Becoming an online consultant can be a thrilling career change, but the experience can also be a little scary. If you're an expert in your field and you want the flexibility of being your own boss and operating online, this career transition is probably well worth the initial stress. Establishing yourself and building up a strong client base take some time, but putting in the work and staying focused will pay off in the end.
[Edit]Steps
[Edit]Leveraging Your Experience and Skills
- Choose a specific consulting field that you're knowledgeable in. To be a successful consultant, you need to be highly skilled in a specific industry or possess expert-level knowledge on a specific topic.[1] You can be a consultant in pretty much any field as long as you have the expertise! For example, if you have years of experience working as a professional accountant, you could easily transition into an accounting consultant position. Consider fields like:
- Accounting
- Advertising
- Communications
- Computer Programming
- Human Resources
- Marketing
- Public Relations
- Taxes[2]
- Zero in on a specific niche within your field. Working within a niche sets you apart from other consultants. Also, marketing is easier if you have a specific skill that people in your industry need or if you can solve a specific problem that many industry professionals experience. For instance, a management consultant might focus on helping businesses with a single process, like inventory management.[3]
- An accounting consultant could focus on a specific area like helping other accountants establish private services online.
- If you have years of top-level experience as a project manager, zero in on a niche within the field, like strategy or operations.[4]
- A software professional with expert-level knowledge of a certain software type can be a consultant for that.[5]
- Use any business-related strengths and skills to boost your resume. Certain types of skills are useful no matter what industry or niche you work in. For example, great communication skills are always a plus, especially if you plan to work with businesses and corporations.[6] Other top-notch business strengths:
- Project management skills: The ability to execute a successful project is crucial.
- Business analyst skills: The ability to break down a business model and provide an analytical summary is extremely valuable.
- Strong Excel/PowerPoint skills: Most businesses and corporations use these programs regularly, so it's important to be proficient in both.
- Lean on self-discipline skills like time management to get rolling. Since you'll be working alone, the early days of your business might feel a bit isolating, especially if you're used to working in an office atmosphere. Being able to manage your time efficiently and stay focused without a boss telling you what to do are crucial skills for a small business owner.[7] You should also be able to:
- Get and stay organized
- Create and stick to a daily schedule
- Set short-term and long-term goals[8]
- Get any certifications you need to operate as a consultant in your field. Getting a certification or license may be necessary in your field, but even if it isn't a certification program can be an excellent way to build in-demand skills that will directly prepare you to do the work in your new career.[9] A certification or license can also help you stand out from your competitors.[10]
- Career boot camps are another great way to learn new skills.[11]
- To outshine your competitors, take the time to get certifications even if they aren't required. For example, if you're a fund-raising consultant, register with the National Society of Fund Raising Executives.
- If you aren’t sure where to find information about certifications in your field, check out executive education courses at nearby universities, or look into special programs offered by professionals in the field.[12]
[Edit]Establishing an Online Business
- Create a professional-looking website for your consulting business. All of your business will be generated and conducted online, so your online presence is crucial! Your business website doesn’t have to be flashy or fancy, but it does need to convey information clearly, look professional, and be user-friendly.[13] To create a website, you can:
- Pay a web designer to create one for you. Keep it simple! You can always upgrade your website in the future once you’re established.
- Use tools like Wordpress or Squarespace to build a simple website on your own.
- Check out the websites of other people who are doing the same thing as you. You can even reach out to them for networking or even informational interviews.[14]
- List your credentials on your website so clients know what you can do. You can’t sell yourself in person, so your website needs to do the heavy lifting for you. Prospective clients should be able to see your credentials on your website immediately. Just listing credentials without elaborating in any way may not get you very far, though! Relay credentials in a way that grabs attention and instills a sense of confidence in your work.[15]
- For example, if you want to be a human resources consultant, don’t say: “25 years of experience and BA in human resources management.” Try something engaging like: “I have a bachelor’s degree in human resources and 25 years of first-hand experience working in the industry. I’ve handled every HR issue imaginable and will help you navigate any company scenario with ease.”
