Embarking on a full-time consulting journey after 20+ years in non-profit higher education has been an exhilarating ride. My consulting clients span educational organizations, corporate clients, and non-profits, each offering unique challenges and rewards. I am still learning and adapting to consulting and not being on campus. If you're considering this path, here's a blend of insights, benefits, drawbacks, and opportunities from my transition into full-time consulting.
The Thrill of Independence
First off, the freedom to choose projects that resonate with your passions and expertise is invigorating. You have the autonomy to shape your destiny, diving deep into projects that matter. This independence demands a high level of discipline and self-motivation. Your success is directly tied to your ability to manage your time, resources, and choose projects wisely. I am always networking with prospective clients and planning many months in advance.
Setting Up: Tasks and Costs
Transitioning to consultancy involves upfront tasks and costs that are crucial for a smooth journey. Establishing a legal structure for your business, setting up accounting and tax systems, and investing in marketing are foundational. These initial steps, while daunting, set the stage for your business's future growth and stability.
Here's a breakdown of some common expenses you might encounter:
Legal and Administrative Costs: These include the costs associated with registering your business, obtaining necessary licenses or permits, and potential legal fees for drafting contracts or consulting agreements.
Office Space and Utilities: If you choose not to work from home or if your consulting work requires a professional setting for meetings, you may need to rent office space. This cost includes rent, utilities, internet, and phone services. Remember you can also claim certain home office deductions on your taxes.
Technology and Software: Investing in a reliable computer and necessary software is crucial. Depending on your field, you may need specialized software for data analysis, design, project management (e.g., Asana, Trello), accounting (e.g., QuickBooks), and communication tools (e.g., Canva, Zoom, Microsoft Teams).
Website and Marketing: Creating a professional website and investing in marketing are essential for attracting clients. Costs can include website design and hosting, logo design, social media advertising, and business cards.
Insurance: Professional liability insurance and, if applicable, general liability insurance are important to protect your business against potential legal actions.
Professional Development: Keeping your skills up to date is vital in a consulting business. This might include attending workshops, obtaining certifications, or subscribing to industry publications.
Travel Expenses: If your consulting work requires travel to client sites, you'll need to budget for transportation, lodging, and meals. While these costs can sometimes be billed to the client, you may need to cover them upfront.
Equipment and Supplies: Depending on your area of expertise, you might also need specific equipment or tools.
Networking: Costs associated with joining professional organizations, attending conferences, and networking events can contribute to your startup expenses but are crucial for building relationships and attracting clients.
Navigating the Financial Ebb and Flow
Consulting brings financial peaks and valleys. The variability in income was something I had to adapt to quickly. Budgeting becomes your best friend, helping you navigate through lean periods without panic. Diversifying your client base can also buffer against financial dry spells, ensuring a steady flow of projects. I have brought on additional consultants in the past six months and our work has only increased, not decreased, as a result.
Expanding Your Horizons
The opportunities for growth and learning in consulting are boundless. You'll encounter a diverse array of projects, each with its unique set of challenges and learning curves. This exposure not only sharpens your expertise but also broadens your professional network. Building relationships with clients leads to repeat business and referrals, which are invaluable for a consultant.
Cultivating a Community of Support
Joining a network of fellow female consultants was a transformative experience for me. The wealth of advice, guidance, support, and knowledge shared within this community has been priceless. A wise member of our group eloquently noted that the abundance of opportunities means we're not competitors but allies, celebrating and bolstering each other's successes.
So, do I miss the dynamic atmosphere of being on-site, at the helm of a large team?
Absolutely! Yet, I've discovered profound fulfillment in guiding other executives as they recruit and cultivate strong teams, enhance their performance, lead organizational transformations, achieve strategic goals, foster healthy workplace cultures, and drive employee engagement. Even from this vantage point, I continue to act as a transformational leader, making significant impacts in new and meaningful ways.
While the path of consultancy is laced with challenges, the rewards of autonomy, diverse experiences, and personal growth are unparalleled. If you're venturing into this world, embrace the journey with an open mind and a resilient spirit. The opportunities are vast, and with dedication, you can carve out a successful niche for yourself in the consulting world. Here's to your success as a small business owner in the consulting arena!
Interested in setting up your own Consulting or Coaching business?
I provide Executive Coaching to professionals interested in starting their own consulting or coaching side gig or full-time business. See my Coaching Services page formore information and transparent pricing.
PS: I often get asked why I named my company- Glass Half Full? The simple answer is that it represents my outlook on work and in life. On a deeper level, it reflects a mindset that focuses on the available resources, opportunities, or positive aspects of a situation, rather than what's missing or the negative aspects. Check out the full blog about the genesis of the name!
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