Management Consultants – A Guide to Going Limited

Independent contractors, freelancers and management consultants are thriving in the current economic climate. Interim managers and management consultants are increasingly being recognised for the significant contributions they can make to businesses, looking to implement change and optimise their operations, without needing to hire permanent additional team members. The role of the Management Consultant can be incredibly lucrative and, depending on your industry, location and level of experience, you could command a salary of up to £100,000 a year.

Finding Work as a Management Consultant

One of the most daunting aspects of operating as an independent management consultant is finding new contracts and ensuring you have a steady stream of work. Agencies are a good place to start and often have a steady stream of reliable roles available. It is worth bearing in mind though that some contracting agencies may take a percentage of your income from you, in exchange for helping you find a role. Marketing is essential; ensure your CV is complete and up to date and distribute it widely. Other options for helping you to find work and market yourself without any additional expense include:

• Setting up your own website. Not only will this help you to market yourself, it will also make you look more reputable and give you a single space where you can direct potential clients to learn more about you and your skills.
• Posting your CV to job sites. As more and more businesses seek short term contractors, you will find an abundance of short term jobs available on job sites. What’s more, by sharing your CV with recruiters on job sites, you may well find that if you meet their search criteria they will contact you directly.
• Use your contacts. If you have years of industry experience, then it is likely that you also have a diary full of useful industry contacts – don’t be afraid to get in touch with them! Most people are flattered to be contacted for advice and are keen to share their knowledge, as well as advising on any potential contracts available. Don’t forget to update your LinkedIn and other social media profiles, so that industry contacts can easily see that you are now available for contract work.

Finding work as a contractor may seem daunting and certainly isn’t easy, for the shy or the fainthearted, but by putting yourself out there, letting as many people as possible know that you are available for work, you should see results from your hard work.

Why Choose to Operate as a Limited Company

Once you have established your career as a Management Consultant, you need to decide how you would like to operate your business. You can either work independently and pay your taxes through the PAYE model, work under an umbrella company (who will take responsibility for filing your taxes on your behalf, meaning that you will receive between 65-75% of your earnings as take home pay) or set up your own limited company and receive between 75-85% of your earnings as take home pay, provided you choose the right accountant. The financial benefits aren’t the only benefits of choosing to establish your own limited company. You will also be afforded much more freedom to make your own business decisions as you will be your own boss and will retain complete financial control of your company.

Choosing the Right Support Network

If you have determined that the life of a contracting management consultant is right for you, then we would advise you to seek the support of expert individuals who understand the ins and outs of running your own business. An experienced mentor with industry experience would prove invaluable, as would securing the services of an accountant, with experience of working with contractors who choose to operate under a limited company. The right accountant will be able to help you make key decisions, such as how you want to run your business, what direction you plan to grow and expand your business in and how you wish to organise its finances.

Dolan Accountancy is the industry expert in working with contractors, meaning that we have an in-depth knowledge of all the potential savings you can make, to ensure that you retain as much of your earnings as possible. When you choose to work with us, you won’t ever have to worry about new tax legislation, any changes to your tax benefits or remembering to process your paperwork before key deadlines – because we will take care of it for you. We have helped thousands of independent management consultants, just like you, to reach their goals – why not let us help you reach yours?

To find out more about how Dolan Accountancy can help you or for advice about working as a contractor and operating within your own Limited Company, call Sophie on 01442 795 100 or email sophie.lewis@dolanaccountancy.com.