- Don't try to cover everything you've ever accomplished—focus on the key roles and accomplishments in your career that prove you have what it takes to excel in this role.[16]
- Be clear and upfront about your fees and pricing options. First, find out how much your competitors charge for their services so you can price competitively. Then, create a list of your expenses to make sure your rates can cover your expenses. Once you have those figures to work with, decide if you want to charge by the hour, by project, or on retainer. Post this information clearly on your website.[17]
- Hourly fee: Decide on an annual salary and work out how much per hour you’d charge to make that salary assuming you work 2,000 hours per year. Then, double or triple that hourly rate for your fee. For example, a $100,000 salary works out to $50 per hour for 2,000 hours of work. Charge $100 or $150 per hour so expenses are covered.[18]
- Project rate: A fixed amount to complete a specific project within a certain time period. Use the formula for calculating an hourly rate and multiply that number by the estimated number of hours for each project. Since projects will take different amounts of time, direct clients to get in touch directly to finalize the fee. However, if you expect to work on standard projects that take about the same amount of time, you could post pricing estimates for those.
- Retainer basis: A set monthly fee for an agreed-upon number of hours. Use the formula for calculating hourly rate and multiply that by the number of hours you're working for them monthly. A retainer is a guaranteed monthly income, which is great, but your clients may ask you not to work with their competitors, essentially limiting your clientele. In that case, you may need to adjust the monthly rate. For example, you might charge a defense contractor $5,000 per month to access your expertise on how to sell their goods to the military. Your client won't want you to give that same advice to their competitors, so the amount you charge needs to take into account the exclusivity you're offering them.
- Set up social media accounts for your business and actively use them. A social media presence establishes a baseline of credibility for your consulting business. The social media platforms you choose to use may depend on the type of consulting you do, but try to at least establish a business page on Facebook. Blogging on LinkedIn is another simple option that can lend your business some credibility.[19]
- Be sure to include contact information and a link to your website on all of your social media profiles.
- Use social media as a way to engage with your target audience and get these people to your website rather than directly selling your services.
- Register your consulting business if your state requires it. Some states may require you to register as a professional consultant before you can start doing business.[20] You may also need to obtain a federal or state tax ID and some sort of business license, depending on your industry. Go to your state's website for more information and follow any requirements so you're operating legally.
- Find a list of every state website here: https://www.irs.gov/businesses/small-businesses-self-employed/state-government-websites
- Other helpful websites you can check out:
- Learn how to file your business taxes correctly. Taxes can be time-consuming and confusing for a small business owner. Consider hiring a tax professional to help you, at least for the first year, so you can learn the correct process for your state and industry. Also, keep in mind that you can write off most expenses as business expenses! For example, write off expenses like:
- Any televisions, laptops, tablets, and cell phones used for business purposes.
- Office space (even if you work out of your own home).
- Health insurance.
- Office supplies like pens, pencils, notebooks, printer paper, tape, and so on.[21]
[Edit]Finding Clients
- Take on volunteer clients to start building a collection of testimonials. Testimonials, referrals, and recommendations from respected people in your industry are as good as gold for a consultant. Take on a few clients and work for free in exchange for experience, positive testimonials, and future referrals. Post these testimonials on your website and be sure to tell prospective clients who to go to for first-hand accounts of your skills.[22]
- For instance, you can start by offering your services to your friends. This is a great way to get practice and experience in a low-stress environment.[23]
- Unless you're working for a friend or someone you trust, set some limits for the free services you offer so you won't be taken advantage of. For example, put limits on project complexity or length.
- It's fine to start this as a side hustle while you're still working at your full time job. Even if you can only spend an hour a week on your consulting business at first, you have to start somewhere![24]
- Use previous clients and colleagues to generate new leads. When you’re first starting out, many of your clients will come from your previous career. You might reach out to former clients who you had a good rapport with or use previous colleagues as references. Maintain good relationships so you can count on these people in the future.[25]
- For example, ask former clients for testimonials to post on your website.
- Share your consulting plans with longtime colleagues who appreciate your work so they can recommend you to people who need your services.[26]
- After you finish a project with a client, stay in touch! If they loved your work, they may recommend you to others.[27]
- Check out online freelance platforms to connect with new clients. Freelance marketplaces like Fiverr and Upwork can help you find new clients from all over the world. Create a profile and list the consulting services you offer so potential clients can find you. You can also search the platform's database for clients looking to hire someone with your specific skillset and contact them to apply.[28]
- Freelancing is a great way to develop new skills and build a portfolio of experience that you can use to get your dream job or start your own full-time business.[29]
- These platforms usually take a percentage of your earnings for each project, so be sure to research a marketplace thoroughly before signing up.
- Consulting mobile apps like Clarity may also be a good fit for you.
