| If winning new clients were easy, gurus | | | | 5. Provide an incentiveMany contractors add |
| wouldn't be giving $1,000 seminars on the | | | | some financial wiggle room to their bids to |
| topic, and you wouldn't see "Dummies" guides | | | | protect themselves from unforeseen costs. If |
| to closing a contract deal.Let's face | | | | your rates are fair, you're comfortable with |
| it-winning a contract can be one of the most | | | | a smaller "disaster" cushion, and this client |
| bewildering parts of running your consulting | | | | will likely be a good source of contracts in |
| business. It doesn't have to be such a | | | | future, you can sometimes cement the sale by |
| tremendous dilemma. I've worked with hundreds | | | | offering a small discount on this contract or |
| of very successful consultants through the | | | | contracts in future. |
| years (and been one myself), and I've found | | | | |
| that those who flourish take these 8 steps:1. | | | | |
| Prepare to make a great first impressionYou | | | | |
| never get a second chance to make a first | | | | ** Not sure if you're charging the going |
| impression, and you make a great first | | | | rate? Check out our free rate comparison tool |
| impression by being prepared. Research the | | | | ** |
| company and subject matter, using any | | | | |
| available means, including your contacts at | | | | 6. Avoid auctionsCompetitive bidding |
| the company. Study the company's history, key | | | | situations are usually a losing proposition |
| personnel, current technologies, existing and | | | | for contractors. You either lose the contract |
| foreseeable problems and solutions. | | | | or you lose money by steeply discounting your |
| Preparation bolsters your confidence, and | | | | rate. |
| lets you initiate meaningful discussions | | | | |
| about the client's needs and goals.2. Focus | | | | You can avoid a competitive bidding |
| on the client Remember, an interview with a | | | | situation by letting the prospect |
| prospective client isn't about you-it's about | | | | know-nicely-that you don't bid against other |
| the client's desire to solve their problem | | | | companies or individuals. Instead, stress |
| cost-effectively. | | | | your value. More experienced consultants are |
| | | | simply more efficient and thus less expensive |
| Avoid rambling explanations about your | | | | in the long run.If your prospect has another, |
| expertise. Be concise. Prepare and practice | | | | much lower bid, make sure the bid is for an |
| a 10-second synopsis of your expertise and | | | | equal level of service, and that the company |
| value.Come prepared with a series of | | | | is a peer in expertise and experience. Ask |
| thoughtful questions aimed at better | | | | your prospect to check with references for |
| understanding the client's needs. Listen | | | | both sides. Reference checking-which |
| carefully to the client's responses to your | | | | surprisingly few companies do-can often turn |
| questions, and respond with your own summary | | | | around a sale.7. Keep in touchAlways ask for |
| of what you've just heard. Ask if this is | | | | the contract at the end of the meeting, but |
| correct, a technique known as "active | | | | don't expect to get it right then. Instead, |
| listening." Don't try to solve the problem | | | | ask when the company expects to make a |
| now; just make sure you both agree on the | | | | decision. Plan to stay in touch with the |
| issues. Once you do, now's the time to | | | | prospect with a polite e-mail expressing your |
| discuss your past accomplishments and begin | | | | eagerness. Then call back weekly until you |
| discussing solutions. Since you've prepared | | | | get a yes or a no. Never take a lack of |
| ahead of time, you'll have no trouble | | | | response as a personal affront or a lack of |
| describing two or three examples of your | | | | respect. I've seen many contractors make this |
| successes that match your client's needs.3. | | | | mistake, firing off nasty missives that burn |
| Anticipate objections | | | | bridges.8. Know when to walk awayAs with any |
| | | | successful negotiation, have an acceptable |
| Prepare a compelling response for each | | | | fallback or compromise position. For your own |
| potential objection the client may have for | | | | long-term happiness and reputation, it's |
| hiring you. Such objections may | | | | better to walk away from an unfair deal than |
| include:Attractive options proposed by the | | | | to accept a gig you perceive as unfair. Ill |
| competition Your rates Estimated turn-around | | | | feelings damage the quality of work and |
| time Internal bureaucracy/resistance | | | | poison your job satisfaction. |
| Anticipating objections will help you | | | | |
| transform a "no" into a "yes"."4. Create a | | | | If the prospect is unreasonable in the |
| sense of urgencyMost companies know that | | | | negotiation process, the chances are they'll |
| excellence is in high demand. If the prospect | | | | be unreasonable to work with, too. Sometimes |
| seems on the fence about a decision, you can | | | | it's better to move on to more promising |
| point out that--while you're excited and | | | | opportunitiesBy Doug Berg, |
| eager to work on his project-your other | | | | |
| clients are asking for your time, and you'll | | | | HotGigs CEODoug has a long history in the |
| need to reserve space for him soon. (Assuming | | | | recruiting and staffing industry. He started |
| this is true) | | | | in IT as the Director of IT for the |
| | | | Minneapolis Institute of Arts. Doug then |
| Make sure you first understand why the | | | | started his own IT consulting & staffing firm |
| prospect is hesitating. If he has undisclosed | | | | (Quantum Consulting) which he grew to over 75 |
| constraints that put a decision on a longer | | | | consultants. In 1995 Doug sold his firm and |
| timeline, he could walk away. | | | | founded which received over $100 million in |
| | | | venture capital. |