Freelancer is a marketplace where employers and employees are able to find each other. The site allows employers to post work for site members who place bids in a competitive tender process. The site also allows members to host and enter contests for which prize money is offered as a reward. Freelancers and employers develop profiles on the site as they offer, win and complete work and write and receive reviews of people they work with or for. In this article, we will see how to make a website like freelancer

1. Choose your business niche

Targeting a niche market is always a good idea. There is no way you can build a product that caters to everyone. Find your specific audience and build your product with their needs in mind.

There are several examples of such an approach: 99designs is specifically aimed at designers, while Fiverr originally positioned itself as a place to get cheap (starting from $5) and fast freelancing services.

2. Decide on a marketplace business model

Deciding how you will attract revenue is crucial before you actually start developing a freelancing marketplace. The business model will, ultimately, dictate the customer journey and the type of user interface you will build for your platform.

All in all, there are about 10 marketplace business models, but the main means of generating revenue include the following:

  • Selling fees:Although this model is believed to be one of the most tricky ones to set up and maintain, it will bring you steady income. Under the “Selling fees” model, you charge a portion of each sale that takes place through your freelancing marketplace. Your options include charging a flat fee, a percentage-based fee, or both.For example, Upwork will charge service providers a 20% fee from the first $500 bill, 10% from every $500,01 to $10,000 bill, and 5% from every billing exceeding $10,000. Freelancers also get charged for an additional number of connections as they bid for Upwork assignments.
  • Subscription model: Deemed best for online marketplaces, this model will enable you to generate revenue in the form of regular monthly, quarterly, or yearly membership payments. The subscription model has distinct advantages over one-time payments since it will ensure that your marketplace is well-sustained even through the most turbulent startup period.It’s always a good idea to include different subscription types with varying sets of featured services. Upwork membership offerings, for example, vary depending on the price and include a different scope of services for individuals, businesses, and enterprises.
  • Payment processing and transaction fees: This model enables you to charge a small fee for every financial transaction that takes place in your marketplace. You get paid for processing membership, vendor earnings, advertising, and listing payments. Simply put, the more payments you process, the better.
    For example, Upwork delivers payment to 170 countries and charges a 3% fee for processing every client/service provider transaction. On the downside, this revenue model is hard to put into practice, and the clients aren’t usually happy.
  • Sponsored features: This can be a featured product or business profiles on the main page of a freelancing platform, or on top of listings. This model allows members to get additional exposure, and may also include mentions in email newsletters and blog posts.
    The sponsored promotions revenue model is widely used by many online marketplaces, and Upwork is no exception. The rates may differ depending on the promotion type and the length of the promotion period.
  • Ads from 3rd party advertisers: This revenue model works similarly to the Sponsored features model but this time it’s the third-party companies who can advertise through your freelancing platform.
    You can use advertising models like: CPI (cost for impression), PPC (pay-per-click), cost per post, and cost per period. You can also leverage ad software like AdSense for ad placement.
  • Payment processing and transaction fees: This model enables you to charge a small fee for every financial transaction that takes place in your marketplace. You get paid for processing membership, vendor earnings, advertising, and listing payments. Simply put, the more payments you process, the better.
    For example, Upwork delivers payment to 170 countries and charges a 3% fee for processing every client/service provider transaction. On the downside, this revenue model is hard to put into practice, and the clients aren’t usually happy.
  • Sponsored features: This can be a featured product or business profiles on the main page of a freelancing platform, or on top of listings. This model allows members to get additional exposure, and may also include mentions in email newsletters and blog posts.
    The sponsored promotions revenue model is widely used by many online marketplaces, and Upwork is no exception. The rates may differ depending on the promotion type and the length of the promotion period.
  • Ads from 3rd party advertisers: This revenue model works similarly to the Sponsored features model but this time it’s the third-party companies who can advertise through your freelancing platform.
    You can use advertising models like: CPI (cost for impression), PPC (pay-per-click), cost per post, and cost per period. You can also leverage ad software like AdSense for ad placement.

Freelancing platforms may also use Sign-up fees or Pay per lead model to attract revenues.

As you can see, these revenue models may target customers, service providers, third parties, or all of the above. As a rule, one model will prevail, although freelancing platforms normally use a combination of several payment models.

3. Finalize your requirements

The project definition stage is a good place to start. Before you jump headfirst into the design and development, you need to understand exactly what is needed. This will save you lots of time and effort in the long run.

4. Design

The next step is to create a visual identity and a user interface for your online freelance marketplace. The UX/UIdesign process

usually includes several stages:

  • analysis
  • wireframing
  • design