New Consultancy - How much to Charge?

[springhassprungohmy]

I am about to start trading as a self employed consultant.

I'd be really interested to know what sort of hourly rates consultants charge.

Any ideas?

Consultant in what ? Breastfeeding, hostage negotiations or aeronautical engineering? It is somewhat relevant to the question.

I'm a management consultant and I charge £50-70 / hour working with charities, which generally covers all expenses.

Sorry OP - need a little more info! I am a freelancer/self employed and have different rates for the different services I offer (well, that makes e sound like Pretty women doesn't it?) Some work is £20phr, some £30... some £50. Some contracts I work a day rate of £250. But then I have two separate areas of expertise...

Sorry chaps, that was pretty vague!

I am a soon to be ex-lawyer.

Doing niche work that lawyers currently charge 200 + for.

No competition (that I know of).

Still too vague.

If it helps, if a professional person thought someone else could suggest an hourly rat for them based on the info you have provided, and that was all I had to work with to establish what their time is worth based on their understanding of the information required to give an informed answer or opinion - I would say minimum wage, and only because it's a legal requirement.

OK thanks very much, that's really helpful

I asked what others charge for consultancy work - if you can't answer that, maybe best not to respond to my OP?

Ok then. £72.43 and hour?

Seriously. How are people supposed to give an informed answer or opinion based on the info provided?

I am asking what YOU charge - if you are a self employed consultant. Have you read the OP?

If you are not a self employed consultant i'm not interested in what you have to say!

I charge £150 to individuals and businesses and £100 to charities, but that is based on specific skill sets in a specific industry in a specific part of the world (I am not telling you what they are as too identifying).

Travel, initial meetings to discuss scope of the work etc are charged differently depending on what is involved.

I am opening a restaurant and charging for food. What should I charge for a three course meal? Unfortunately you won't know the location, star rating, number of covers, cost of ingredients, surroundings or meals served but your feedback would be appreciated.

Can you see the issue?

360 p/h

OK forget it, Pardon.

I can't give you any more details either - perhaps it was a bad idea to post on here. As you were.

And I wasn't asking what I should charge - I was asking what others charge. Jeez. My OP perhaps didn't make that clear, but subsequent posts certainly have.

All the best to you and thanks for posting.

I was once advised to think what salary you would command f/t and divide by 200 to give you a starting point. But massive variety.

I answered the question

Yes you did thank very much Suzietwo

So did i

Slightly different perspective - I use a lot of self employed consultants in different sectors. Top rates tend to be SMEs - I use them for a few days in a project - lower rates tend to be full time.

Day rates range from:
£1200 - ex big 4 partner with very strong national network/ internationally renowned consultant with serious professional/ public background/ media friendly

£850 - accountant with specialist SME

£750 - full time technical architect in remote area

£500 - full time programme managers etc

£300 - PMO support

£900 - literally the end of the country, normally would pay £500 but travel and expenses

Bear in mind the full time gigs are normally 3 months min and the SME can be as little as 2/3 days on a ten week project.

Thanks Bookish - great name btw!

What are SMEs please?

I think you're approaching it from the wrong angle. Surely you're a self employed solicitor. In which case charge a reasonable hourly rate for a solicitor. As a self employed solicitor you still have to work through a law firm though.

I set up a law firm and so I'm not self employed but I charge a rate which is significantly lower than my former partner rate. I am very busy charging out at that rate. If I charged at my old partner rate clients might as well go to the big firm with all the support that offers

The rate I charge now is roughly what I charged when I was about 3-4 years PQE (rather than 20+). I flex it though depending on the client and the type of work. You have to make sure you cover the cost of your professional indemnity insurance/all of the various SRA charges/ Data Protection registration etc etc before you even start earning anything.

There is also a minimum PQE level for working for yourself as a lawyer (didn't apply to me and so not sure what it is)

Thanks Newsuitcase - I will not be working as a solicitor. As you will know, to do that I either have to join an existing 'practice unit' or else form a new one. I don't want to do either of those things, so I will not be working as a solicitor. I will be a consultant.

Interesting to hear your experience though. How many years qualified were you when you set up?

You need to be very careful. If there's any indication that you are holding yourself out as a solicitor then there will be action taken and there are various types of work that you just can't do. I know various people who've been stung trying to get around the rules (for example doing tribunal work as a "lay person"/"employment consultant" but trying to charge clients for it)

I had over 15 years PQE. I worked for about 6 months as a consultant (through a different law firm), whilst setting up my own form - which takes ages and is a form filling nightmare.

An SME is a small to medium enterprise.

Thanks newsuitcase. I am being super careful. There is no question of me doing anything I am not allowed to do, or holding myself out.

I'm not trying to get around any rules.