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I've gone 'all temp'

Forget employees. These businesses rely entirely on freelancers. That means no taxes, unemployment insurance or labor regulation.

Keeping costs low

gabe munoz temp
  • Entrepreneur: Gabriel Muñoz
  • Company: HireBilinguals
  • Industry: Staff recruiting
  • Freelancers: 3

It's all about reducing cost. As everything becomes more global, competition keeps driving prices down. We have to keep up.

I work for Kansas City's Hispanic Chamber of Commerce, and I run a recruitment business on the side. When I noticed that many companies were calling into the chamber looking for bilingual job candidates, I saw an opportunity to launch a company that finds and recruits them.

With very little startup capital last year, I turned to freelancers online to build my website and serve as recruiters.

Now a programmer in the Czech Republic maintains my website working 10 hours a month. She's quick and understands what we're doing.

Another freelancer interviews candidates, and a third does resume consulting. Both of them have babies and want to work from home, so the arrangement works out for them.

All the labor will cost me only $10,000 this year.

It frees me to do what's more valuable with my time: looking for clients.

Editor's Note: An earlier version of this story included The Marketing Zen Group and CEO Shama Kabani. It incorrectly identified her employees as freelancers. The company maintains a virtual office and employees work from home. However, they are not independent contractors, and Kabani does indeed pay taxes on their labor.
- Last updated March 21 2013 09:33 AM ET