posted on December 19, 2012 by

Resources to Build Your Consulting Business

Tools to build a consulting business

Tools to Build Your Business

The conventional wisdom says that you can “just hang out a shingle and call yourself a consultant.” It’d be nice if it were that easy.

To succeed in this information-intensive business, you’ll need a bunch of technologies, resources, and tools to support the great services you offer and deliver.

I’ve spent some time sorting out which tools work best for my business and those of my clients. To help you make choices for your own business, I offer this list of the tools and resources I use and recommend to others.

Read more.

Filed Under: Managing Your Business
posted on December 6, 2012 by

Finding the Real Decision Makers

We all know that clients buy perceived value when they hire an outside service provider.

Your efforts during the sales process contribute to your client’s perception of value, of course, but other sources of influence can be equally critical to your client’s buying decision. Before most people make a big purchase, they seek advice from those they trust–colleagues, mentors, a boss, or even a family member.

I’m not talking about people who have an “official” role in approving the sale, but those in your client’s network who are likely to get your client’s ear. It’s possible that you’re not aware of these people and how they could shape the sales process.

Not long ago, for instance, I worked with a prospective client on a project that never got off the ground. Why? I found out later that one of the client’s influential colleagues questioned the project’s value and that was the end of it.

It’s not always possible to know which individuals could sway a client, but you can ask questions to help identify them and their potential concerns.

For example, to understand the perspective of your client’s colleagues, ask how your proposed project fits with other ongoing or planned initiatives. Is your project complementary to others or competing? You can also ask directly how your client’s colleagues view the value of your proposed project.

To get a better understanding of how the client’s staff might influence the buying decision, you can ask what the most influential staff people think of the project–and the potential organizational change it would bring. Will they view the project as essential, somewhat important, or just another initiative?

You can come up with similar questions to figure out how your project may be viewed by others in your client’s network.

Use the answers to these questions to shape a value proposition that includes the impact of the project on the people who aren’t directly involved in the decision process but who are important to the sale.

Filed Under: Client Relationships, Marketing Your Business Tagged With: ,
posted on December 3, 2012 by

Sharing Your Ideas

The thought of sharing their intellectual property causes some hand-wringing among consultants. How much should you give to a new client? Should you hold something back until you make the sale?

Some people worry that clients will pilfer their ideas and use them without any help. Others are concerned that competitors could get their hands on proprietary information and figure out a way to profit from it. A few believe that clients should pay before getting the “good stuff.”

Such concerns are not unreasonable. I’ve seen clients “borrow” ideas, and ethically-challenged consultants have been known to “adapt” other people’s work and call it their own. Fortunately, these are exceptions, not the rule.

Clients buy your expertise. Your best ideas are the foundation of the value you offer. If you hold them back, you put yourself at a disadvantage. Plus, hopefully, no one can execute a project using your ideas as well as you can.

My advice is to share your best ideas freely. Clients will appreciate your commitment and you’ll have better luck closing sales. When asked if it wouldn’t be better to wait on providing ideas to clients, a colleague summed it up by saying, “They can take my ideas. I’ll come up with others.”

Filed Under: Marketing Your Business Tagged With:
posted on November 30, 2012 by

Is Your Price Right?

 You may be reluctant to tinker with the fees you charge, especially given the tough market many of your clients face. Still, it’s good to look at how you’re pricing your services to see if there’s room for improvement.

Your expertise (and value to clients) grows over time. Often, though, fees lag behind that growth. Most consultants I meet are pricing their services too modestly for the value they provide.

When was the last time you changed your fees? If it’s been more than a year, it’s time to consider a change. It’s a routine matter for many businesses to raise their fees each year, no matter how good or bad the economy.

You might worry that you will sink your competitive position if you change your fees in a tight market. But remember, the state of the economy won’t impact your clients’ perceived value of your services–assuming you’ve done a good job expressing that value.

To decide if you need to rethink your fee strategy, ask yourself one question: Is the value you bring to your business keeping pace with the value you’re bringing to the market?

Filed Under: Pricing Your Services Tagged With: