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Ask HN: What is your experience in tech consulting?

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Re: Ask HN: What is your experience in tech consulting?

#61
post #22

Do not do free work for "testimonials" rather do it for a discount. I do not give sh-t who it is, I am not devoting my time for free to anyone. Your sidekick should be ChatGPT or any AI assistance you can get your hands on (if you are starting solo) It will help you tremendously. Do not be scared to reach out to organization. Buy some add space on google and target regions. You are going to kill it. I believe in you…

> Your sidekick should be ChatGPT or any AI assistance you can get your hands on (if you are starting solo) It will help you tremendously. Copilot has been found to spit out copies of code it was trained on. You don't want to violate your contract with client, nor expose client to IP theft or GPL taint.

There is no problem with your client having GPL code if the code is not going to be published. As far as I know, GPL and GPL2 should be totally ok. The rights to the codebase can also be transferred but the GPL parts would retain the same license. So the new owner would have to publish it under GPL if he publishes the code and so on.

But proprietary code is the problem in the equation. They are not GPL and any code that gets bits of such proprietary code would be in violation of the copyright...

Re: Ask HN: What is your experience in tech consulting?

#62
post #44

Earlier quoted context omitted.

Ignoring technicalities, legalities, ethicalities etc. How would anyone ever find out, assuming their product is closed source?

In response, I just thought of a potentially very lucrative startup. :)

Please don't ...

Re: Ask HN: What is your experience in tech consulting?

#63
post #31

Earlier quoted context omitted.

I don't know who the "non-paying" customers are. Don't do business with companies that might not pay.

When you say "delay on payables", do you mean not paying you for agreed-upon already-completed work, or do you mean not giving you new work right now?

To give you an extreme example, I have worked as part of a team of consultants for various state owned companies in the past four years. They take up to six months to clear your payment but I have never ever seen them not pay and once you are in both the bureaucracy and the environment are so complex that given onboarding costs you get a steady amount of work for years.

Re: Ask HN: What is your experience in tech consulting?

#66
I'd give contrarian advice here. Some people suggest to "charge more" but this hardly works if you are just starting.

What worked for me is to keep jumping from client to client until you find a good one that makes up for the "bad" ones; with the bad ones not necessarily bad (as don't pay, sky-high expectations, bad communication, etc.. never take those) but rather clients that will have 2-4 months of work only.

The reality is, your consulting business will go two ways: Either you'll grow to x/xx employees; or it'll be just you. The difference is huge, and your responsibilities as well as your day to day job will be different. For the former, you are a manager and a seller. For the former, you are a software developer that need to have a small sales pipeline and keep in touch with an accountant.

I'd not advice on the former, but for the latter, just reach random people here or elsewhere. Somewhere along the people you reach, you'll find work for short periods, or small gigs. One of them will turn into a year long arrangement. It might seem risky that you are relying on a single client, so price accordingly for the down time. But address this with the mentality that your next gig will come from somewhere else. For me, when I was looking, it was a maximum of 1-2 months that I'd land the next gig. Usually shorter. Been at this since 2010, so maybe adjust for the current "down" market.

For the big fish clients (aka: Corporate Gigs) that some people here suggest hooking with, I'd suggest not to put much effort into that. The reason for that is simple: It's more about navigating politics, hierarchy, organizational complexity and bureaucracy. It can be lucrative but it can also drain you in the short time, these are also gigs that gets established with politics rather than skill. They can be draining until you get paid, and if you are short in cash (or need a fast money pipeline) this can turn stressful. I'd advice to push this for a later date.

It's also important to say that the first type of clients will rarely convert to the second type of clients. My experience is that the two categories don't overlap. So if you are about 2, (especially if you are looking to grow) and want clients that will be happy to pay for your airtravel+hotel+wine&dine meal, by all measures start looking for 2.

Re: Ask HN: What is your experience in tech consulting?

#67
I am honestly not sure if I am consulting in the sense many describe here. But I work in my own business, and have since 10 years worked in big corporations as contractor. This type of assignment is impossible to get without going through the middle men that the big corp wants to source their non-employees through. So my experience is different from those that find their customers directly and negotiate directly with them. But at least around here, I think it is very hard to impossible to get a contractor assignment to a bigger company or organization without going this path. They prefer to source their consultants through "framework agreements" (not sure if it is the right English word), which no single-person-business can be a party of themselves as they are too small.

Still, I have been pretty happy working this way. I may have been lucky in that the customer have appreciated the work I have done and I have had responsibilities outside of pure tech, such as acting as team manager for a technical team for example.

Re: Ask HN: What is your experience in tech consulting?

#68
May I ask what is meant by "tech consulting"? This is different to IT contract work I assume? Is consulting more about offering knowledge and guidance? What are the skills consultants need?

Say a company wants to increase their organic search traffic, I'm guessing that's where a consultant can come in, do some research, provide recommendations, then build out a solution?

And I guess to follow up on this, I've worked as an IT contractor for several years now, but I'm not clear how someone would get into consulting. I'm not even sure I've seen individual consultants before at companies. I've worked with Accenture consultants who have worked on projects with me, but I've never seen an individual do similar work. How would one get into this - is it purely networking, or do recruiters place consultants?

Sorry if these are stupid questions. I guess I've never really understood what people meant by consulting and it seems people can use the term to mean quite a range of things.

Re: Ask HN: What is your experience in tech consulting?

#69
post #20

Random bullets. * You need to be making 150-200% of your FTE rate to come out ahead in a year * Bill daily, not hourly (you can bill weekly, or quarterly, too.) * Raise your rates. * Count on signing your clients master agreement, not yours * You can win by getting every contract reviewed, or by just signing them blindly * Specialize * Incorporate; it's easy and cheap * Keep your SOWs vague * Don’t waste time on your…

couple of questions to that: > * You can win by getting every contract reviewed, or by just signing them blindly could you elaborate on that? not sure i understand > * Keep your SOWs vague that can help you or hurt you, right? i'm working at a big consulting firm and our motto is to write the SOWs as explicitly as possible to prevent scope creep. > * Don’t do conferences/conventions why? isn't that a perfect way to s…

For SOWs, I find that it helps to keep them very explicit about the larger goals and the "why" of the project, but vague on details, and then enter into an agreement where the customer pays you to keep scope at a level where the larger goal and "why" can be accomplished within budget, not into an agreement where the customer controls the scope and you just balloon the budget if they increase it.

Re: Ask HN: What is your experience in tech consulting?

#70
post #19
post #16

Just a few random thoughts from ~10+ years of doing this. These are not ordered, as I've been out of this for the past few years. - Contracts, contracts, contracts - Immediately stop all work when any customer doesn't pay an amount owed. There's a natural inclination to keep going, but this is a firm of pathetic cost fallacy. - Work with an escrow provider and eat the fees. You'll generally have a 10% non-collectable…

I would push back on a lot of this. These seem like strategies to avoid getting ripped off by shitty clients, and I'm sure they work, but they're also a strategy to avoid closing business with great clients. Try to focus on the kinds of customers you won't ask for down-payments and up-fronts --- the kinds of customers who will routinely delay a full quarter or two on payables, and you'll put up with it, because they'…

> Try to focus on the kinds of customers you won't ask for down-payments and up-fronts --- the kinds of customers who will routinely delay a full quarter or two on payables, and you'll put up with it, because they're paying for several people's salaries,

Must be nice to have so much money in the bank that not only can you pay 6 months of several people's salaries, but you can also tolerate the risk of the client not repaying you that amount.

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