Live data from Hacker News

How I went from programming to consulting (2012)

training.kalzumeus.com

131–140 of 495 posts

Re: How I went from programming to consulting (2012)

#131
post #121

Earlier quoted context omitted.

> As somebody who is a skilled backend developer the value I provide is not as measurable Learn to do something which is more measurable, or figure out ways to measure some particular aspect of value you can bring. In back-end software, it will most likely be around performance or security. Doing a security audit then proposing remediation... if the company has already been hacked, they (should) understand the value…

Do you think there are 1-5 person companies doing millions annually with an ecom site?

There are definitely small (Margins matter too, not just headcount. Someone could do $2m/year but make less than someone doing $800k/year with better margins.

Doing perf/security reviews of a niche like that (woo, magento, etc) would probably still be a place to focus and make money, if you want to stay 'back end' (or at least technical). But even then, some of the measurable stuff will be needed - "we reduced the load times by 45% on the checkout page, and conversions went up 17%, adding $87k in profit last year".

Re: How I went from programming to consulting (2012)

#132
post #17

Step 1: Be popular/famous enough that people know your name. Step 2: Be good/accurate enough at opining in ways that make sense. Most people won't have either 1 or 2 going for them. There's one more thing - charging a lot is how to signal value, which is a a huge thing. I know a guy who used to manage an A-list rock band (everyone knows their songs) who went into consulting, and started out lowballing people, for $1k…

IMO it's a mistake to focus on his particular fees, that's what he managed to make for himself. You need to find your own realistic path. For instance I, living outside of US, will probably never be able to charge $100+ hour my clients, I'm fully aware of that. But no matter who you are, you probably still can push for a little bit more, and that's where Patrick's advices are solid. Often, it's just a matter of askin…

Where do you live?

Re: How I went from programming to consulting (2012)

#133
post #57

To this day, I'm still not quite clear about what a consultant actually does. I mean, beyond some vague idea ("goes to some company, talks with people, gives some recommendation"). I'd really love for someone to give some example or describe in a tangible way what the work of a consultant entails, what skills one typically needs and actually employs, what a typical gig looks like from beginning to end and so on. If a…

A consultant do the exact same work that you do, except he's paid a multiple of you and doesn't get company benefits.

Can a consultant do any kind/type of work?

Re: How I went from programming to consulting (2012)

#134
post #124

I charge between $2-3K a day. But i have 20 years experience and worked for large clients and at big companies. My best advice is the find an industry which have a lot of consultants working (so you know clients have the money) and then offer yourself as a consultant with a design, tecnical, financial etc approach. I.e be a niche player in a large industry and never grow bigger than 10 people and instead start chargi…

Your agency has 10 people? Was you the first person in your agency?

No we are two looking to hire 4 more. Have freelancers do some of the work until we find the right people. My first agency was 80 in its peak, but its just too much people handling imo.

Re: How I went from programming to consulting (2012)

#135
post #83

A relevant side note: If you're getting into consulting, here are my suggestions for writing a good Statement of Work https://kirubakaran.com/blog/consulting-sow/

Your example reads like a programmer wrote it instead of a consultant. - Would not expect to see a "such as" in statement of work in the locations you used them. - Would not expect typos in statement of work. - Consultant will push commits to source control.. I have other employees to code, I would pay an consultant to consult. Define strategy, architecture, coach. Not type code, you are way too expensive for that. A…

For a single person, it's often both. Personally, there are projects where I'm more a 'freelance software engineer' - someone else is managing the project, working with the end client to determine goals, dates, etc. Someone else did sales and defined the outcomes, etc. I'm a pair of hands.

In other cases, I'm doing more of that other work - actually 'consulting' - meeting with people, helping determine strategy/direction, etc - then sometimes managing the project and/or doing some code (if code is needed, and usually is).

Re: How I went from programming to consulting (2012)

#136
post #121

Earlier quoted context omitted.

Do you think there are 1-5 person companies doing millions annually with an ecom site?

There are definitely small ( Margins matter too, not just headcount. Someone could do $2m/year but make less than someone doing $800k/year with better margins. Doing perf/security reviews of a niche like that (woo, magento, etc) would probably still be a place to focus and make money, if you want to stay 'back end' (or at least technical). But even then, some of the measurable stuff will be needed - "we reduced the l…

Would it be easy to find these clients?

Re: How I went from programming to consulting (2012)

#137
post #111

Earlier quoted context omitted.

Some actors grew up poor but I wouldn't go around telling poor people they can all become world-famous actors.

You think being a consultant is as rare as becoming an actor?

A consultant making 5 figures a week, in practical terms, is a unicorn that is not reliably repeatable. Most people cannot maintain that level of marketing while maintaining an income (as a consultant) effectively. If they could, every programmer would try to transition into making 5 figures a week as a consultant instead of making $100-200k with a stable job.

The $4k/week thing isn't since pretty much any decent consultant can command $100/hr which is what that weekly billing works out to.

Re: How I went from programming to consulting (2012)

#138
post #111

Earlier quoted context omitted.

Some actors grew up poor but I wouldn't go around telling poor people they can all become world-famous actors.

You think being a consultant is as rare as becoming an actor?

Not everyone can be in the top 1% of paid professionals in their field. That extends to acting or consulting. And there simply aren't enough clients that can pay that much to support a significant increase in the # of folks pulling down those fees, regardless of the quality of the service offered. If 100 Michael Jordans showed up tomorrow, that would just increase competition for the same scarce resource of NBA player slots, not the number of slots. Professional sports or acting make these dynamics more transparant, but they're at play in all professions.

Re: How I went from programming to consulting (2012)

#139

Consulting fees certainly make the work more attractive than it would otherwise be, and I have been tempted to go down this path before. That aside, part of me thinks that the culture around consulting is masking bigger problems. I've seen consultants being brought onto projects where the main development staff would've been better placed to do the work (more knowledge about the intricacies of a business, better awar…

I feel like you just described my office perfectly.

Re: How I went from programming to consulting (2012)

#140

Consulting fees certainly make the work more attractive than it would otherwise be, and I have been tempted to go down this path before. That aside, part of me thinks that the culture around consulting is masking bigger problems. I've seen consultants being brought onto projects where the main development staff would've been better placed to do the work (more knowledge about the intricacies of a business, better awar…

> but you've got to wonder what goes through the head of business owners who would rather pay high consultant fees than invest in extra staff and training for their in-house team, which is frequently better for the long term health of a company For large companies, division managers are more concerned about short term goals, because that's usually what metrics are in place, but also potentially competitive landscape,…

> "However, often, the people with the required skills don't want to work 24/7 for one singular employer."

That's why I suggested training (which would be part of a long term solution, I agree with you that consultants have a role to play for meeting short term goals). Companies seem to undervalue training, probably because it's not business critical and there's no guarantee that a employee won't just get trained and then leave. What I think companies overlook is that an environment that gives enough resources (time and otherwise) to foster personal growth is the type of environment that breeds loyalty. Where I'm working right now, I have to fight against the grain to pick up new skills (even skills that have an almost immediate payback). Doesn't sound like a healthy work environment, does it? On the other hand, I've worked at another company where training was encouraged, which was definitely a key part of what made it a better place to work, with an added bonus of getting to work with happier, more productive colleagues. Interestingly, what formed part of the downfall of the latter was some senior management types trying to outsource as much as possible to consultants, and not for sound business reasons... let's just say that, for some people getting gigs, it's not about what they know but who they know.

Post reply on HN