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1 - I'm noticing a growing number of acquaintances quit their #CMGR job (or get made redundant) and decide to become a consultant instead.
Before you do this, let me share a few thoughts, observations, and experiences here.
Before you do this, let me share a few thoughts, observations, and experiences here.
2 - Very few prospective consultants survive more than a few months. I can think of several dozen who have tried it, but only 3 to 5 people who have survived more than a couple of years.
3 - Typically the would-be consultant gets one or two contracts from close friends / the organisation they just left, and then everything dries up. There are a few reasons for this.
4 - Part of the problem is this isn’t a huge space and most budgets go towards the technology or staff managing the communities.
The other reason is the competition.
The other reason is the competition.
5 - You're likely going to be up against people who have been doing consulting for longer than you, with a bigger reputation, with more case studies and testimonials than you, and probably with a lot more experience selling consultancy projects than you.
6 - This means to get started you typically either need to charge a lot less (not sustainable), to target a niche within the sector (i.e. @jonobacon), popularise a novel approach (i.e. @johnstepper), or have a runway of several years to gradually build your reputation (i.e. me.)
7 - You need a good system for attracting new clients. I go with my published work/talks. @billjohnston does exclusive mastermind events. @jakemckee does private dinners. Each has pros and cons.
Frequently assess if your system is working or if you just enjoy doing it.
Frequently assess if your system is working or if you just enjoy doing it.
8 - It's a process of figuring out where to invest your time to get clients. I've spent $20k to $30k a year for the past 3 to 4 years flying myself to speak at events, attend events, or connect with people in a particular city.
Expensive, doesn't scale, but works.
Expensive, doesn't scale, but works.
9 - My first client in 2007 paid me $150 per week. That gradually increased. Now FeverBee tends to generate $300k to $600k a year. But that's a steady process that took over a decade of learning, practicing, publishing, networking and more.
10 - With a few amazing exceptions ( @ericakuhl), it seems tricky to translate a reputation working at a big community org into a consultancy practice.
People respecting your work you is one thing, people being willing to hire you above anyone else is a completely different game.
People respecting your work you is one thing, people being willing to hire you above anyone else is a completely different game.
11 - For example, I have no problem (when asked about another consultant in a sales call), saying something like: "[person] is great, I like their [blog/newsletter]. But I haven't seen any case studies of their success on their website. I have 20+ I can share with you" 
12 - Also consider your blind spots. Have you worked with all of the major community platforms? Do you know what the pros and cons of each of them are? Do you know what kind of discounts you can negotiate on behalf of platforms?
13 - A consultant has to be constantly learning new skills. I take courses in project management, statistics and data analysis, public speaking, storytelling, organisational change, habit formation and more. I want to offer clients as many tools as possible.
14 - Learn from the best consultants, just not the best community people. Learn how to qualify prospects quickly (instead of wasting a lot of time writing a huge proposal). How to create a great proposal, win a competitive pitch, connect with senior leaders in an organisation etc
15 - Telling an organisation what they should do is easy. Anyone can do that. Sometimes orgs that hire me already know what they should be doing. But they need someone to build a consensus, bring people along on the journey, and be the catalyst that makes it happen.
16 - I occasionally get emails from consultants asking me what I charge.
My answer is usually - what I charge and what you should charge won't be the same. I charge a fee that reflects my track record and lets me fully commit to a tiny number of clients (1 to 3) at any one time
My answer is usually - what I charge and what you should charge won't be the same. I charge a fee that reflects my track record and lets me fully commit to a tiny number of clients (1 to 3) at any one time
17 - I'm totally happy losing prospective to clients to folks willing to charge less. They're not the right clients for the kind of work I want to do (I'd be far more worried losing clients to folks who charge more.).
I have a specific target client and scope of work I want.
I have a specific target client and scope of work I want.
18 - If you're just getting started, you need early clients to begin learning your craft, building a track record, and a financial runway. If you don't know what to charge, what else about consultancy don't you know? You know community, but give yourself time to learn consultancy
19 - Consultancy is exhausting. You might've seen me sitting by myself at a conference. That's (hopefully) not because I smell. It's because I'm exhausted after another long-haul flight and have been up half the night practicing my talk (between hopping on client calls/meetings).
20 - Client projects can be more frustrating than you expect. Your main contact might suddenly leave. Budgets might be suddenly cut. Decisions might suddenly change. And you'll spend more time writing anti-slavery policies than you might anticipate (give it time).
21 - New challenges arise from every direction. Last week, I was asked to commit to making 50% of FeverBee's board of directors BIPOC within 2 years (bit tricky). I lost my favourite client when COVID-19 hit. Brexit and GDPR laws cost me other projects too. These things happen.
22 - But consultancy is incredibly rewarding too. You get to work on a diverse range of projects and learn from every one. You get to see the impact of your work and you have more autonomy. And the flywheel gradually turns too. Each successful projects helps you get more.
23 - Give yourself a financial runway, time, and commit to learning what you don't know yet. A decade in and I'm still learning with every project.
Embrace the risk too. If you're willing to accept the risk of earning $0, there's no cap on your potential.
Good luck!
Embrace the risk too. If you're willing to accept the risk of earning $0, there's no cap on your potential.
Good luck!
