You can also decide to incorporate, formalize your relationship with subcontractors contractually, and many other things. But those business decisions will depend heavily on your country of origin, local taxation policy, and the legal system that you're setting up agreements under (remembering that many subcontractors will be working internationally). In short: We'll leave the legal details in your hands.
With that in mind, let's look at each step of the process.
Here are the four steps you need to take in order to use subcontractors on Fiverr:
At the end of the day, you're one person. With time and effort, you can make six figures on Fiverr, but it means long hours and constantly managing gigs on the very high end of the platform.
As an example, my SEO writing gigs are on the high end for Fiverr writers - in the 98th percentile on average. At 14 cents a word (in late 2023), writing 16,000 a week for 45 weeks a year, I can gross around $100,000. Fiverr takes a cut, and there are fees and expenses, but it's a great living... assuming you want to do 50 hour weeks for the rest of your life.
In this course, I'll show you the alternative: Subcontracting. By managing other trusted professionals in your field and taking a cut for sourcing, editing, overseeing the work product, and managing customer relations, you have the choice between making more money or working less hours.
Like my other web based courses here, this lesson is completely free. If you would like to thank me, please use my affiliate links for joining Fiverr, for Fiverr's Learn Courses, for joining Fiverr Business, and for becoming a Fiverr Affiliate.
Using Fiverr as an employment pool, you can find more junior people in you field that are starting to build a positive reputation. I would suggest Level 1 and Level 2 sellers for your interview pool. They'll know the platform well and will understand the organization you're trying to build.
You'll need to find enough room between their price and your own in order to make a profit margin. Generally speaking, they'll be making around 60% of the gig earnings and you'll be making 40%. That will vary based on industry of course. For example, if I charge $140 for a 1,000 word article, and Fiverr takes 20%, that leaves $112. The subcontractor would make $67 and I would make $45 for sourcing the work and performing editing. That happens to fall right in line with industry standards for agency and editing fees in the writing field, but you might need to tweak the percentages for standards in your field of expertise.
We'll talk about payment methods in the last section, but don't just order a gig from your subcontractor or you'll be double-paying Fiverr fees! Fiverr gets their money from your gig, not both (unless the subcontractor specifically wants to use their escrow service and benefit from you having the option to give them good reviews, then they'll pay an additional 20% out of their end).
After making sure they're a financial fit, each subcontractor needs to be reviewed for their portfolio, expertise, and quality of work. Remember that anything you aren't willing to do in the review or editing phase needs to be performed by the subcontractor. So you want confident self starters who can work off of a detailed instruction set.
Finally approach the qualified candidates, tell them that you're setting up a Fiverr team, show them the gigs that you do and the reviews you've received, and ask them if they want to subcontract for you. Let them know your expectations as far as their final work product and revisions. Explain plainly how communications work and how the money will be divided up (details on those aspects in the next two sections). Answer their questions, and see if it's a good fit.
The way you communicate with your Fiverr subcontractors depends on whether or not you're a Fiverr Pro.
The reason for this is simple: Fiverr Pros are allowed to communicate with clients and subcontractors outside of the platform. Non-Pros have to use internal Fiverr communications so that everything involving the fulfilment of each gig is recorded.
So non-Fiverr-Pros will be using the internal messaging system and the built in Zoom meeting function to talk to their subcontractors on the platform. Of course if you choose to use non-Fiverr subcontractors, they aren't bound by the Fiverr ToS and might contact you in other ways. Make sure to keep your clients appraised of any developments that happen off the platform, to make those things a matter of record.
Fiverr Pros can work with both Fiverr and outside contractors using external communications software. The easiest way to do this is to set up a Discord server for your subcontractors. You'll have group chat rooms, one on one chat capabilities, voice channels, and the ability to do one-on-one voice or video meetings with your team. It can handle all manner of attachments as well.
Make sure that your client gets a digest of the progress reports that your subcontractors gives you. Part of your job is managing client relations and expectations, so make sure that you give your clients the same detailed updates that you would provide if you did the work yourself.
For all gigs using subcontractors, you will need to be transparent about who is actually doing the work. The best method is to start referring to your team and not just yourself.
For example, you'll find references to 'Bill Ricardi Publishing' in many of my gigs. That consists of myself and my subcontractors. Because I do final edits for all of my gigs to make sure that the quality is up to my standards, 99% of the clients do not care when I tell them that the kind of work they're suggesting would be handled by my team. In fact, most clients are excited to hear that I have a subcontracting team available. It means that they can push a lot of volume my way and not worry about me burning out.
You are responsible for both the Fiverr confidentiality clauses and any additional nondisclosure that you agree with the client. So make sure to get written commitments from your subcontractors on the subject of confidentiality that are appropriate for your country and legal system, and compatible with Fiverr's ToS.
Once your gig descriptions refer to you and your team, make sure any of your portfolio files, videos, or Quick Responses that refer to you specifically as a solo contractor are adjusted as well.
Finally, ask your subcontractors what their preferred payment methods will be. Generally speaking, they will range from bank transfer, to PayPal, to Cash App. If there are associated fees for the method they pick (including currency conversion fees in other countries), generally the subcontractor is responsible for paying those. So they should choose carefully.
Subcontractors get paid when your gig closes. Just like on Fiverr, they're on the hook for whatever level of revisions you agreed on in your subcontracting discussion, if the client gives you feedback that requires some base changes that go beyond your normal editing process. Payment comes after revisions and acceptance.
Keep records and screenshots of your payments in a safe place, and make sure any confidential information is strongly password protected. Should there be any banking issues or confusion as to whether or not someone has been paid, you will need digital proof of the transaction. These records will also be useful come tax time, in most countries.
You've now closed the loop between sourcing the work and completing it using subcontractors. Now you get to make the decision: Will you use the extra time to take on even more work, or will you work less hours? Many Fiverr Pros will take on the big projects themselves, and subcontract out smaller work and subscription gigs that are predictable, and therefore fit in nicely with everyone's availability.
The final step is to leverage BtB arrangements and the Fiverr affiliate program to maximize your profits. Or if you've already read that, head back to the free course hub and see if you've missed anything.
If you would like to thank me for all of these free courses, please use my affiliate links for joining Fiverr, for Fiverr's Learn Courses, for joining Fiverr Business, and for becoming a Fiverr Affiliate.