Business Plan for Consulting Companies
The Challenges of Writing a Successful Consulting Company Business Plan
Joorney Business Plans’ Writers have extensive experience working with consulting companies and understand the challenges of writing a successful business plan to support the applications with investor immigration or raising capital from investors. Firms in the Consulting Industry provide advice and assistance to individuals, businesses, and government bodies in a variety of specialized fields, including management, IT, human resources, environmental regulations, and real estate, among many others. 2016 was a strong year for the U.S. consulting market, which saw growth of 7.1%, reaching a value of $58.72 billion.
Many individuals that contract us to write a business plan for them have extensive experience in the consulting industry and need professional help in the initial phase of starting their own business. Additionally, large consulting companies from other countries need our help when branching into the U.S.
Joorney Business Plans’ products are tailored to the specific needs of each client and honor the unique characteristics of each consultants’ operations. Our extensive experience in dealing with all types of consulting companies, as well as experience when writing for different types of audiences such as the United States Citizenship and Immigration Services (USCIS) and institutionalized or individual investors, helps us streamline the process of writing a business plan.
When drafting a business plan for a consulting company, there are several issues to address:
A low level of capital intensity characterizes the Consulting Industry. The provision of industry services is highly labor-intensive and high labor costs are a reflection of the high level of education and experience employees require before working in the industry. IBISWorld estimates that for every dollar spent on labor, industry operators spend an average of only $0.02 on capital investment.
Due to the fact that human resources play such an important role in the business, it is of utmost importance to emphasize the education, knowledge, and experience of the employees and their roles and expected contribution to the company’s success. The biggest challenge for the Business Plan Writer is to align the existing team toward a common set of goals and to secure that the connection between the company’s human resources and the company’s strategy remains strong and apparent throughout the entire business plan. Joorney Business Plans has experience describing developing employee plans, describing duties of each employee in detail, and linking the proposed individuals’ knowledge and experience to their designated roles.
Consulting companies rely heavily on marketing and existing clients’ recommendations to acquire new customers. The key to designing a successful marketing campaign and sustainable sales is to carefully define the target group and unique value proposition that the company has to offer. Consulting companies might target individuals, businesses, or even other consulting companies. Business-to-business (B2B) consulting companies can target small or large companies; companies operating in medical, pharmaceutical, or gas industry; start-ups or existing businesses, while business-to-customer (B2C) consultants can target various demographic groups such as customers aged under 25, men aged between 25-45, unemployed, and unmarried population.
Furthermore, B2B consulting companies may offer to provide specific expertise that the client’s staff lacks or to supplement a client’s internal staff temporarily, enabling them to avoid hiring in-house employees and consequently increase their long-term personnel expenses. Consulting companies can also offer to teach commercial clients’ employees specific knowledge or to help them to implement changes in their organization. Likewise, B2C consultants can offer value-adding services such as training or career guidance to individual clients.
Oftentimes, our clients have a vision of what their unique value proposition will be and need help to describe it in detail and identify the right target groups for its services. Joorney Business Plans have extensive experience in systematically and thoroughly describing, oftentimes very complex and technical services in a way that is easy for the reader to understand. Additionally, our writers have experience identifying and describing target customer groups and connecting them to comprehensive market analysis and marketing strategies that are included in all of Joorney’s business plans.
Projecting expenses of a consulting business are an important part of the financial projections that need to be included in every successful business plan. According to IBISWorld, nearly 43% of the revenues of consulting companies in the U.S. were absorbed by personnel expenses in 2017. The procurement of office-related products and services that day-to-day operations are dependent upon and reimbursing consultants for expenses, such as travel accounted for 11.4% of industry revenue in 2017. Firms in the industry often consider their offices and buildings a representation of their brand and invest in modern, attractive properties, spending nearly 5% of their revenue on rent and utilities.
Cost structures within the Consulting industry vary based on a variety of firm-specific factors, including business size and markets served. Joorney Business Plans uses market statistics to project the expenses that fall within the industry’s averages for the specific areas and present the clients with the best estimates.
Aside from the projected expense structure, the business plans need to include the projection of revenue. Consulting companies usually charge per hour or per project. Joorney Business Plans has experience creating sales projections for consulting companies and understands the specifics pertaining to this business. Our Business Plan Writers include information on the average annual revenue of similar companies in the area. Our financial projections are based on realistic assumptions, and most importantly, are feasible. Using its comprehensive experience obtained from writing business plans for numerous clients from Consulting Industry, Joorney Business Plans is able to increase the accuracy of its financial projections, adding real value to business plans.
A complete market and industry analysis is a cornerstone of a successful business plan. When writing a real estate business plan, it is of utmost importance to explain how your business model corresponds with today’s market. More than 80% of Consulting Industry operators are small firms that service narrow niche markets. More often than not, our clients have experience dealing with specific issues such as financial, accounting, IT optimization; industries such as hospitality, media, and entertainment, banking and securities; and/or geographic locations. Based on their experience and market insights, our clients create strategies to grow sales in these specific niches and need help to elaborate and support their strategy with solid data.
Joorney Business Plans has access to exclusive content from IBISWorld, the most comprehensive collection of industry market research and industry risk ratings and Statista, statistics, and studies from more than 18,000 sources. The Company’s Writers include an in-depth look at the transportation market, trading trends, potential market size, competition, and forecasts in all freight forwarding business plans and help the clients transform their ideas into compelling business propositions supported by real-life data.
When writing a business plan for a consulting company it is important to demonstrate the value that the company will bring to its customers. Differentiating the service and identifying a specific market niche in which the company will operate are two requirements that determine whether the business will be viable in the long run.
When drafting a business plan to support the applications with investor immigration, bank and SBA loans, and investors, each consulting company should provide realistic and feasible projections of the financial performance expected.
The business plan needs to provide a detailed strategy, linked to the company’s employees and a comprehensive market analysis that will describe the state of the industry and competition, and estimate the demand and the size of the market that the company plans to address. Demonstrating the strengths of the company and the feasibility of its strategy are of utmost importance when writing any business plan.
Using its extensive experience in the Consulting Industry, Joorney Business Plans provides the most recent and data-supported market analysis, comprehensive competition analysis, marketing and strategy plans tied to the human resources of the client, and viable and realistic financial projections.