Starting a Consulting Business

Develop a business plan There is no one-size-fits-all business plan. Get the best fit for your consulting firm.

I recommend:  Business Plan Pro is designed for start-ups. It includes more than 500 sample business plans and a step-by-step guide to creating your own plan. You can also download award-winning business plans at BusinessPlans.com.

Prospect for clients You’ve pinpointed your target markets in your business plan. Now it’s time to connect with those markets.

I recommend:  Trade association conferences provide a great opportunity to meet and mingle with people who might be interested in your services. Identify the associations that serve the industries you’re targeting. Check the associations’ Web sites for a schedule of events. If you are willing to pay a setup fee and commission, you can find consulting projects through eWork Markets. Consulting firms that qualify get access to consulting-project listings that are posted by a wide range of organizations, including Fortune 500 companies.

Polish your networking skills Learn how to leave a positive impression with the people you meet at industry and social events. Nail down your “elevator pitch.” It should be a quick and memorable overview of your business plan that introduces listeners to what you have to offer.

I recommend:  Sign up for networking events held nationwide from organizers like Networking for Professionals and NetParty (geared to young professionals who want to mix business and socializing). Bone up on your networking skills with the American Marketing Association's detailed guide to networking. To develop your elevator pitch, start with a brainstorming session, then check out these elevator pitch tips.

Stay in touch with your contacts Keep in touch with people who have expressed interest in your services. Send an e-newsletter or other electronic direct mail pieces that provide tips to help your contacts deal with their business challenges.

I recommend:  Create your own e-newsletter with Constant Contact's templates, then distribute the newsletter using Constant Contact’s e-mail delivery and management services. Another way to stay visible is to share your business knowledge and observations on a blog. Send highlights from your blog to your contact list (always use permission-based, opt-in e-mail lists). Two of the most popular business-blog platforms are Typepad and WordPress.

Take the podium Look for opportunities to deliver speeches to groups that might include prospective clients. Organizations ranging from the local chamber of commerce to international associations are always looking for professionals who can deliver an engaging talk related to their field of expertise.

I recommend:  Contact conference planners at trade associations that serve your target markets. To find business groups close to home, conduct a search for “business organizations” on Local.com. If you’re an experienced speaker, sign on with a speaker’s bureau that will find speaking gigs for you. The International Association of Speakers Bureaus provides a list of bureaus with contact information. Need some guidance in how to deliver a great speech? Join a local Toastmasters International club.

Stay up-to-date Be a news hound on behalf of your clients. You can’t serve them well if you don’t know what’s going on in their field.

I recommend:  Google News and Yahoo Finance make it easy to get the latest news on developments in the industries of your choice.

Decide on a business structure When deciding on your business structure, consider how vulnerable you might be to legal liabilities. A sole proprietorship is simple and inexpensive to set up, but it won’t protect your personal assets in the event that your company is sued. Protect your assets by incorporating as a Limited Liability Company (LLC).

I recommend:  Go to The Company Corporation for affordable incorporation packages.