You may think that your computer consulting firm is too small for a risk management plan, but think again.
While you don’t need the highly-sophisticated risk management plans developed by large companies, you do want to take some time to identify any major risks to the success of your business.
Simple Enough for Even the One Person IT Consultancy
You can scale down the elements of a full-scale plan with a simple exercise.
Think through the events that could be a major detriment to your operations, and then consider options for mitigating them.
Having thought through some worst case scenarios allows you to take some steps now to minimize the effects should they arise.
For example, two common critical risks for an IT consultancy would be:
What if you get sick – If you are a solo entrepreneur, this should be your biggest fear. You must consider the unexpected. Do you have a friend or former colleague that you could rely on for help? Is there another consultant with whom you could agree to fill in for each other in case of emergency?
Unexpected expenses – Keep an eye on your credit. You may need to qualify for a short-term bank loan or line of credit. Plan now by reviewing your credit scores or build credit in your company name. Make a preliminary visit to your bank to inquire about expectations should the need arise.
Add to your plan other risks that your computer consulting firm might specifically face, for example, childcare.
If you’re the primary parent, you will need a back-up babysitter. The day will come when you have a conference call or on-site visit that you cannot do with a child and the babysitter is sick. Ask other working Dads and Moms for referrals now.
Opening a computer consulting firm on your own can be rewarding, but also carries special risks. Planning for those risks now can pay off for you later.
Do you have a formal risk management plan for your IT consultancy? Share your tips in the comments section below.
And to follow-through on the concepts introduced in this short post, download your free special report on How to Start a Computer Consulting Business: 6 Proven Ways to Build Your Initial Client Base.
Creative Commons Image Source: flickr renaissancechambara
Topics:- Computer Consulting Business