What are you doing well at? 

What are you struggling with?

For me, I’m doing much better at tackling self care. On the flipside, I’m struggling with some short-term health care issues. But they’re becoming much more manageable and I can already see a huge difference. Self care has been an important part of resetting things. Learning to enjoy little things, like the taste of a raisin or the smell and warmth of a cup of coffee has become an important part of my day. By taking time during the day to recognize those little pleasures and the goodness they bring to my life, I’ve really grown. At the same time, business continues to boom. I can’t keep up with it all, but I’ve decided that’s okay. I’m focusing on what I love and what’s important to me. For me, this is a great opportunity to change the way I run my business and my life.

How about you?

What is a consultant?

Consultants are independent contractors who are paid hourly, per day, or per project. But rather than get bogged down in figuring out who is and who is not a consultant, let’s talk about how you could become a consultant.

When you think of consultants, you may think of seasoned PhDs billing hundreds of dollars per hour. Yes, there are many consultants who fall into this group. However, what you may not know is that there are thousands of consultants who are just like you–many of whom are stay-at-home parents.

Remember, in order to become a consultant, you don’t have to be the world’s foremost expert; you simply need to know more than your client knows. That way, you’re offering your client your expertise and knowledge, which he or she compensates you for in the form of a high hourly rate.

Now that you know the answer to the question, "What is a consultant," perhaps you are Interested in becoming a consultant yourself–even as a side job to pay off debt, to build your resume, or just to have more disposable income.

Who knows. Perhaps the next time someone asks, "What is a consultant?" you can answer, "Good question. Seeing as how I am a consultant myself, let me explain it to you."

Need help determining the most lucrative and successful ways to start a consulting business? Consider the Discover Your Inner Consultant course. Or just want to find out how much consultants make? Dive into Consulting Fees.

Related posts:

• How to become a consultant
• Why become a consultant?
• Should I become a consultant?
• Who hires consultants?
• Becoming a consultant FAQ
• I’ve decided. Now what?
• Our guides, workbooks and courses

Let’s start with the easy part. Similar to my sample consulting invoice, include the basics:

ESTIMATE
Name / Company Name
Address
Phone
Fax
Email
Web
US Federal Tax Payer ID (Business Number in Canada)

Date
Estimate number

CLIENT’S DETAILS
Contact
Company Name
Phone
Email

Next comes the most important part: what to include and exclude from your project estimate.

Billing by the hour

Billing by the hour is relatively straightforward once you understand how much to charge. For example, in your estimate you could state that Project XYZ may take approximately 100 hours and you’ll be billing hourly for your work.

If billing by the hour, most clients would like to see a maximum number of hours outlined in the estimate. For example, " Project XYZ will be billed hourly at a rate of $80 per hour up to a maximum of 200 hours."

Per project estimates

Many experienced consultants bill by the project, and, for the most part, I do too. Most clients prefer per-project rates because they know what to expect.

For example, in your estimate you could state that Project XYZ will cost $3100, plus applicable taxes. If it’s a large project, it may be helpful to both you and the client to break down the project cost into sub-sections so that the client can see how you’ve arrived at the total cost.

When billing per project, it is crucial that you outline what is and what is not included in the project. When possible, be sure to outline the project parameters in the estimate or in the contract (yes, you need a contract!).

If, as an IT consultant, your estimate and contract simply state, "I will fix your computer for $1000," this project is open to interpretation, which can lead to problems.

To you, the consultant,  "fixing" the computer may mean diagnosing a problem and recommending a solution. However, to the client "fixing" the computer may mean diagnosing the problem, recommending a solution and providing all of the required hardware or software required to implement the solution. This dispute over who is paying for the hardware or software could have been avoided by a clear estimate and contract.

Detailed estimates and contracts are one of the simplest ways to avoid miscommunication about what is and is not included in the project. Take the time to write detailed estimates and contracts. Not only will they increase your perceived professionalism, but they will protect you and your consulting business.

Related posts:

• Sample consulting invoice
• Setting consulting fee rates
• Finance for consultants
• Becoming a consultant FAQ
• How to become a consultant
• Our guides, workbooks and courses

Start by doing an inventory of your skills and experience. What are you good at? What do you love to do? Then determine how to work your passions into a lucrative consulting career.

If you’re interested in earning money as a consultant, you may want to make it your full-time career or you may simply want to consult as a side job. Either way, it’s important to focus on how to earn money as a consultant. No matter how much you love your work, work is work.

Many consultants choose to earn money on a per-project basis rather than an hourly rate. From the outset you must be paid fairly–and perhaps even generously.

Setting the appropriate consulting fee rates is integral to being a successful consultant. Being a consultant involves a lot of perks, but it also involves hard work and risk. Your hourly wage should and can reflect this. In fact, the average consulting fee ranges from thirty to hundreds of dollars an hour.

If you’re interested in how to earn money as a consultant, I encourage you to browse here at Consultant Journal. I’ve written over 800 free articles that help people just like you survive and thrive as consultants. You can do it. Start here and start now.

