Starting a Consultant Business
By Charles Hopkins
Published 10/23/2007 | Entrepreneur
If you are tired of working for someone else, why not start a
consulting business and get paid more for the same skills your boss
pays you for now. Starting a business is definitely not for everyone,
but if you have the courage, the rewards are great.
Before you take the leap into full time consulting it is best to
straddle between your full time job and your new part-time consulting
business until you feel you are able to stand on your own. It is almost
always best to ease into your new business rather than starting from a
standing start. Unfortunately, some people due to an abrupt job loss
dont have a choice. It will usually take at least 6 months to start
seeing any decent volume of business.
One thing you should do before you start your new consulting
business is to be sure you have at least 6 months of savings to cover
your living expenses. There is nothing worse when starting a new
business than having this months bills hanging over your head already.
The decision on whether to work from home or to get an office is
another decision most new consultants struggle with. Most people feel
they need to have an office out of the house to feel more productive.
Also, working from home can lead to many distractions, and might make
you feel less than professional.
One big advantage of working from home, is that you don't have to
pay any overhead when you are first starting out which can be a big
savings for early struggling businesses. Don't let your ego get in the
way of this decision. Some people stereotype working from home as lazy,
but some people have managed to run million dollar consultant
businesses from the comfort of their homes.
Another advantage of working from home is that all space and equipment used for business can be tax deductible.
Once you make the firm commitment to start your business you must
make sure it is legally structured. You can do this online or find an
attorney. By consulting an attorney you can find what type of business
structure will work best for you (LLC, C corporation, etc.)
Another great reason to ease into consulting is that most of your
business will come by word of mouth and networking. While still working
full time start to identify and become familiar with people you think
can lead you to many contacts to help get your business started.
By easing into your new consulting business you can set yourself up
for success. Give yourself time and lots of confidence and you will