January 2005

Six-Figure Success: How Consultants Can Build the Ideal Business, and Profit
By Kelly K. O'Neil

Every consultant has had the feeling: The conviction that your own private service practice is your true calling. Your passion quest. Yet, the mundane details of actually running a business can make even the most inspired businessperson question whether the choice was the right one. The monthly budget. The humble billings. The everyday drudgery of startup entrepreneurs. These modest beginnings lead many to question their own value.

So how can you develop a six-figure service practice without taking on too many clients or pricing yourself out of the market?

In the service professional industry, especially, the "emergence" phase is the riskiest period. We all can feel a lot of stress when trying to establish our reputation and achieve high profits. Burnout is an ever-present danger, and the blazing speed of today's work culture can add to the feeling of guilt. It's time to escape the guilt and master your business potential.

The secret to Six-Figure Success is a strong business foundation and a great reputation. I've identified a series of tactics to build on the business foundation and reputation mantra, based upon a tried-and-true methodology, to produce financial results when worked into your business action plan. These things take time, but a consistent, systematic approach to these milestones will produce revenue.

Six-Figure Income consultants are experts in their specific areas. They know their strengths and how to brand them. They are disciplined and are focused on becoming the preeminent experts in their field. And they follow their hearts. It's all about passion. Yet, how do you turn passions into profits?

With this Eight-Strategy Approach, entrepreneurs and service professionals learn how to develop a profitable and rewarding business. Follow these eight strategies to turn your passions into profits:

1. Manage life first, then business.

You are the key, the brand, and the business. If you don't recognize this early on, you aren't being true to the reason you started your consulting business. Develop your business to support your lifestyle, rather than allowing the pieces of your life to fall around your business. Continue to honor your values and define the mission for your life and business. Incorporate your values into your business vision; it's the foundation for taking the work you're passionate about to the next level.

A common issue for small business owners, particularly in service-oriented businesses, is burnout. Before you do anything else, write out what you want for your life—both personally and professionally. Next, write down what you value in a successful life, perhaps an ample income, more time with family, two days off per week, or the extra time to travel. A values-based business comes from working toward your goals while staying committed—truly committed—to your values. For example, if your goal is to spend more time with your family, don't work an 18-hour day!

Organize your workweek to honor your values. Personally, I value long weekends, so I do all my administrative and marketing work on Mondays. I coach and develop programs and passive revenue Tuesday through Thursday. I take Fridays off. Of course, during busy times, I can use Fridays to complete extra work.

2. Clearly define a powerful business vision.

One of the most profound statements is from Lewis Carroll's Alice's Adventures in Wonderland. Alice reaches a fork in the path and meets the Cheshire Cat. She asks the cat which way to go. The Cheshire Cat asks, "Well, where are you going?" Alice doesn't know. The Cat wisely says, "Then it doesn't very much matter which path you take."

The same applies for business: You need to know where you are going before you can get there. Ask yourself: In three years, what do I want my life to look like? What do I want my business to look like? And how will my consulting business support me in my life?

3. Develop a results-based plan.

What results do you want? When do you want them? Break the plan down into attainable chunks using the Specific, Measurable, Action-oriented, Realistic and Timely (SMART) goal-planning system. Use a one-page business plan, such as Jim Horan's One Page Business Plan.

Commitment to your dream just isn't enough. You must take action to succeed. Create a plan with results-based outcomes. For example, don't just jot down "Make Calls Introducing Business." Instead, create a plan that has results in a specific time: "Call ten influencers in my community and secure lunch with 70 percent of them to introduce my business and create commitment of support by December 1."

4. Develop a financial plan that supports your vision.

To develop a six-figure income, you must identify financial goals above and beyond basic budgeting. This includes researching Errors & Omissions (E&O) Insurance and potentially incorporating your company to protect your assets. Include a marketing budget with growth-oriented opportunities such as info products and public speaking. Also, as you plan for the growth of your company, include the expenses (such as hiring additional staff or vendors) that will enhance your success.

