Ex-java developer and CoffeeSprout founder Barry van Someren joined me on Ditching Hourly to talk about the surprising alignment between “Ditcherville ethos” and the government of the Netherlands.

LINKS MENTIONED

• Barry’s website
• Barry’s LinkedIn
• California Law AB 5

AI SUMMARY

In this episode of Ditching Hourly, Jonathan Stark speaks with Barry Van Someren about his transition from hourly work to value-based services, the implications of new tax laws in the Netherlands for independent contractors, and the importance of having multiple clients. They discuss how these changes affect client relationships and the necessity of shifting to results-based contracts. Barry shares insights on navigating the complexities of government regulations and the benefits of diversifying client portfolios to ensure business resilience.

SOUND BITES

• “I wanted to transition into something that was more predictable.”
• “It’s just refreshing to see that kind of advice from the IRS.”
• “I kind of wanted to make myself less vulnerable to this law.”
• “The IRS and various countries are giving you that encouragement.”
• “If you stay at one place too long, you become stagnant.”
• “Hourly billing is bad.”

TAKEAWAYS

• Transitioning from hourly work to value-based services can lead to more predictable income.
• New tax laws classify independent contractors more strictly, impacting their work.
• It’s essential to define clear results in contracts rather than relying on hourly billing.
• Having multiple clients reduces vulnerability to market changes and legal issues.
• Government regulations can align with good business practices, encouraging consultants to diversify their client base.
• Freelancers should be aware of the risks associated with being classified as employees under new laws.
• Building a strong network is crucial for finding clients and maintaining a steady workflow.
• Consultants should focus on delivering results rather than just completing tasks.
• The importance of compliance with tax laws cannot be overstated for independent contractors.
• Hourly billing is often seen as a less favorable model for sustainable business growth.

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Do you have questions about how to improve your business?

Things like:

• Value pricing your work instead of billing for your time?
• Positioning yourself as the go-to person in your space?
• Productizing your services so you never have to have another awkward sales call or spend hours writing another custom proposal?

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