The Pros and Cons of Starting a Consulting Business

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There are many areas of business where aspiring business owners look for help, including business plan writing, marketing, communications and legal issues.

If you have expertise in an area related to some of the common small business startup challenges, and a desire to help your fellow business owners, a small business as a consultant could be the perfect business idea for you.

The Pros of Starting a Consulting Business

Some of the benefits of starting a business consultancy include:

  • Startup costs are relatively low.
  • The income potential for a successful consulting business is high.
  • You can use your business expertise as the foundation for your business.
  • You can work as much or as little as you want, from your home.
  • You can consult individual small business owners, or executives at larger companies.
  • You need to continue learning in your area of expertise and stay on top of changes in the industry.
  • There are franchise opportunities available.

The Cons of Starting a Consulting Business

  • You need to have expert qualifications in the area(s) in which you are consulting.
  • You need to be able to identify problems and come up with realistic solutions.
  • You may need to be licensed or certified, depending on the type of consulting you provide.
  • You may need additional education and training before providing consulting services.
  • It can be challenging to sell the value of your services, especially when just starting out.
  • You may need to become a published author, recognized speaker and network frequently in order to establish yourself as an expert.

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