going into business as...a computer consultant?

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Eat Spam before it eats YOU!!!
Member Since: May 11, 2002

Most of you might know that I have been essentially unemployed for forever. A lot of it is my fault as I'm pickey over overtime schedules :)

I have been thinking of going into onlocation tech support as a indie contractor for residential and small business. I know a number of you do basically the same thing.

My main concern is what the demand for such a service is in your area and how do you go about advertising? Also what are they typical issues?

Right now I'm thinking about printing off a half page "service sheet" listing what I can do and how much I do it for (pretty much everything at $20 a hour except datarecovery) and attaching a business card. Then walking in and introducing myself to local office managers. Then when I get $200 in the next month I can take out an ad in the local newspaper.

So, whaddya think?

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Banned


Mar 03, 2005 10:53 pm

whatever you do dont get a VW beetle and plaster, nerd patrol all over it, or geeks on call. i see alot of cars like that, who do this type of business. :)

Administrator
Since: Apr 03, 2002


Mar 04, 2005 06:20 am

Well, I have never really done any advertising outside of monster.com and careerbuilder.com. If you put up your resume and indicate you are interested in contracting you will get calls.

guru.com is another likely place that I get A LOT of project alerts from, but have never taken one yet...

Lost for words with all to say.
Contributor
Since: Sep 12, 2003


Mar 04, 2005 08:21 am

Charge more than $20 an hour. Believe me, $20 won't get you far.

Where you from? It's very hard work because you are starting up a business. Running yourself crazy giving out information about yourself and then getting no reply back or calls. Just takes time and then it pours in.

Prince CZAR-ming
Member
Since: Apr 08, 2004


Mar 04, 2005 08:38 am

I agree, I'm in the sticks and charge 35$ which is cheap. There's places around here that are running 90, 100, 110 /hr for just pc fixit stuff, not networks, it's more for networks. Also, you'd have to be billable 5 or 6 hours a day to make any money, and you'll never do that in small work. If you can land a long term, or consistent hour contract (like, 25 hrs / week) then you could drop your rate some as a good will gesture, but I wouldn't start at 20.

Of course, this depends on your skill level, how ambitious you are, if you can charge friends (beleive me, this becomes an issue. make a plan and stick to it), overhead (probably low), etc.


Also, if you're picky over overtime, be prepared to change, as there's a good amount of time spent off-hours doing stuff for people, off hours phone support, business changes off hours, research, etc.

From what I've experienced, word of mouth is still a very important marketing tool. Do the small things for people, go a little farther, and they'll recommend you to others. Especially in the computer home fixit field. Everyone's got some problem they'd like to get fixed, but don't feel like calling a big name company charging 90$ and giving bad service.

Good luck.

Administrator
Since: Apr 03, 2002


Mar 04, 2005 08:45 am

Also,, if doing so, incorporate yourself. This will bring many advantages and protection.

It will protect your personal property should any client wish to sue your company. Also, it will allow you to expense any computer parts and such you buy as a business deduction. Also, the business then pays YOU a wage, and, as long as you make sure the business makes nothing or close to nothing, no taxes are owed.

The business can pay you rent for office space in your house, which is unearned income to you and taxed differently, which will, in turn make your taxable income lower since you will need to pay yourself less considering your have rent coming in as well.

There is a lot more I could go in to, and laws vary from state to state. I am not a lawyer and this is not professional, legal advise, consult your physician before taking.

Prince CZAR-ming
Member
Since: Apr 08, 2004


Mar 04, 2005 08:58 am

Good point d, my cousin is getting into this right now, and he's going through the very same steps and issues. I believe he's doing the inc thing as well.

Member
Since: Jan 08, 2003


Mar 04, 2005 09:13 am

Don't call yourself a consultant! We hate consultants in the trade, it's a short name for 'doesn't know much' or 'tinkerer'.

Be a full blown certified technician, and you'll have better luck. BUT, I will guaruntee this, after being in the biz as long as I have, have a backup plan if things don't work out. You have massive competition.

W.

Administrator
Since: Apr 03, 2002


Mar 04, 2005 09:18 am

I am a "consultant" and am paid better than some of the people that hire me...Even before I was consulting, my employers hired "consultants" for the expertise in a given field. I have never looked at consultants the way you describe, though I have heard some people feel that way, where I am from it's by no means the majority.

You are right tho, competition is fierce...

Lost for words with all to say.
Contributor
Since: Sep 12, 2003


Mar 04, 2005 09:28 am

I agree with you pjk, word of mouth is the best marketing tool. I spent close to $500 on advertising and it did me little. But word of mouth by far has gotten me the most.

As far as what to charge, my competition charges $120 per hour for little stuff and then more from there. I think that is saying "I'm not doing all that well and you are going to pay more so I can stay alive". I charge $65 per hour with 1/2 hour minimum for in house (people bring me the computer or what-nots) and then $75 for when I go out with an hour minimum. No matter what, network or personal PC, it's the same. Course, I'm backed up by a company and not doing this all by myself just running the North Carolina part. I do have a client that I get 10 to 15 hours per week of work. We agreed to a price of $32.50 per hour and they supplied me an office here at their location. I get around $500 per week from them plus an office so that helps out BIG time.

Never heard that calling yourself a consultant is hated. I'm with dB, I've work for people that don't pull in in a months time as much as I do. They hire you for your expertise in that field.

Administrator
Since: Apr 03, 2002


Mar 04, 2005 09:39 am

Quote:
Good point d, my cousin is getting into this right now, and he's going through the very same steps and issues. I believe he's doing the inc thing as well.


I opted for incorporating myself cuz it's a one time filing and has some other advantages...but LLC (Limited Liability Company) and LLP (Limited Liability Partnership) also accomplish the same goal reagrding protection of personal property, but as I recall they require re-filing every year.

If you cousin does this, be sure to tell him (though he may know, and probably does) to also file for S-Corp (Small Corporation) status for additional tax benefits.

I was considering writing an article about this for HRC, as so many people here seem to be doing it, but the laws differ some much from state to state and country to country, I dunno if it's worth it.

Eat Spam before it eats YOU!!!
Member
Since: May 11, 2002


Mar 04, 2005 10:49 pm

Thanks guys!

The main thing about overtime is that if someone calls and wants me on a saturday night and I've already scheduled to do a video shoot then I can easially say "sorry I have another client, I can be there at whatever other time though." where if that was with an employer I would probably be fired immeadiatly. My last job, I was fired because I couldn't drive in in a level 2 snow emergency. So I do expect odd hours.

I suppose $50hr would work. I was thinking $20 simply because you don't start to think "it's less expensive to replace the comuter" plus my friends who have long standing positions in local Fortune 500 companies as admins make $14hr ... but if everyone else charges $100....

I generally don't charge for research unless it's exotic hardware like an Audio/Video workstation stuff. Plus I (so far) don't charge for issues I can't fix... which has only happened once with a Compaq DVD-ROM...Win98 drivers seem to have been lost in the sale to HP...

I'm thinking calling myself a technician is more accurate and can be more easially associated with my other skills.

Basically advertise:

On Location Technical Services
- Computer Repair and Integration
- Post-Warrenty Electronic Device Troubleshooting and Repair
- Industrial Audio and Video Production


Administrator
Since: Apr 03, 2002


Mar 04, 2005 10:54 pm

just to expand your list of services, and hit a nitch you could also add things like virus innoculation, spyware and malware innoculation and related things like that...you'd be surprised how stupid and unprotected the avergae small business is...

Member
Since: Jan 08, 2003


Mar 05, 2005 01:16 am

Lord knows the company I just started working for was wholely unprotected.... (and infected)

W.

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