Are You Ready to Break Free?

Benefits and Challenges

of Going Solo

A selection of articles, checklists, tools, and ideas from the Divas (Panelists)

Elaine Biech, CPLP Fellow

Barbara Greenstein, MA, CPT
Cindy Huggett, CPLP
Maureen Orey, EdD, CPLP Event: 2437
Patti Phillips, PhD, CPLP May 22, 2017
 Deciding To Become a Talent Development Business Owner
When I first graduated from college, I didn’t have a clue as to what I wanted to do. So when someone
asks, “How did you decide to go into this line of business?” I have to stop and think about the path that
led me here. Many of you probably have a similar experience. You found a job and began to find your
way through the career path. Perhaps now you are rethinking the journey that got you here. If you are
reviewing your career path these actions may be helpful:
 Identify the types of things you like to do and the types of things you dislike
 Seek the help of a professional career planner (local or junior colleges, SBA)
 Consider completing a career inventory such as Career Anchors or the Campbell Interest and
Skill Survey
 Purchase a book such as What Color Is Your Parachute? and completing the exercises
 Determine your income requirements
 Investigate areas that interest you:
 Salaries
 Industry
 Current graduates in the area
 Need for graduate level degrees or certification
 Attend local professional organizations for the career area (e.g., ATD)
 Talk to people in the industry
 If possible, test the water before taking the plunge
 Become an intern on a project
 Offer your services pro-bono for a small project

It’s not an easy task to decide to change careers. But like anything else in life, it requires a certain degree
of planning. Many resources are available for a minimal fee (e.g., local colleges, Internet) that will help
you to determine which direction on the road of life you take next.

We go through many transitions in life: relocation, births, deaths, loss of employment, or many others.
Regardless of the cause several lessons apply.

Lesson #1: Persistence is critical! You will face challenges. Whatever you do, don’t give up–– keep the
momentum going. Find an avenue to pursue your goals. You may need to change your tactics, get
involved in other organizations, or expand your network.

Lesson #2: Don’t just talk, do something! If you are unhappy in your current occupation and want to
make a change, do more than just discuss it—take action to solve it. You can’t make a transition if you
don’t do something. Do you need more education? Need to join a professional group? Learn a new skill?
Get experience? Learn more about the direction your ideal profession is moving and go after it.

Lesson #3: When setbacks occur, jump back in! Last year I was waiting to hear about proposals I had
submitted. Unfortunately, the proposals never came to fruition. I could have sat on my couch eating
bonbons and watching soap operas. The thought crossed my mind! But I knew I had to return to my
marketing role, get on the phone, and find business. So that’s what I did. The payoff was sweet. Often
timing is everything. An organization where I was building my relationship with finally had a project for me.

Transition Tips
 Be persistent
 Don’t just talk, do something
 When a setback occurs, jump back in
 Build and maintain relationships with friends, networks, and clients
 When frustration sets in, pat yourself on the back and say ‘Good job, keep up the good work!’
 Continue to learn new skills and build your competency in areas outside your current skill set
 Volunteer your time to a worthy cause. The reward can be holistic.
Barbara Greenstein, Human Resource Prescriptions LLC
 Define Your Niche

Listed are some of the many dimensions required to finding your niche. Consider your chosen niche and
score each item below 1-5 with 1 = very little and 5 = a great amount or very much. While you will likely
not score 5 for every item, you should score high on some. For those with low scores, consider how they
will affect your opportunity for success and whether or not you can (or need to) overcome them.

1 2 3 4 5
1. How much expertise do you have in the area of interest?     
2. How committed are you to building even greater expertise?     
3. How much experience do you have with it?     
4. To what extent is there a market for it?     
5. How informed are you of the existing competition?     
6. How much of a competitive advantage do you have over others?     
7. How well defined is the target market?     
8. How great are the financial rewards?     
9. How great are the intangible benefits?     
10. How much of an opportunity exists to diversify, without losing focus     
of your niche?

In what areas did you score below 4?

Consider each item for which you scored below 4. How will this affect your opportunity for success? How
can you improve your score?

What is your next action?

Patti Phillips, ROI Institute, Inc.