- Use email marketing tools to reach out to potential customers. You don't want to simply build a network of contacts—it's also important to actively communicate with them via email to help you drum up new clients. Emails blasts are a simple way to reach a large audience on a regular basis, and email marketing tools can simplify the process and help you stay organized.[30]
- For example, check out email marketing tools like MailChimp.
- Advertise your services in industry trade journals and magazines. You want to market your services to business owners and professionals in your industry, so advertising in these publications can get your information in front of the right people. This may also lend credibility to your business since these are trusted publications. If you aren’t sure what ad copy to create, start by checking out what your competitors' ads look like.[31]
- For example, a fund-raising consultant could place ads in The Chronicle of Philanthropy, Non-Profit Times, and Fund Raising Weekly.
- This kind of advertising can be pricey, so be sure to ask about advertising rates before jumping into anything.
- Register with a consultancy organization for more visibility. Many businesses turn to organizations like the Institute of Consulting or Interim Management Association (IMA) when they’re looking for consultant services, especially for short-term contracts and industry-specific services. If you’re having trouble finding clients, registering with one of these organizations can be a good way to get your name out there.[32]
- Typically, these organizations charge an annual membership fee to take advantage of their services. Most have certain requirements that you have to meet and there's a small fee to submit an application, as well.
- For example, The Institute of Management Consultants requires professional members to have at least 5 years of experience in management and a Masters Degree in Business.[33]
[Edit]References
- ↑ https://www.gsb.stanford.edu/insights/should-you-become-independent-consultant
- ↑ https://www.entrepreneur.com/article/41384
- ↑ https://work.chron.com/top-consulting-niches-24861.html
- ↑ https://www.gsb.stanford.edu/insights/should-you-become-independent-consultant
- ↑ https://www.forbes.com/sites/nextavenue/2017/10/11/4-tips-to-become-a-consultant-for-your-second-career/#60884435288c
- ↑ https://www.forbes.com/sites/nextavenue/2017/10/11/4-tips-to-become-a-consultant-for-your-second-career/#60884435288c
- ↑ https://www.theguardian.com/small-business-network/2014/jan/24/become-home-freelance-consultant
- ↑ https://www.entrepreneur.com/article/41384
- ↑ [v161304_b01]. 13 March 2020.
- ↑ https://www.entrepreneur.com/article/41384
- ↑ [v161304_b01]. 13 March 2020.
- ↑ https://hbr.org/2017/05/how-to-become-a-coach-or-a-consultant-after-you-retire
- ↑ https://hbr.org/2017/05/how-to-become-a-coach-or-a-consultant-after-you-retire
- ↑ [v161304_b01]. 13 March 2020.
- ↑ https://www.entrepreneur.com/article/78952
- ↑ [v161304_b01]. 13 March 2020.
- ↑ https://www.entrepreneur.com/article/41384
- ↑ https://www.gsb.stanford.edu/insights/should-you-become-independent-consultant
- ↑ https://hbr.org/2017/05/how-to-become-a-coach-or-a-consultant-after-you-retire
- ↑ https://www.entrepreneur.com/article/41384
- ↑ https://www.forbes.com/sites/nextavenue/2017/10/11/4-tips-to-become-a-consultant-for-your-second-career/#60884435288c
- ↑ https://hbr.org/2017/05/how-to-become-a-coach-or-a-consultant-after-you-retire
- ↑ [v161304_b01]. 13 March 2020.
- ↑ [v161304_b01]. 13 March 2020.
- ↑ https://www.theguardian.com/small-business-network/2014/jan/24/become-home-freelance-consultant
- ↑ https://hbr.org/2017/05/how-to-become-a-coach-or-a-consultant-after-you-retire
- ↑ https://www.forbes.com/sites/nextavenue/2017/10/11/4-tips-to-become-a-consultant-for-your-second-career/#31fa190e288c
- ↑ https://www.entrepreneur.com/article/310359
- ↑ [v161304_b01]. 13 March 2020.
- ↑ https://www.forbes.com/sites/steveolenski/2016/01/07/9-tools-you-need-when-launching-a-consulting-firm/#25fa4fc413bd
- ↑ https://www.entrepreneur.com/article/41384
- ↑ https://www.theguardian.com/small-business-network/2014/jan/24/become-home-freelance-consultant
- ↑ https://www.imcusa.org/page/MembershipOptions3
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