more about their process, challenges, etc. (I'm actually a namer, not a designer - so I'm especially interested in chatting with designers.) Would you be up for a chat?
Sure, Liz! Just sent you a message
Thanks for sharing, but as a solo agency, what are your expenses?
Great question! My two big expenses are office rent and salary (I pay myself as a W2 employee). The rest is mostly software subscriptions, digital assets, etc.
A okay, so in practice out of the expenses you’ll also take a net profit, but you pay income tax over it?
I’m unfamiliar with W2 as I don’t think we have that in the Netherlands.
Yea, at least here in the US, there is a tax benefit to paying yourself as an employee. I started doing that last year on the recommendation of my accountant.