 Annual Planning
January April July October
Strategic Goal #1: Strategic Goal #1 Strategic Goal #1 Strategic Goal #1
Marketing Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks:

Strategic Goal #2: Service Strategic Goal #2 Strategic Goal #2 Strategic Goal #2
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:

Strategic Goal #3: Biz

Dev Strategic Goal #3 Strategic Goal #3 Strategic Goal #3
Tasks: Tasks: Tasks:
Tasks:
Tasks: Tasks: Tasks:
Tasks:
Tasks: Tasks: Tasks:
Tasks:

February May August November

Strategic Goal #1 Strategic Goal #1 Strategic Goal #1 Strategic Goal #1
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:

Strategic Goal #2 Strategic Goal #2 Strategic Goal #2 Strategic Goal #2

Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:

Strategic Goal #3 Strategic Goal #3 Strategic Goal #3 Strategic Goal #3

Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:

March June September December

Strategic Goal #1 Strategic Goal #1 Strategic Goal #1 Strategic Goal #1
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:

Strategic Goal #2 Strategic Goal #2 Strategic Goal #2 Strategic Goal #2

Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:

Strategic Goal #3 Strategic Goal #3 Strategic Goal #3 Strategic Goal #3

Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:
Tasks: Tasks: Tasks: Tasks:

Maureen Orey, Workplace Learning & Performance Group

 Entrepreneurs: Do You Have What It Takes?
Rate yourself on the following qualities. They represent the thinking of several sources about the
requirements of a successful business owner. Spend ample time pondering these questions and answer
honestly. Rate yourself on a 1–4 scale:
1 = strongly disagree 2 = disagree 3 = agree 4 = strongly agree
Circle your answer
1. I usually try to take charge when I’m with others ........................................................ 1 2 3 4
2. I can do anything I set my mind to .............................................................................. 1 2 3 4
3. I have a high tolerance for difficult situations .............................................................. 1 2 3 4
4. I believe I can always influence results ....................................................................... 1 2 3 4
5. I am complimented on my ability to quickly analyze complex situations .................... 1 2 3 4
6. I prefer working with a difficult but highly competent person rather than a
friendly, less competent one........................................................................................ 1 2 3 4
7. I can fire employees who are not producing ............................................................... 1 2 3 4
8. I’m willing to leave a high-paying, secure job to start my own business ..................... 1 2 3 4
9. I push myself to complete tasks .................................................................................. 1 2 3 4
10. I can work long hard hours when necessary ............................................................... 1 2 3 4
11. I need to be the best at whatever I do ......................................................................... 1 2 3 4
12. I do not get easily frustrated ........................................................................................ 1 2 3 4
13. I thrive on challenges .................................................................................................. 1 2 3 4
14. I get bored easily with routine tasks ............................................................................ 1 2 3 4
15. I dislike being told what to do ...................................................................................... 1 2 3 4
16. I have a higher energy level than most ....................................................................... 1 2 3 4
17. I have held numerous leadership positions ................................................................. 1 2 3 4
18. I have the skills and enjoy accomplishing a complex task by myself .......................... 1 2 3 4
19. I can change my course of action if something is not working .................................... 1 2 3 4
20. I am seen as a creative problem solver ...................................................................... 1 2 3 4
21. I can balance the big picture and details of a business at the same time................... 1 2 3 4
22. I can predict how actions today will affect business tomorrow and in the future ........ 1 2 3 4
23. I need at least ___ hours of sleep to function effectively 1 = 8 hours 2 = 7 hours
3 = 6 hours 4 = 5 or less hours
24. I have at least ___ years of experience in the business 1 = 1 year 2 = 2 years
I will start. 3 = 3 years 4 = 4 years
25. Over the past three years I have missed a total of ___ days 1 = >16 days 2 = 11–15 days
of work due to illness. 3 = 6–10 days 4 = 0–5 days

Scoring: Total the numbers you circled.

90–100 Go for it!
82–89 Good chance of success
74–81 Pretty risky
73 and below Better continue to collect a pay check

Source: Elaine Biech, The Business of Consulting

 Dollars and Sense: What Should You Charge?
Put a price on your head: three ways to calculate

1. How much your clients will pay

Ultimately the client determines acceptable fee ranges. The factors that determine how much a client will
pay fall into two categories.
1.) The client: industry, the size, location, demand, and reliance on consultants in the past.
2.) The consultant: the level of expertise, the time in consulting, the stature in the profession,
name recognition, and the area of expertise. To determine whether you will charge at the high end or the
low end, compare the following pairs of descriptions and put an X by the one that most closely describes
you and your potential clients.

My Consulting
___ Expertise in high demand ___ Minimal demand for expertise
___ Over 20 years in industry ___ Under 10 years in industry
___ High name recognition ___ No name recognition
___ Area of specialty rare ___ Specialty readily available
___ Published work is well known ___ No published work

My Clients
___ High-paying industry ___ Low-paying industry
___ For profit ___ Non-profit
___ Large companies ___ Small companies
___ Large city ___ Small town
___ Coast locations ___ Mid-west
___ High use of consultants ___ Minimum use of consultants

Total ________ ________

The more Xs in the left column, the higher rate you will be able to charge.

