Questions/Seeking Advice: starting my own consulting business.

Heather Mc

April 5,2023 at 3:09PM UTC

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Questions/Seeking Advice: starting my own consulting business. Has anyone here done it and if so, how did you start? How'd you come up with a company name? Did you hire someone or just go through LegalZoom to set it up? How do you handle paying yourself?

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AnonymousApril 5,2023 at 6:55PM UTC
Yes, and i got involved with a networking group in which there was a small biz/entrepreneurial attorney. But, when I first set up my business I followed the rules established on the state small business development website. There are state laws to follow as well as city and county. Make sure you follow these as it will make your life easier. Make sure to get all your licensing done along with creating an LLC, etc. I used my name along with a dba that I later created. Good Luck.
AnonymousApril 5,2023 at 7:21PM UTC
Yes, I did. I got laid off, a very generous severance package, and decided to hang out a shingle. Set myself up as an LLC, (good advice about following your State's guidelines on how to set up a business), got help with my website, tried networking (I'm such an introvert), and made it work for several years. A client liked me and I like the client, and they eventually hired me. I needed the steady pay and benefits so it was the right decision. I still consult on the side but only for a few clients. Good luck! Oh, and take out an umbrella policy, just in case!
Michelle MarkgrafApril 7,2023 at 12:58PM UTC
I started my consulting business as an LLC September 2021. To determine a name, I went to my state's Secretary of State website and used Google. I input names in the SOS site to see if any other companies in my state had the same name. Then I googled the name to see what was taken as a web address already. GoDaddy can also help with finding available names. After hours, I ended up with Markgraf Consulting. Not flashy, but it fit my requirements, though I did have to use .us rather than .com.
Michelle McGuinnessApril 7,2023 at 1:05PM UTC
Hi Heather. I set up my LLC in 2018 & I’m in the gxp space. I’m happy to share what I’ve learned & introduce you to contacts. There is too much to write here but I’m happy to Zoom with you to discuss. Let me know if you’d like to discuss & network!
Mary PoolApril 7,2023 at 1:15PM UTC
My two thoughts are to have a company name that describes what you do. Seeing a company name and having no idea what they do is frustrating. The second is thoroughly searching to see how close you are to other names. I have a friend who just started a new enterprise and chose a name just one word off from a competitor (no, he did not realize it). When people search for him, they get the competitor. So his business is failing, and his competitor's business has dramatically improved. Also, Google thinks he is a fake website (due to the naming similarities) and has flagged him as untrustworthy. It gets it straightened out, and then the system flags him again. It is a mess.
AnonymousApril 7,2023 at 1:23PM UTC
Name - Yes, My Name is Awesome - check out this book on Amazon - it'll help you come up with something great without having to crowdsource a name (crowd-sourced names usually aren't fantastic)
Legal items - I was fully self-employed for about 15 years, and haven't heard any favorable stories in that community of LegalZoom or similar services. You can pretty easily set up an LLC through your state's Secretary of State website for a nominal fee once you have a business name.
Money & taxes - Have separate bank accounts & credit cards for your business operations, and when the time comes to pay yourself, do so from your business bank account to your personal bank account. Don't mix spending. Seek out an accountant who specializes in helping self-employed individuals do their taxes. He or she can advise you on the best steps to take in further tax/legal setups. (For example, it made sense for me to file my LLC as an S-Corp and to run payroll through a service provider, but may not for everyone.) Paying yourself can honestly be as easy as having separate accounts at the same bank, and doing a transfer from business to personal when you need to.
AnonymousApril 7,2023 at 1:23PM UTC
Sorry, the book is called Hello, My Name is Awesome
AnonymousApril 7,2023 at 5:23PM UTC
Yes I have. Set up an LLC you can do this on the cheap with your local agency. Be sure to check your state requirements for tax paying so you don't get dinged later. You can use something like remote.com or deel to do payroll to be sure if you draw a salary that you are doing it with taxes and SSI etc in mind. Pick a name that is easy and if you are in a field where there is a ton of competition it should reflect your business in the name unless the title is more about you and your consulting. Good luck!
Jillian KnappApril 9,2023 at 7:55PM UTC
I have done this twice in my career. I’m on my second time actively now. My best advice is to get an accountant and have them help you anticipate the taxes you’ll pay for your business and personally. I have a separate business account and an extra cautious of what I pay myself. I leave an extra 5% of what my accountant recommends. This way I have room for expenses and anything else that might come up. At the end of the year I pay myself a bonus of what’s left after paying personal and business taxes. It makes it way less stressful to know it’s all covered.