Starting a consulting business isn’t easy, but it can be very rewarding if you do it the right way. Once your business is successful, you’ll be able to enjoy the freedom that comes with working from home while also enjoying the benefits of being a consultant. Before you start a consulting business from home, you’ll need to take a few things into consideration.
The Specialty
When you’re thinking of starting a consulting business from home, the chances are you’ve already figured out what you’re good at and want to help other people do the same.
If you are already working as a consultant for someone else, consider the first step completed! You already have the experience and know-how to consult in your chosen niche. Otherwise, you’ll need to determine which type of consulting best fits your experience.
Consulting comes in many forms, but the most popular niches are business consulting, accounting, financial advisor, career consulting and insurance consulting.
You may also become a consultant in a less formal niche. If you know a lot about crafting, gardening, cooking or other creative subjects, these may be consulting options for you to consider.
Your Clients
The number one thing you can do to increase your chances of a successful at-home consulting business is networking. Since you’re a consultant, clients are the lifeblood of your business. They determine how much work you’ll do, what you’ll get paid for the work and whether you’re able to continue offering your services.
Clients can be found in many places. You will need to determine whether you’re going to do online or offline networking and have a plan in place for it. Set goals for yourself for getting new customers. Start small and try to obtain one new customer per week. Then, grow your consulting business.
If you’re of the belief that customers are not always right, it’s time to change your mindset. Now that you’re going to start a consulting business from home, your customers are the most important thing. Treat them as if they’re always right.
A happy customer will tell their friends about you and you can get a lot of business from referrals. An unhappy customer will tell twice as many people about you and you can lose a lot of business from a bad reputation.
A Space to Work
If you think you can set up your 2003 iMac at your kitchen table and invite your clients into your living room for consultations, think again. You’re going to need a dedicated space for your consulting business in your home. Ideally, you will want a room separate from the rest of the house that has it’s own entrance. If you’re unable to do that, a home office is a great idea.
While you can do the majority of your business remotely and without having to interact with clients face-to-face, have a plan in place if you do have to have a meeting. If you have a home office space you’re uncomfortable meeting clients in, consider renting a coworking space!
The Legalities
The legalities of a consulting business are important. If you are just getting started, it may be a good idea to talk with a consulting mentor (a consulting…consultant, if you will) about the legalities in your area.
You will also need the advice of a small business attorney to help you apply for business licenses and make sure your home business is legitimate. While many people skip this step and choose to do their business “under the table,” this is not the way you want to start out. You could end up paying much more in fines than you would by just hiring an attorney in the first place.
It may also be a good idea to set up a small business accountant. The accountant can help you determine what you can deduct from your business and what type of taxes you’re liable for depending on your small business. They can also help you understand financial terms you may not be well versed on.
If you think you have what it takes to start a consulting business from home, make sure you take each of these things into consideration. Your business depends on it. If you make sure your business is legitimate, you grow your customer base and you are an excellent consultant, your earning opportunities are almost limitless!
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