2. Planned with the end in mind

Most of us relate our value to the salary that we draw. Create a budget to identify your salary, benefits,
taxes, and business expenses for one year. If it’s difficult for you to identify the exact cost of your benefits
because you do not have all the data at this time, you can estimate them at 33% of your salary.
Determine how many billable days you can actually plan on (rarely more than 50% of your working days)
and calculate a daily rate.

3. The 3x rule
If you do not wish to spend time identifying all your business expenses, the 3x Rule gives a close
approximation. It is used by consulting firms to determine how much to invoice clients for services. It also
serves as a guide to know how much consultants should generate and/or bill to cover their salaries. If you
desire a salary of $60,000, you will need to bill about three times that amount, or $180,000. Seem
excessive? In addition to your $60,000 salary, the rest is necessary to cover fringe benefits, such as
insurance, FICA, unemployment taxes, workers’ compensation, and vacation time; overhead, such as
marketing, rent, professional development, telephone, supplies, clerical support, and management duties;
down time, including days when consultants are traveling, off for a holiday, or in training; and
development and preparation time. In addition, any good business should be looking for a profit.

Your Salary $_______ X 3 = $_______.

Divide this by the number of billable days you anticipate and you will reach a daily rate.

By the way, new consultants

Source: Elaine Biech, The Consultants’ Quick Start Guide
usually undervalue their worth.
 Pricing Ethics and Tips
Determine a Consistent Pricing Structure

The highest compliment that you can receive from a client is that you are ethical. The fastest way to
undermine that trust is inconsistent pricing structures for different clients. To ensure that this doesn’t
happen, identify a clear and consistent pricing structure for all of your clients. Charging one client $1500
for one day of training and another on the other side of town $2100 for the same day of training will cause
problems for you. Clients get together at their industry professional meetings and share what they are
doing. You don’t want them to discover a difference in your pricing.

Do some situations exist in which you might not charge the same for all clients or for all work? Yes. Just
be certain that these occasions are clearly spelled out in your pricing strategy. And be certain that you
adhere to your own strategy. There are two times when you might charge different prices.

In the first, you might use a different pricing strategy for different kinds of work. The second instance is
when you may choose to give a discount to non-profit organizations, associations, government agencies,
church or school related groups or even your favorite charity. But even here, identify a measurable
reduction and be consistent. A clear pricing strategy maintains your ethical image. Remember, your
discount strategy is something that you have determined ahead of time. It is not something you negotiate
with a client.

Save Bargains for Department Stores

While we all love a sale, consulting isn’t a post-seasonal business. I believe it is unethical for you to lower
your rates simply because clients don’t have the amount you first quoted in their budgets. How could this
happen? You determine the project’s cost at your rates will be $5500. The client responds that there is
only $4500 in the budget for this project. It is very tempting (especially if you don’t have any work lined up
for the next few weeks) to say, “Okay, I’ll do it for $4500.” I believe this is one of the ways that
consultants get a bad reputation. If you can do it for $4500, why did you ask for $5500? Does that mean
that you had $1000 worth of fat in the proposal? It will make a client question your ethics and the ethics of
all consultants.

The only ethical way that you can lower the price of an original quote is to eliminate some of the services,
so there is a true trade-off in the services you offer. Don’t sell yourself short. If you find new clients often
asking you to reduce your rates, you may want to research the market place in which you are working.
Have you priced yourself above what the market will bear? If yes, you have at least two choices. First,
you may want to lower your prices. To do this you may need to decrease the services you presently
provide to clients or decrease your cost of doing business. Second you may want to locate another
market where your fees are more competitive.

Money Tips to Stay in Business

 Establish a fee structure that charges the same for like work.
 Look like a million from day one.
 Acquiring a new client requires ten times the effort as acquiring repeat business.
 You can be profitable and still go out of business.
 Go for the big fish—you’ll spend the same time baiting the hook.
 Be a hero and open the “So what’s this going to cost?” discussion with a client.
 Decide your ultimate plan: Do-it-yourself, partnering, or do you want a company?
 Be compulsive about billing your clients.
 The time to market is all the time.
 The most important time to market is when you’re too busy to market.

