book

Smarter Consulting: How to start up and succeed as an independent consultant

by Mike Johnson

January 2009

Beginner

248 pages

5h 55m

English

Pearson

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Dedication
Be a lion tamer, its saferStar-crossedIndependence: The new, new thingA trickle becomes a streamHave you got a plan?Seven, five or three days a week?Consultant, know thyself!
Could this be you?The multi-tasking megastarHow’s your network?What about money?Home Alone: Creating your workspaceThe perils of partnershipIndependents are really lonersChanging people, changing timesAdding expertiseBring in the professionalsShoulders to cry onCan you smell trouble?How not to fall at the first hurdleKey learning points
The escaping executiveConsultants bail out tooBack-to-work spouse meets downshifterThe graduateThe early retireeKey learning points
What not to waste time overAdminfrustrationInvoicing... and the X-FilesThe production planSet a routineSet the pattern for YOUR work ethicMissing your mates and cabin feverThe partner and the kidsThe social v. business thingTaking time offPlaying the percentage gameKeeping time sheetsNever put all your beans in one tinStaying fitHealth checksHealth and work insuranceSaving for the futureGetting an office supplierFinding professional advice: Financial, legal, ITFinancial adviceLegal adviceBanking servicesIT supportWebmasterOther suppliersInsuranceKey learning points
Selling failure no. 1: You think selling is sleazySelling failure no. 2: You forget to sellSelling failure no. 3: You can’t ask for the orderSelling failure no. 4: ChemistryOh no! Not another logo!Registering your company name and domain nameWhose rules?Confidence is a keywordLearn to ask for the businessHelp your client to help himselfIntellectual property (IP)Key learning points

Sales materials – how much, how soon?Business cardsLetterheadsEnvelopesCompliment slipsThe websiteThe electronic calling card par excellenceLearn to linkThe art of cold calling – don’tGet yourself publishedExcuses to stay in touchHot-topic seminarsPlatform marketing: Conferences and seminarsSamples and show reelsCreating your own networkIf you can’t do it – teach it!Charitable workGifts to goDressing for successKey learning points
Creating your new business policyRules for generating businessWriting proposals that workWhen to chase for the businessMaking the PA your palSetting fees and other money worriesThe variable fee gameMarking-up workRetainer businessExpensesRecovering development costsContracts and letters of engagementWhen the brief changesThe gentle art of quotingEvolving the client relationshipGetting paidWorking with different client groupsThe big corporationsThe big consultantsSMEsPublic sectorNGOsTransnational institutionsDeveloping long-term client relationshipsConflict of interestPaying suppliersAgents and alliancesKey learning points
The solo operatorAlliances, joint ventures and partnershipsHiring staffContracting outShrinking the businessChecking out the marketplaceKeeping up to speedMarketing othersKeeping your cultureHave you lost focus?Changing pricing structuresBecome a guru?Working with the competitionNightmare strategiesBail-out strategiesA final thoughtKey learning points
Can I work from home?Can I have a dedicated work area in my home?Will I have clients visiting my home?Can I create an external access to my home office?Planning your stand-alone office unitPlanning permissionDo I have room to expand?Are there alternative facilities in town – maybe share the costs with others?Fixing up the facilitiesPlay safeDoes it have a view?‘... with one enormous chair’Where do all those office supplies come from?Back to THOSE rulesThe challenge of staying connectedStaying aheadGet professional helpKey learning points
Getting preparedTravelling lightLuggage planningTravelling with clientsTravel rules for independentsGetting the best dealsTo book or not to book?Welcome to the throw-away societyCharging travel timeExpenses on the roadStaying in touch on the roadThe workplace is where you lay your lap-topThe workplace is everywhere no. 1: The airline loungeThe workplace is everywhere no. 2: The hotel lobbyThe workplace is everywhere no. 3: Public placesThe workplace is everywhere no. 4: RestaurantsThe workplace is everywhere no. 5: OPOs (Other People’s Offices)The workplace is everywhere no. 6: RestroomsAn ongoing challengeKey learning points
What do you need to make it?What kind of business suits you best?Sole traderAdvantagesDisadvantagesLimited companyAdvantagesDisadvantagesAre there any other things you need to know?What about networks and partnerships?NetworksPartnershipsGetting in the professionalsAccountantsLegal support and solicitorsBookkeepersBank managersSo what are the ins and outs of business banking?Contracts with clientsWorking contracts with suppliersThe taxman comethVAT (Value Added Tax)National insuranceIncome tax and corporation tax (and other direct taxes such as capital gains tax)What can I claim for?Your legal obligations to the taxmanGetting a bank manager you can work withYou need a loan like a hole in the headSupplies, supplies, suppliesPension plansState retirement pension entitlementHiring staff and subcontract helpAccounting packagesDomain names and intellectual property rightsWorking from home: Claiming expensesTravel – the unromantic stuff you need to knowFamily and the independent consultantCars and other vehiclesDealing with deadlinesBoth sole traders and limited companiesSole traders onlyLimited companies
More competitors and more opportunityTechnology takes overConsulting in the virtual worldStaying up to dateShorter relationshipsSelling to the organisationThe arrival of the portfolio consultantFinally, the independent’s secretKey learning points
Sample Consultancy AgreementNow Therefore It Has Been Agreed as Follows:Article 1 SubjectArticle 2 Duration and terminationArticle 3 Conditions of performance of servicesArticle 4 Copyright/confidentialityArticle 5 Non-competition and unfair competitionArticle 6 CompensationArticle 7 AssignmentArticle 8 NoticeArticle 9 Severance and public restrictionsArticle 10 Governing law and jurisdictionArticle 11 Prior agreements

Content preview from Smarter Consulting: How to start up and succeed as an independent consultant

Chapter . Introduction

As I said in the Foreword, if you are not going to go into this with real energy and enthusiasm, don’t start. Enthusiasm will get you through most things. If you are just doing it for the money it probably won’t work.

There is only one reason for this Introduction, to save you time, money and a load of grief. All I want you to do is quickly work through the short checklist on page 2. If you score under 60, put the book back and go out and seek a different career path.

Be as honest as you can in answering the questions – they are the key to what happens in the following chapters. We get into more detailed questions later in the book, however, this quick test will tell you three critical things about working for yourself: