Consulting tips
If you are thinking about making the move from being an employee to consulting, I have some thoughts. First, there is a difference between contracting and consulting. Contractors are paid for what they do, consultants are paid for what (and who) they know. I have found it’s a lot easier to get contracting work than consulting work. (Of course, sometimes they blur together.)
I’m sure there are others. Think about and nurture this pipeline. Always ask happy clients for referrals. This is something you typically don’t think about as an employee (it’s someone else’s job). It’s part of your job as a consultant.
What will your terms be? Have a standard contract. Have buffer in the bank because there will be lean months; prepare for “feast or famine”. You’ll also need to be prepared to chase down payment. Doesn’t happen often and you can prioritize companies that pay promptly, but with what feels like an economic rough period ahead, companies will be stretching payment terms, esp to outside consultants.
Don’t expect to be paid when you do the work, 30 days net is typical. Use a solution like freshbooks (what I used, years ago, there may be better ones) to automate your invoices and possibly invoice nagging.