Source: Elaine Biech, The Business of Consulting

Reading List
 Biech, E. (2007). The Business of Consulting: The Basics and Beyond, 2nd ed. Hoboken: John Wiley
and Sons.
 Biech, E. (2009). The Consultant’s Quick Start Guide, 2nd ed. Hoboken: John Wiley and Sons.
 Bolles, R. (2016). What Color is Your Parachute? Berkley: Ten Speed Press.
 Ferriss, T. (2009). The Four-Hour Work Week: Escape 9-5, Live Anywhere, and Join the New Rich.
New York: Harmony.
 Godin, S. (2009). Purple Cow. New York: Penguin Group.
 Hyatt, M. (2012). Platform: Get Noticed in a Noisy World by Michael Hyatt. Nashville: Thomas Nelson.
 Huggett, C. (2014). The Virtual Training Guidebook: How to Design, Deliver, and Implement Live
Online Learning. Alexandria: ATD Press.
 Keller, G. and Papasan, J. (2013). The ONE Thing: The Surprising Simple Truth Behind Extraordinary
Results. Austin: Bard Press.
 Phillips, J. J. (2006). How to Build a Successful Consulting Practice. New York: McGraw-Hill.
 Phillips, J. J., Trotter, W. D. and Phillips, P. P. (2015) Maximizing the Value of Consulting: A Guide for
Internal and External Consultants. Hoboken: Wiley Publishing.
 Phillips, P. P. and Phillips, J. J. (2006). Building a Successful Consulting Practice. Alexandria: ATD
Press.
 Thiel, P. (2014). Zero to One: Notes on Startups, or How to Build the Future. New York: Crown.
 Weinstein, M. and Barber, L. (1999). Work Like Your Dog: Fifty Ways to Work Less, Play More, and
Earn More. New York: Villard Publishing.
Elaine Biech, CPLP Fellow ebbiech@aol.com
ebb associates inc 757.588.3939
www.ebbweb.com
Elaine Biech focuses on strategic implementation, leadership development, and experiential learning. She
has been featured in the Wall Street Journal, Fortune Magazine and others. She has written over 70
books, including the ASTD Handbook, Training and Development for Dummies, and The Business of
Consulting. She is the recipient of ATD’s Bliss Award, Torch Award, Staff Partnership Award and served
on ATD’s board of directors. She is currently a member of the Center for Creative Leadership Board of
Governors and is Berrett Koehler's curator for Advances in Leadership and Management. She received
the Wisconsin Women Entrepreneur’s Mentor Award and was ATD’s inaugural CPLP Fellow Honoree.

Barbara Greenstein MA, CPT barbmg@hrxi.com

Human Resource Prescriptions, LLC 858.509.9286
www.hrxi.com
Barbara Greenstein, president and principal of Human Resource Prescriptions, is a performance
improvement specialist providing proven and creative ways to improve human performance in the
workplace. By identifying issues and opportunities for improvement, she helps large and small
organizations meet their planned goals. Barbara is highly regarded for her instructional design and
facilitation skills. With more than 25 years of experience in the training and development field, her mission
is to help clients put the systems in place that help them more effectively manage in today’s changing
business environment while ensuring optimal performance and job satisfaction for all employees.

Cindy Huggett, CPLP cindy@cindyhuggett.com

Cindy Huggett Consulting, LLC 919.349.4589
www.cindyhuggett.com
Cindy Huggett, CPLP, is the author of The Virtual Training Guidebook: How to Design, Deliver, and
Implement Live Online Learning and Virtual Training Basics. She helps training professionals transition
from face-to-face to the virtual classroom, and works with organizations to design blended learning
solutions. She facilitates, designs, writes, and speaks on topics related to leadership and learning. Cindy
is also a past member of the ATD National Board of Directors and was one of the first to earn the
Certified Professional in Learning and Performance (CPLP) designation. You can find Cindy sharing
training tips on Twitter @cindyhugg and on her website

Maureen Orey, Ph.D., CPLP maureen@wlpgroup.com

Workplace Learning & Performance Group 619.475.8397
www.wlpgroup.com
Maureen Orey, CPLP is the President of the Workplace Learning & Performance Group, a boutique
training and consulting firm in San Diego, CA. Maureen is dedicated to working with inspired individuals
and organizations to help them improve their performance so they can get better results. She was a Pilot
Pioneer Certified Professional in Learning & Performance, and she recently completed her Doctorate in
Organizational Leadership. Maureen is the author of four books, most notably the best-selling book
“Communication Skills Training” published by ATD Press in 1995 and 2014. Her specialties include
leadership, resilience, communication and diversity. Follow her on Twitter @trainingleader.

Patti Phillips, Ph.D., CPLP patti@roiinstitute.net

ROI Institute, Inc. 205.678.8101
www.roiinstitute.net
Patti is co-founder and CEO of ROI Institute, the leading source of consulting, education, and research on
measurement, evaluation and the use of ROI to demonstrate value of non-capital investments. She and
her team build capacity in measurement and evaluation. Patti serves as Principal Research Fellow for
The Conference Board, board chair for the Center for Talent Reporting, and ATD CPLP Fellow. Patti
serves on the faculty of the UN System Staff College in Turin, Italy and The University of Southern
Mississippi’s PhD in Human Capital Development program. Her work has been featured on CNBC,
EuroNews, and over a dozen journals. She and her husband Jack launched their second business based
on their experience and passion for writing and publishing books – Business Writers Exchange, Inc.