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Advice on getting started as a VA

On a VA forum recently a new VA was asking for advice on getting started. She’d outlined her experience and then went on to say she didn’t want to start her own business but work for someone else, building up enough experience to pick up jobs here and there.

My immediate thought was that this lady didn’t really understand the nature of being a Virtual Assistant. And this may well be as a result of articles online that continue to promote that VAs are employees of agencies. The reality is that they are not. Employees are virtual workers or remote workers, but they are not Virtual Assistants. Wikipedia gives a good general description of what a VA is, but so do many of the VA networks out there. Anyone engaging a VA needs to understand that VAs are self-employed and are responsible for their own taxes, insurances, computer equipment, software, etc. There may be occasions when a client purchases software for the VA’s specific use to carry out work for that client, but in most cases the VA already owns the software being used.

At no time should a client (not an employer) be required to pay superannuation and other insurances, taxation (other than GST or other tax related expenses for running a business), holiday leave or other employee-type expenses. However, clients may find that a VA invoice includes expenses related to carrying out the work required, such as printing, postage, and so on. Below is my response to this new VA in part.

[Name], the very nature of being a VA means you are in business for yourself. If you’re looking for employment then you need to check through employment websites in the hope of finding remote working opportunities.

But seriously, being a VA means you are self-employed. And that means putting yourself out there to get clients (not employers). By that I mean, register with VA networks so you can benefit from their web listings, so clients can find you, and also, so you can respond to their client requests that come through. The network that owns this forum is a good place to start. [name of network provided at forum].

You also need to find online business forums where your target client base may hang out. For example, I support professional speakers, authors and photographers so I participate in their discussion forums at LinkedIn but also Facebook and other places.

And you need to let people know on a local basis what you’re doing. That means going out to local business networks to meet local business owners, carry business cards around with you, speak to anyone and everyone. My very first client came through church, the second through a personal friend (who referred me to a company needing my support) and it grew from there.

While the opportunity may be there for you to sub-contract to other VAs the reality is that this will happen only if you spend time getting to know other VAs through their forums, conferences and other activities so that they can learn you’re the ideal support for them. That does take time too. Either way, you do need to be actively networking in a number of ways so people know you exist.

If you’re a new VA or wanting to become one, what questions might you have about getting started? Share them here in the comments.

Kathie M Thomas

How many clients should you have?

Getting your first client is an exciting thing, but scary also, and can take quite sometime to achieve. However, it is not time to relax after gaining this client. You need to continue marketing and find other clients and as each one comes along it gets easier and easier. You gain more confidence in the way you deal with clients, talk to them or email them, and as you collect both written and verbal testimonials more clients come in your direction.

It is important you work out how much work you can handle and how you are going to spread the workload, whether it is one main client and several smaller ones, or perhaps 3 or 4 of equal or similar amounts of work on a weekly or monthly basis.

However, it is also important you don’t settle for one client. If you find the one client is keeping you busy fulltime it might be better to find someone you can outsource some of the work to, or perhaps engage a part-timer to work with you, so that you are free to take on more work. Why would you do this? The main reason is that the tax department can, and most likely will, interpret your one client as an employer because they are supplying more than 80% of your income*. This can have an effect on items regarding tax and taxable expenses, insurances, superannuation, etc and who should be paying them – you, or the client (employer)? And the client may get a rude awakening too.

Another reason is if you lose the client for whatever reason (they die, they drop their business or lose it, etc) then you also lose all of your income.

You should spread your income across a number of clients so that any client loss means that income loss is kept to a minimum.

Be aware that not everything written on the web about what a Virtual Assistant is or isn’t, is true. If it’s written by someone who isn’t in the industry, then take note of the good points (how you might help a client) but be cautious about taking their advice on how you should be running your VA business or what you should be charging. Better to align yourself with those who are established in our industry (by at least 5 years) and read what they’ve got to say.

Don’t allow potential clients to take up a lot of your time to find out about your services and then flatten you by saying your rates are too high. Only give the time you are prepared to spend without being paid, and if you get the client, then that’s a bonus. One VA I heard recently spent an hour and a half telling the client what she could do for them, only to have them say they wouldn’t pay her rates and wanted her to lower them. There will always be ‘shoppers’ and over time you’ll get to recognise them. If you are confident in your abilities and that the rates you’ve set are right for your business, then it’s easier to respond accordingly.

How many clients do I have? I have over 20 on my books at the moment. But only a small number are daily or weekly. Others are monthly or ad-hoc, although reasonably regular. I do keep in touch with all of them on a regular basis to see how they are, to ask them about projects they might have mentioned in the past, and to let them know I’m there if they have a need.

Kathie M Thomas

Full time job as a Virtual Assistant (VA)

This week I saw a post where someone has posted a ‘job for a fulltime Virtual Assistant’.

Before any of you get excited, let me tell you why this is not a good idea.

First and foremost, Virtual Assistants are business owner/operators – they provide a service to other business owner/operators. Several – not one. If you are in the situation of having only one client, then the tax dept in your country could see your working relationship as that of employer/employee which can open a whole can of worms regarding tax, insurances, sick leave, annual leave and so on. Your clients don’t want to find themselves suddenly responsible for all of those things and you don’t want to find yourself in a situation where you’re classed as an employee and not able to claim for tax expenses or having the flexibility you thought you had.

Also, should something happen to that client you’re suddenly without an income. Didn’t you leave a ‘job’ so you could build a business and have flexibility in your working arrangements?

No client should be providing all or most of your income – it’s not a good place to be in. Believe me, I know, as I’ve had it happen to me. Not that any client was deemed an employer, but more that I suddenly lost a large chunk of income when a ‘major’ client moved on, for whatever reason (one died, one retired, another moved on).

The person who posted this role informed me that they have several ‘virtual workers’ in different categories working fulltime for them and that their Accountant is ok with that – they’re not classed as employees. She also told me that any of the virtual workers were welcome to take on other clients as long as they did her 40 hours of work a week – she didn’t mind when it got done.

I don’t know about you, but to me that’s akin to working a fulltime job and then running a business on the side. Who wants to work more than 40 hours a week if they can help it? And they’d have to be doing at least 80 hours a week before this ‘client’ no longer became their main income provider.

Perhaps there’s something in the US tax laws that I don’t know about, but it still seems to me that if this person is engaging people for 40 hours a week, no matter what she might call the role, it is still having an employee – doesn’t matter if they’re not on her premises and they’re working remotely from elsewhere.

All I’m saying is – check with your Accountant (and all service providers running a business should have one) and find out about your relative tax laws, especially relating to portions of income and contractor’s arrangements, and make sure you’re not making things difficult for yourself, and a well-meaning ‘client’. It is your responsibility to be informed of the facts and ensure that you run your business accordingly. Don’t depend on hearsay from someone else.

So, if you see posts and advertisements out there for a ‘full time VA’ please know that the person posting the advert does not really understand our industry at all and are more than likely wanting a fulltime remote employee – or perhaps might wish to consider engaging 3 or 4 VAs so they’re spreading the load and capitalising on each VA’s skills and experience.

Kathie M Thomas

Advice on getting started as a VA

How many clients should you have?

Full time job as a Virtual Assistant (VA)

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