Are you considering quitting your job and becoming a consultant? Have you weighed out all the pros and cons of the situation thoroughly or simply do not know how to get around to doing this? Here are a few tips to help you decide on if you are cut out for a consultancy job or not.
The type of field you are in
This will play a significant role in the success or failure of your career as a consultant. While almost every field has an opening for consultants, some fields have more openings than others. While some fields, such as the IT sector, has a large number of consultants, the number of openings are enough to provide jobs for them all. However, if you are a chemistry major, the job openings for you will be fairly limited.
Difference between a service and a consultant
A consultancy too is a service, however, in this case you are providing only your expertise. The end product may even be a simple opinion whereas in a service the end product is a lot more tangible. For example, a professional driving instructor provides a service as opposed to a consulting lawyer.
The instructor will provide driving lessons, at the end of which you will be able to drive the car. The opinion of the consulting lawyer on the other hand may be far too controversial to match the demands or the requirements of your company, and although you pay him for his professional opinion, it may not leave anything behind for the company.
When compared to having a stable job, running a consultancy is a lot more risky. However, it is also higher paying. The income you gain from running a consultancy will fluctuate from time to time based on the nature of the projects or companies you work with. However, unlike when working with a company where you get paid a fixed income, no matter how big the deal you closed, here the income will reflect the magnitude of the business you brought into the company and will also have a lot less overhead costs to cover. However, if you are planning on starting a consultancy firm, make sure to have a backup plan or make sure to save a few dollars from the good months for the rainy months.
If you do not have the adequate knowledge or the experience to become a good consultant, partner up with someone who is. While that person can give his or her professional idea, you can be the main coordinator and the brains behind the operation.