While business plans doesn't appeal to everyone, especially if you don't ever expect to raise capital for your business, it can be a critical factor in getting your business off the ground, says Jennifer Leake, a certified management consultant and founder of Consultants Gold, an online community dedicated to helping consultants run their ventures successfully.
That's why Hermens says that you should focus on four key areas when fleshing out your business plan:1.
Leverage allows your consultancy to flourish as your company takes on more projects." The key, then, is to think about how you align revenue arrangements with employee compensation and how to pay employees to ensure they are available when you need them by asking yourself questions like: Do you pay a salary and risk a lull in projects?
Or, perhaps you pay employees on a project basis, only when they work, risking their availability when you get a new contract?
"What do you do that thousands of other people don't?
"The keys to building a solid value proposition are to give decision makers solace that they made the right decision, he says, which can be done in three ways: 1. Build and take prospects through a well-defined methodology, or 3.With forensic consulting, your name and personal credibility is a huge selling point." In other words, determining how you should go to market, how (or how much) you charge your clients, and your familiarity with specific industry jargon and problems the industry is trying to solve, are crucial in planning your consulting business, according to Hermens.One approach offered by Beth Corson, founder of Your Funding Key Advisors, is to choose a few industries and then outline the size and type of businesses that you'd like to work within those industries.Target Market Answer this question: What is the best target market for you, or do you hunt every potential client that might possibly need your services?"Understanding your target market is the most difficult planning activity," says Hermens."Rather than the desperate approach of taking any client that comes along, be selective and create a clear road map of where you want to go," she says."Several years from now, your client roster should be fairly close to the plan that you make now.Another option can be to partner with other companies that might offer complementary services to your own, a tact that may also help you build experience in new areas.But, at some point, you must develop your own client relationships independently if you want to keep your company growing. Employees Answer these questions: If you have employees, what is the best way to deploy them, given the reality of project work?That can be difficult, though, when you're a sole proprietor, since time spent marketing is time you're not billing for.While you can always hire an outside firm to help, your fledgling business might find the cost prohibitive.