Related posts:

• Ideas for consulting businesses
• How to become a consultant
• Second job ideas
• Great second job idea: airline jobs
• Side jobs: earning income on the side
  
• Second jobs for engineers and scientists
• Consulting Fees: A Guide for Independent Consultants
• Discover Your Inner Consultant
• Discover Your Inner Entrepreneur (for moms)

Over the years, we’ve covered a wide variety of financial topics: consulting fees, second jobs, finance and more. In fact, our "Finance for Consultants FAQ" is a popular page — and it has a long list of our financial posts.

But what do you want to know more about? Credit cards, loans, lines of credit, write-offs, making money, health insurance, business insurance, leasing a car? Let us know. We’re listening. And we’re ready to research and help you find answers.

CHRPs are experts when it comes to recruitment, personnel management, union and employee regulation, performance appraisals, job descriptions, hiring and employee retention.

In Canada alone, there are over 19,000 certified CHRPs. There is increasing demand for CHRPs as organizations recognize the financial cost of bad hires and transient employees.

CHRP consultants

Many medium-sized business don’t have a full-time CHRP on staff. Instead, they seek out a CHRP consultant when the organization requires the services of a Certified Human Resources Professional. For example, CHRP consultants may be hired when new employee policies are required or if a search for new staff members is necessary.

In order to raise the standards of the CHRP profession, starting in January of 2011 all CHRP candidates will have to hold college or undegraduate degrees. If you already hold a degree, becoming a CHRP can help you obtain specialized training while continuing to leverage your undergraduate education.

Become a CHRP consultant

In Canada, the CHRP designation is overseen by the Canadian Council of Human Resources Assocation (CCHRA), but the actual CHRP designation is granted by Provincial or Territorial HR associations.

Follow these steps to become a CHRP consultant:

1. Remember that as of January of 2011 all CHRP candidates will be required to hold college or undegraduate degrees.

2. Register with your Province or Territory’s HR Association. Make sure that the Association can grant the CHRP designation. Check with the Association to find out whether they have any special prerequisites.

3. Write and pass the National Knowledge Exam. The test consists of 150 multiple-choice questions and a grade of 70% or higher is required to pass. The cost to write the test is approximately $250.

4. Write and pass the National Professional Practice Assessment exam.  The test also consists of 150 multiple-choice questions and a grade of 70% or higher is required to pass. The cost to write the test is approximately $500.

Becoming a CHRP consultant might be the perfect consulting job for you if you love people, have an undegraduate degree, and are looking to become recognized as a specialist with sellable, marketable skills.

Think becoming a CHRP consultant isn’t right for you? Check out this comprehensive list of other types of consultants you can become.

Related posts:

• Second job ideas
• Becoming a consultant FAQ
• Why become a consultant
• Should I become a consultant
• Reasons to become a consultant
• How to become a consultant
• Consulting Fees: A Guide for Independent Consultants
• Discover Your Inner Consultant
• Discover Your Inner Entrepreneur (for moms)

Once you start a business, though, you may still have some fears. People have told me they fear:

• sales
• flying (making business trips a challenge)
• public speaking
• negotiating
• being put in a position where the client lowballs them
• and so on.

What are your biggest fears about your business?

“Trust your own instinct. Your mistakes might as well be your own, instead of someone else’s.”

Still wondering if you should make the leap to starting a consulting business or perhaps to growing your existing business? What is your gut telling you?

• You want very much to work on your own, but you feel a need to have someone guide you
• You are inspired to grow your business, but you procrastinate and get behind
• You love running your own show, but you have lonely days
• You love what you do, but you hate how most of your days look
• You know you’ll make serious money when your business grows, but you’re not there yet and you’re struggling to pay the bills
• You love the excitement of new assignments, but you don’t like feast or famine cycles
• or perhaps you’ve got your own polar truths to add here

Perhaps you feel one or the other must be true. But both can be true. You can hold both of those ideas.

The solution is finding a way to address both ideas. If one idea is really affecting your today, then look at how to solve it. It’s okay to take steps to make positive changes.

You can hold two truths.

Maybe you need to get a part-time job. Or a full-time job. Or join a networking group. Or get a mentor. Or do more social stuff. Or write a new business plan. Or draft a new marketing plan. Or build up an emergency fund.

In fact, as I write in How to make the leap to full-time consulting, you can take small steps. You needn’t jump to one polar view or take a black and white approach. You CAN build a successful business while having fears, uncertainties, hesitations, financial woes and more. You just need to honour those points and look to address them.

Your feelings matter. And they need not be one way or the other. You can hold multiple feelings and still be "right" and "successful".

“Life is not easy for any of us. But what of that? We must have perseverance and above all confidence in ourselves. We must believe that we are gifted for something, and that this thing, at whatever cost, must be attained.”

Marie Curie began her undergraduate work in Warsaw at a time when women were not permitted to attend university. Fearing the repercussions of the czarist regime, she studied at a "floating university" that changed location nightly. She eventually went on to be the first woman in France to get a PhD, the first female prof at the Sorbonne and the first woman to win the Nobel Prize. That’s passion. That’s values-driven.

What drives you in your work and life?