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Starting a Practice: Tips from the Trenches

By Mark Amtower

Becoming a consultant can be as easy as being between jobs and printing some business cards on your own printer. Presto-chango—you are a consultant!

Becoming a real consultant takes a little more effort.

I have been a consultant for 17 of the 21 years I have been in business. I was actually advising people for all 21 years, I just was not charging the first four years! I was selling data and giving away great advice.

Here are some tips from the trenches to help you avoid some of the mistakes I made in the “early days.”

1. Define your expertise. What is your real strength, and why should people care? There are generalists out there, but their claim to fame is nebulous, never really defined in terms of that value proposition up front. This does not mean that they are not good. It simply means they are not differentiated at all from hundreds of other generalists.

For example, my expertise is marketing to the government. I have done this for over 20 years, and have a hard-won reputation for being among the best at what I do. I have been asked to advise on other business-to-business marketing, but I decline and recommend people I know and trust to do this. I always have other people I can recommend if someone asks me to do something I am not among the best at.

2. Check out the competition. Your competitors are out there, and it is up to you to find them. As there is nothing new under the sun, here is what you are looking for. First, take a good look at their Web sites. See what you like about them, and what you do not like. Make notes. Your own site must be under constant improvement if you are going to succeed.

Next, check out their pricing. Do they bill hourly or by the project? Do they have another way of pricing? Do they offer things you can replicate and charge for? Seminars (in-house or public) are popular offerings for solo or group practices.

Now check out how they differentiate themselves from other consultants. Have they defined a new category, or niche? Have they segmented an industry (vertical market) like banking and claim to specialize in credit unions? Differentiation is important IF it matters to the market you are targeting. That is largely dependent on you, and the value you create in the new segmentation. I do not offer great value as a business-to-business consultant. But because I defined and popularized the business-to-government market (for marketing), I do add value here and this is reflected in my pricing. The more legitimate and valuable the segmentation, the more you can charge.

The last thing (for now) to check about your competitors is to see if they list current or past clients. Most past clients have current needs. Everyone has competition. With a little research, you can build a prospect list.

3. Differentiate. Yes, this was discussed above, but it needs to be its own bullet because without it, you may starve. I differentiate in several ways, but these have evolved as my practice has evolved. The first differentiation was the focus on the government market. The second is attitudinal.

I am known for my candor, and my “no holds barred” opinions. This gets me press. But this evolved. I always had the opinions (although there is now much more experience behind them), but these were not always so obvious to the world at large. They started coming out in my public seminars (a controlled environment). As attendees showed a positive response to my opinions, the opinions became a bigger part of my “routine” during the seminars. When the press started attending my sessions, they liked the opinions too, so I started getting press coverage, and getting called for quotes in articles.

Now I am known for my opinions as much as my advice on marketing. This is OK only as long as I can continue to get consulting jobs—using the publicity to attract clients, not scare them away. My literature now says do not hire me if you are looking for a plain vanilla consultant—be prepared for an opinion!

4. Have Opinions. You do not have to be as blunt as me to have opinions, but it is important to study your market for nuances, trends, fads, new players, and the like and to offer opinions on these things. Your own (defensible) opinion shows that you care about your market and that you add value. Not everyone will agree with you (clients included), so be prepared to defend your positions without getting defensive.

If you are asked by someone for an opinion on a topic in or near your niche, and you do not have a fully articulated view, you lose credibility. Conversely, if you do have an opinion and voice it well, your stature as a niche expert is further established.

5. Be Proactive. Every field of endeavor has publications, events, and organizations. Find out which of each has the most importance to those you want to work with. After you determine which association, publication, and event is most beneficial, start participating. Be visible.

For publications, this means making yourself known to editors and reporters. Become a source. Do background. If you are not the best person for a particular story, and you know someone else who could add value (especially if they reciprocate), tell the reporter who they are and why they are better for this story. The reporter will remember you and appreciate it, and when your time comes, they will make you look good.

Events always need speakers. Have two or three presentations of varying lengths that you can do at the drop of a hat. Tell the event producer or conference director who you are and what you do. Then tell them that if they have any last minute cancellations, that you are available as a fill-in.

There are always speakers who cannot make it, and this tactic has gotten me into a couple of new events. Get on the list of prospective speakers for the next event (even if it is a year away) and make a note in your calendar to get in touch with planners four months before the next event.

As for associations, just get involved and be visible. Opportunities will occur. Pay attention and you will see them.

None of this is brain surgery, but it all requires work and attention to detail. You will be adequately rewarded for good effort, and well-rewarded for better effort. I have been in business for myself since 1985, and I would not have it any other way. I pay myself much more than anyone would ever consider paying me as an employee.

But I bother to learn something new every day. I still attend sessions designed to teach me new tricks. Last year I attended the Publicity Summit (great event) and learned how to get on the radio. And I discovered I liked being on the radio so much I started my own radio show! Opportunities occur—pay attention and they will find you.

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Mark Amtower is a Partner at Amtower & Company. The other partner is his wife, Mary Ellen, who runs the business side of the business, freeing Mark up to write, speak, consult and annoy. You can find him at www.FederalDirect.net.