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It's all about risk.

It's risky for a business to hire someone to "write code", which is how the average freelancer positions themselves. The act of writing code doesn't necessarily translate to the hiring business being better off than they were before they hired you.

Consultants positions themselves to align with the underlying business problem and recognize themselves as an investment vessel, not an expense. "Ah, so your employees are wasting dozens of hours a week on dealing with this crazy Excel spreadsheet that runs your business? Let's find out how we can put together a solution together that will dramatically lower the time spent fiddling around in cells. A quick back of the napkin calculation... your employees dump about 30 hours into this spreadsheet a week. If you're paying $50 an hour to keep these people on payroll, that's close to $100k a year in spreadsheet overhead. Here's what I'm thinking..."



To add:

If this is a new product project, a firm is simply positioned better than a sole freelancer. Business value stability, and a firm provides the perception of stability.




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