Consulting is something that can vary greatly in price. Some consultants only charge a respectable fee for their services, while others will charge up to ten times the amount due to their credentials and connections. Unfortunately, something as subjective as consulting can be difficult to gauge, hence why the prices are so varied and why each company values consultancy differently.
Of course, regardless of the size of your business, it’s important to ask yourself this crucial question; am I getting my money’s worth?
In this article, we’re going to talk about how you can tell if your consultant will actually help your business or not. We’re going to discuss what makes a good consultant and how you can tell if they’re just out for your money or genuinely want to help your business.
Forming good chemistry between you and your consultant
A good relationship between you and your consultant is paramount to their success. If the chemistry isn’t right, then you’re going to face issues down the road. You need to be friendly with your consultant and always feel like they’re out to help you, not to take more money from your pockets.
If you’re finding it difficult to converse with your consultant or your first impressions aren’t very good, then there’s likely going to be an issue in the future that will drastically reduce the overall productivity of your partnership. Consulting requires a lot of trust and if the interpersonal chemistry isn’t quite working out, then it’s going to be a waste of money in the long run.
Consultants need to be well-connected
Consultants should have plenty of contacts to help you build a better business. For example, if you’re hiring a consultant to help you put together a production line to help you scale your company, then they’ll need knowledge and contacts that can help you obtain heavy machinery, automated systems, powder coating hardware and other types of industrial equipment. If they don’t have these contacts or can’t help you secure valuable contracts with other companies, then they’re not worth their money.
Keep in mind that references are important when it comes to understanding whether or not your consultant is able to help you. If they lack references then charging a large sum of money for their services will seem a little out of the ordinary. However, if you have been referred to a consultant and you know that they’re well-connected, then it can be well worth the investment.
Of course, it’s worth remembering that every consultant is doing it as a business, hence why they need to charge for their services in the first place. They have to cover their expenses such as running costs and business consultant insurance.
But despite that, there are some consultants that are more passionate about the work than their paycheck and it’s important to understand how to spot a good and bad consultant. We hope that this article has helped you define what it means to have a good advisor in your business, the advantages it brings to the table and ultimately why they’re worth the salary they ask for.
