Recession Tips For Web Designers

For web designers, there are four keys to surviving bad economic times: do good work, charge a fair price, lower your overhead, and be sure you are communicating with your client. As a reader of 24 ways, you already do good work, so let’s focus on the rest.

I know something about surviving bad times, having started my agency, Happy Cog, at the dawn of the dot-com bust. Of course, the recession we’re in now may end up making the dot-com bust look like the years of bling and gravy. But the bust was rough enough at the time.

Bad times are hard on overweight companies and over-leveraged start-ups, but can be kind to freelancers and small agencies. Clients who once had money to burn and big agencies to help them burn it suddenly consider the quality of work more important than the marquee value of the business card. Fancy offices and ten people at every meeting are out. A close relationship with an individual or small team that listens is in.

Thin is in:

If you were good in client meetings when you were an employee, print business cards and pick a name for your new agency. Once some cash rolls in, see an accountant.

If the one-person entrepreneur model isn’t you, it’s no problem. Form a virtual agency with colleagues who complement your creative, technical, and business skills. Athletics is a Brooklyn-based multi-disciplinary “art and design collective.” Talk about low overhead: they don’t have a president, a payroll, or a pension plan. But that hasn’t stopped clients like adidas, Nike, MTV, HBO, Disney, DKNY, and Sundance Channel from knocking on their (virtual) doors.

Running a traditional business is like securing a political position in Chicago: it costs a fortune. That’s why bad times crush so many companies. But you are a creature of the internets. You don’t need an office to do great work. I ran Happy Cog out of my apartment for far longer than anyone realized. My clients, when they learned my secret, didn’t care.

Keep it lean: if you can budget your incoming freelance money, you don’t have to pay yourself a traditional salary. Removing the overhead associated with payroll means more of the budget stays in your pocket, enabling you to price your projects competitively, while still within industry norms. (Underpricing is uncool, and clients who knowingly choose below-market-rate vendors tend not to treat those vendors with respect.)