5. Surround yourself with excellence.

Find resources that empower you, including coaches and mastermind teams. Peak performers will tell you over and over again that they achieve their biggest successes with the support and encouragement of the people with whom they've surrounded themselves.

Develop and increase your expertise in all aspects of business management including planning, financials, marketing, customer service and sales. People tend to focus on what they do best. Consultants consult. However, at some point, sustaining growth in any business will require shifting resources away from providing 100 percent services all of the time. You should spend 40 percent of your time consulting, 10 percent of your time on business management and 50 percent of your time marketing, including new product development.

Consider hiring experts to support your core business functions (bookkeeping, marketing, sales). They, too, are an investment in the future growth and prosperity of your business. Go back to your values. There are only so many hours in the day, but things still need to be accomplished, and somebody has to do the work.

For example, I needed support in organizing my business, which is growing at a healthy pace. I needed someone who could handle the administrative work that was bombarding me—and that I was avoiding. The week I hired my virtual assistant, I tripled my business. Small investment = big return. I also hired a marketing professional. Even though I am an expert marketer, I had gotten what I call the "Vampire Effect," where you look in the mirror and you can't see yourself. Hiring someone to give a new perspective to market my business was the best investment I have made.

6. Effective marketing will build business; bad marketing will destroy it.

Tell people who you are, what value you offer them, and where to find you… again and again. Develop a powerful personal brand that differentiates you within your industry. Why should they hire you over a different professional? This differentiation will lead to better communication, increased revenue, and an image to be remembered. Does your team have a phenomenal response rate? Are your public speaking skills superior? Do you specialize in a specific area? What unique trainings do you have? By highlighting your uniqueness, you capitalize on your brand.

Remember your first public appearance as a consultant? It was great. A bit nerve-racking, but exciting. After a while, those appearances may have diminished as you spent more time handling client work and staying in the office. Well, get out there! Your business prosperity depends upon whether you become known locally, regionally, or nationally. This means you need to establish yourself as an expert. Speak to new audiences. Developing passive income (books, audio tapes, special reports) to sell in the back of the room is a sure-fire way to dramatically increase your income and your expert status. And position yourself as the expert.

Make sure you have a professional image. At a bare minimum you need a Website, a business card, and a brochure telling people what you offer. If you have no site or a poor site, you have no idea how much business you are losing. I highly recommend leaving this to the professionals. Many companies can help entrepreneurs develop a strong brand identity. Show the public you mean business.

7. Integrity, commitment, and tenacity generate results.

Consultants often tell this to their clients but often forget it when it comes to their own business. Stay true to what you know and what will work for you. Be committed. Follow through on what you say you're going to do for your clients, yourself, and your business.

8. Celebrate successes and failures... then try again.

You learn from both. Document and celebrate your successes. Don't be afraid to develop tips and techniques for overcoming failures. Look at failures as a gift: You now know what not to do.

As a consultant, we often get bogged down with the things that prevent our businesses from reaching their true potential. You must focus on your own business vision and action items to be successful—and structure your practice to make this a priority. View your business as a billable client. After all, it's the billable clients who are the key to your Six-Figure Success.

To your success!

Kelly O'Neil, "America's Lifestyle Entrepreneur™," is a graduate of The Coaching Training Institute, and is an award-winning marketer, coach, and co-author of Visionary Women Inspiring the World: 12 Paths to Personal Power and The Ultimate Small Business Guide e-Book. She is currently working on her third book, The Conscious Entrepreneur: 8 Strategies to Turn Your Passions into Profits. Her company, Journey Avenue, a business-coaching company that offers nationwide programs to entrepreneurs and their teams in essential business, marketing, and personal strategies that are proven to create more profit and prestige in less time, was recently honored by Fast Company's Seth Godin as one of America's most innovative companies. For more information, visit www.journeyavenue.com, call O'Neil at 408-615-8150, or email Kelly@journeyavenue.com.