Starting an IT Consulting Business in a Sluggish Economy
LegalZoom.com lists computer repair as one of 10 key businesses to start in a down economy. This is good news for those who are starting an IT consulting business.
Some business areas thrive specifically because times are hard: These include debt collectors, job search agencies, or pawn brokers.
Other businesses will lose customers during a tough economy, especially if their businesses are seen as luxuries—like travel agents or high-end hair-dressers.
Computer repair—and its more upscale cousin, IT consulting—covers those needs that people can’t seem to do without; the demand will continue, regardless of economic conditions.
Here are three ways to keep your IT consulting business profitable during the bumpy economic recovery:
Find the Advantages
Starting a business in general during a slow economy brings certain advantages: There will likely be less competition, for starters.
And the costs for everything, including marketing, will be less.
Inc.com explains the paradox this way: Starting a business during unsteady financial times is like taking a vacation during the off-season. There may be less overall business, but there’s also less competition for the business there is to be had.
Land Clients You Might Not Otherwise Get
If you’re starting an IT consulting business in your home, you have minimal overhead costs.
Pass these savings on to your customers to get a foot in the door with clients who are having to cut back.
Entice Customers with Guaranteed Packages
Suggest that new customers start with a small, initial, proving ground project. Offer to then rebate the full cost of that first project if these new customers hire your firm for larger, related follow-up projects.
Once you become established, you’ll be well-positioned when the economy begins to improve.
Starting an IT consulting business during a sluggish economy may not be ideal, but use all advantages you can find. Share any tips you have as a start-up business for getting a foot in the door in the comments section below.
And to follow-through on many of the concepts introduced in this post, be sure to download the free special report on How to Start a Computer Consulting Business: 6 Proven Ways to Build Your Initial Client Base.
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