Category:
Freelancer Script
Fiverr vs. Upwork vs. Your Own Website: Long-Term Profit Comparison for Freelance Entrepreneurs
By Kaushik Sankar Das on Feb 07 2026
The online freelance industry has seen significant growth in recent years. More professionals now prefer to offer their services through a flexible work setting instead of working through a fixed 9-5 schedule. Fiverr and Upwork are two of the biggest players in the online freelance industry. These platforms have transformed the way freelancers connect with clients and offer their services. If you are looking to launch your own online business, you may consider building a freelance platform.
However, with these giants occupying the freelance space, is there still scope for entrepreneurs to build and launch a successful freelance marketplace? In this post we will discuss how building a freelance site like Upwork and Fiverr can actually be a profitable business idea. You can easily build such a platform by using a ready-made freelance marketplace script or software.
Why Build Your Own Freelance Platform
Before we compare Fiverr, Upwork, and your own website, it is essential for you to understand one vital question: why build your own freelance platform at all? It is because the freelance industry is rapidly growing, and it offers you an irresistible opportunity to build a functional and profitable business of your own. As mentioned in a report by Statista, by 2028, more than 90 million professionals in the United States will be working as freelancers. This implies you can leverage this huge gig market opportunity by building your own freelance site like Fiverr and Upwork.
By executing your plan the right way, you can manage a successful business without even having to compete with the existing industry giants.
Benefits of Building Your Own Freelance Platform
Have Complete Control Over Your Business
When you build your own freelance marketplace, you have complete control over the platform features, rules, the user experience you provide, and monetization strategies.
Create a Recognition for Your Brand
Instead of competing with big brands, you can focus on creating a strong brand identity for your own online freelance platform.
Generate Money through Effective Revenue Models
You can generate revenue by activating multiple effective revenue streams, including premium membership, freelancer commissions, transaction fee and more.
Fiverr vs. Upwork: The Freelance Giants
Factors that Make Fiverr and Upwork So Successful
Fiverr
Operates through a Gig-based Structure
Fiverr operates through a gig-based system where users offer gigs or services starting at the price of $5. This platform is an ideal destination for clients looking for affordable services from various industries, including writing, graphic designing, digital marketing, and more.
Allows Users to Enter the Platform Easily
Fiverr does not have any complicated process for users to enter the platform. Anyone can easily enter the site by signing up and can offer their services. Such ease of entry makes it an attractive platform for freelance professionals to start their careers.
Caters to a Wide International User Base
Fiverr caters to a wide international user base. Through this platform, freelancers from around the world can work with a global client pool.
Upwork
Operates through a Project-Based Structure
Compared to Fiverr, Upwork operates through a more complex model. Here, freelancers bid on projects posted by freelancers. Upwork is an ideal platform for freelancers who want to hire professionals for long-term projects. Services offered on this platform include content creation, digital marketing, voice-over services, and more.
Helps Professionals to Earn More through High-Value Projects
Upwork basically facilitates high-value projects. This provides freelancers with an opportunity to earn more. However, this platform also has higher competition, and freelancers have to win a project to make money.
Allows Only Verified Professionals
Upwork implements strong verification processes while allowing users to enter its platform. This strong verification process makes both freelancers and clients feel secure on the platform.
Both Fiverr and Upwork are industry giants, and millions of clients and professionals use these platforms. But this scenario does not imply there is no scope for you to create your own Fiverr-like website and operate successfully.
What are the challenges of Fiverr and Upwork?
Both Fiverr and Upwork offer massive opportunities to freelancers. However, these industry giants too have their own challenges.
Fiverr
Receives Low Revenue Against Transactions
Fiverr runs on small projects. Although the platform facilitates high volumes of transactions, the number of individual transactions is low. This implies the platform needs millions of transactions on the platform to generate good revenue through transaction fees.
Makes it Difficult for Freelancers to Stand Out in a Crowded Marketplace
Fiverr is a crowded marketplace where anyone can offer their gigs. It makes it quite difficult for freelancers to stand out and establish their own identity.
It Involves a High Fees Structure
Fiverr charges a high amount of commission (20%) from freelancers after each transaction is completed. This amount can be very high for freelancers offering lower-priced services. It also discourages experienced professionals who work on high-value projects.
Upwork
There is Too Much Competition on the Platform
Upwork operates in a highly competitive environment where professionals have to bid against one another to win a project. This situation makes prices go down and makes the professionals constantly participate in races to get a project.
It Charges High Platform Fees from Both Freelancers and clients.
Upwork charges high platform fees (more than 10%) from freelancers and clients. This amount can mount up to 20%. Such charges significantly reduce the freelancers’ income over the long run.
Freelancers Have Limited Control Over their Contracts
Upwork's policies restrict the freelancers’ control over the contracts signed on the platform. They have very limited rights to set their rates or decide the terms of payments.
Although Fiverr and Upwork are enormous platforms with millions of users worldwide, they have their own drawbacks. Entrepreneurs can create a successful business platform by addressing these above-mentioned pain points and catering to a user base who are not happy offering their services through Fiverr and Upwork.
Create Your Own Fiverr-Like Website for a Profitable Business
When we analyze the best freelance business model for growth, you need to remember that Fiverr and Upwork do not have to dominate the entire global freelance industry. There is still plenty of scope for startups and entrepreneurs to build their own online freelance marketplace. Here is how you can manage a profitable business by creating a platform similar to Fiverr:
Focus on a Category
Fiverr and Upwork cater to multiple niches. You can make your platform stand out by focusing on a particular niche, such as a particular region or a particular skill. This will attract a large pool of freelancers who do not get enough opportunities in generic freelance marketplaces.
Offer Flexible and Lower Fees
Higher fee structures at Fiverr and Upwork are a matter of concern for many professionals. You can create a highly functional freelance site by using an affordable freelance marketplace script and offer flexible and lower fee structures.
Provide Better User Experience
Although Fiverr and Upwork are popular freelancer marketplaces, they do not provide exceptional user experience. These platforms are highly crowded, have too much competition, and contain spammy profiles. You can offer a better user experience by specializing in a niche, eliminating huge competition and fake profiles through strict verification processes.
Implement Scalable Revenue Models
When you have your own freelance marketplace, you can activate different types of revenue models that bring you the best benefits. You may generate revenue by activating streams like transaction fees, featured gigs, project listing fees, etc.
Final Words
Although Fiverr and Upwork dominate the global freelance industry, there is still ample scope for entrepreneurs to create their own online freelance marketplace and generate revenue through various monetization streams. By analyzing the challenges of these giants and addressing them, you can get a large pool of loyal users and continue to operate successfully in the long run.
At Best Freelancer Script, we offer pre-built freelance marketplace platforms for startups and entrepreneurs at affordable prices. You can create a unique brand and user experience by customizing the features of our software. Connect with us today for a free demo of our ready-to-deploy software solution.
