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A Vendor Management System (VMS) used to find, engage, and manage a global external workforce – including temporary workers, freelancers, contractors, consultants, and service workers.
Best Freelance Management Software 2025
Freelance Management Software is a cloud-based platform that allows an employer to seek, locate, hire, track, complete, and pay for work from an independent contractor all within its system.
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Learn More about Freelance Management Software
What is Freelance Management Software?
Freelance management software, or FMS, is used by businesses to help organize and keep track of freelance workers, independent contractors, and consultants. These tools also help businesses’ relationships with freelancers by assisting with certain aspects such as onboarding, contracts, project management, and payments. Data collection and enhanced communication is another benefit to using FMS.
Today’s workforce offers more remote jobs than ever before. Companies are turning to hire freelancers instead of full-time employees because of the reduced costs and the less commitment it is to hire someone to complete a specialized job for a short duration of time. With companies hiring more remote freelancers, freelance management tools have become more popular and necessary than ever.
FMS tools are cloud-based and can help with freelance search by offering screening, job bidding, and proposal comparison. Most of the vendors will allow you to keep track of the progress of assigned work. These software tools often coincide with the roles of contractor management software, which are also designed to organize and communicate with independent contractors. The industry you are in may determine which route you take. For instance, freelance management software is more commonly used for freelance writers, whereas contractor management software is more commonly used in the construction industry.
Freelance Management Software Features
Freelance management software offers the following capabilities:
Freelancer portfolio screening, resume validation
Talent vetting and recommendations
Internship management
In-platform communication tools (e.g. live chat)
Job posting, job board
Contract management
Talent matching algorithm
Live hiring assistance
Job payment management
Anonymous talent search
Pre-fund accounting
Consolidated invoicing & billing
Secure, encrypted payment system
Custom payments (e.g. milestone payment)
Freelance Management Software Comparison
Consider these factors when comparing freelancer management software:
Company Size: The size of the company should factor in deciding which FMS tool to use. For example, Worksome is best for large/enterprise companies and isn’t necessarily designed for smaller businesses with a small number of freelancers. Make sure the product is suited to handle the size of the business and the number of freelancers you intend to manage.
Ease of Use: FMS software products are designed to make the experience between business and freelancer much easier and more effective. If one party is having a difficult time learning the system, this could greatly decrease efficiency. Make sure the product is easy to learn and simple to use for all involved.
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Pricing Information
Joining or registering with freelance management software can be free, though some services are available on a subscription basis or as a percentage of hiring costs. Costs for basic packages are usually based on the number of users and range from $50 to $400 per month. More advanced services available at higher-priced subscriptions include custom portal and contract management, compliance services, and dedicated account management. These service costs are customized by the vendor. Most vendors offer a free trial prior to purchasing.
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Freelance Management FAQs
How is freelance management software different from vendor management systems?
Vendor management systems connect larger businesses with recruitment agencies, but they are not ideal for hiring freelancers. Freelance management software is typically faster and more flexible than vendor management systems.
What are the benefits of using freelance management software?
Freelance management software allows employers to easily locate and hire freelancers. It streamlines this process to improve productivity and reduce overall costs.
How much does freelance management software cost?
Joining or registering with a freelance management software can be free, though some services are available on a subscription basis or as a percentage of hiring cost. More advanced services available at higher priced subscriptions include custom portal and contract management, compliance services, and dedicated account management.
What is the best freelance management software?
What does freelance management software do?
Freelance Management Software allows an employer to locate and hire freelancers for work. Additionally, many FMS allow employers to track, manage and pay for work performed by their contracted workforce all within its system. Modern freelance management software provides a number of tools for ensuring contractors are the right fit for the job, including portfolio screening, job bidding, and proposal comparison. Most freelance management systems are cloud-based.
