Starting a Technology consulting business

You can still be successful with your consulting business, but it's going to take a little planning.
The days of just throwing out your shingle and charging $120 per hour are long over. In this market you have to work as hard on the business as you do in the business. The first step is to define your competition. You need to understand who they are, what they're doing, and how much they're charging. This can be particularly difficult for computer consultants that work on very small businesses and residential or home office computers. This market is saturated almost everywhere with technicians with only a year or two of experience charging as low as $25 per hour. Even if you get two little jobs a day, at two hours per job, you're not going to make much money.

The biggest challenge you will face when starting a technology consulting business?
You are not alone. Even in mid market cities like Cincinnati and Milwaukee, there are thousands of self employed computer consultants. You need to do it better. The good news is, it's not that hard. Most of these small firms have the same problem, lack of sales and marketing, and lack of follow up support. If you get the word out, and then deliver, you will be wildly successful.

Survival is not the goal, you need to prevail.
To become really successful you're going to have to target your skill set to an emerging technology and become an expert. Fields like wireless security, blackberry integration consulting, and product speciliazation all offer a chance to grab enough market share for your consulting business to actually grow as opposed to simply survive.

Go the old fashioned route. Here's a tip, instead of starting a computer consulting business that is actually a computer repair business, consult!
Offer your customers advice that extends beyond just keeping their pc or network running. Then create strategic plans to get the to a higher level. You'd be stunned at how many companies with fifty or even a hundred computers have no sales force automation software. There are probably tens of thousands of home builders that don't use project management software. The list is endless. The trick is you're going to have to go to them. Business are already looking for computer repair people. They know they need them, and they know how to find them. But do they really understand the money that can be made through the efficient use of technology? Put together a brochure outlining the profits to be gained by more efficient work, and the doors will open much more easily. You'll also be able to charge a higher hourly rate than the guy fixing mundane pc problems.

Here's the bottom line. There is still great money to be made in computer consulting.
But in todays world you've got to be more than just a great consultant, you've got to be a good business person. Do your research, put together working strategies for your business and for your customers, and think. You've got intelligence, use it to find the best way to get things done and you'll soon have those independant consultants lining up at your door looking for a job. Keep in mind that all business at one level is the same. You need to run and grow the business. This means an honest and diligent effort at sales and marketing. And it means that in the early stages, every customer is important. Follow up with your work a few days after leaving, and address any problems quickly and completely.

Setting fees for you consulting business.

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