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Starting my own business...

SeñorAmorSeñorAmor !!!Registered User regular
edited April 2010 in Help / Advice Forum
For the past 8 years, I've worked as the sole IT person for a smaller security and communications company. Being the only IT person here, I've been fortunate enough to have had the chance to dabble in a LOT of different technologies. It would be foolish to say I'm an expert in any of them, but it would be incorrect to say I simply have a passing familiarity.

I have been unhappy with my job -- or, more accurately, my bosses -- for the past few years. I don't think there's a need to go into specifics, but suffice to say my bosses are great guys, but pretty terrible bosses. To that end, I would like to take my gained knowledge and start my own business.

A good deal of my current clients are smaller mom-and-pop businesses that have no need (or funding) for a full-time tech guy. Most, in fact, don't even have a part-time IT person, but still would benefit from having a guy like me available to maintain their computers and such.

I'd like to approach some of my clients and offer up some such service to them. I'm thinking it'd probably have to start with after hours and weekends so as to not conflict with my current schedule. It would also have to only be specific tasks that I would not normally do while on the clock as that would be a huge conflict of interest.

(As an aside, I don't see there being much of a conflict of interest as what I do for my clients in my current position is not the same as what I'd like to do with a new business.)

I'm not really sure how I'd pitch such an idea to my current clients. I would trust them to not mention this to my bosses, so I'm not fearful of being found out before I would potentially leave. I need to market myself in a way that I can make myself appear as a necessity, as well as a no-brainer for the minimal costs incurred, but I'm no marketing guru. Unfortunately, I have no formal education to boast. I did not attend college, and I have no networking/IT certifications. I am completely self-taught.

I am also unsure how to price this sort of thing. I would love to have some sort of dependable, recurring, monthly income. Ideally, I'd like to charge X per month to keep me "on call," and then an additional hourly charge for actual work.

This is all in the infancy/planning stages, but I'm strongly considering doing something like this. Any advice would be greatly appreciated.

Thanks in advance.

SeñorAmor on

Posts

  • Reverend_ChaosReverend_Chaos Suit Up! Spokane WARegistered User regular
    edited April 2010
    I would start by making a few phone calls to IT companies similiar to what you would like to start. Find out what they charge, hourly, monthly, whatever. I would also find out what degrees that they have, and if all their employees are required to have that degree. This will tell you what your "accredited" competitors are charging. Now you should charge less. How much less is up to you. Don't shortchange yourself, you have to cover your expenses, such as gas and tools and whatever else you might need.

    The IT guy at my last job did this (also self-taught), and he makes really good money. He charges $50 - $100 an hour for on call work, and then if they want something installed, like say a server and a newtork, he will quote them an instalation cost on top of materials, which he will then look around and find a good deal on some hardware that he would reccomend - usually through TigerDirect etc - which the business person pays for himself, so my buddy doesn't make any money on hardware, which is where a lot of his competitors gouge their customers.

    One thing that he does though, is all of his servers are set up using Linux, which no one in our area really knows very well, certainly none of his direct competitors, so no one else can fix his set-ups, not for anywhere near the price that he charges. So he is damn near irreplacable

    He made a deal with my last employer to set up an entire network for our office, including cabling the whole place, and even writing coding for a new appointment program. He gets paid he is salaried at $10 an hour, for 40 hours, which is super low - but he never works. All his systems have redundencies and programs to scan for problems, and then self correct - so he is "on call" but when he gets a call, he just tells them he will fix it and lets the system do it's thing. He just maks sure that the virus protection and everything thing else is up to date. Last time I talked to him, he had put in 12 hours on site in the past 6 months. So he put in the time and effort on the front end and now reaps the rewards, however he doesn't get to charge them for any "hourly fees" - so get gets a steady income - but nothing extra even if he does extra work. He is also "on call" for some businesses, which includes keeping their virus protection and any other products up to date - then if something goes wrong, he bills by the hour, with a 2 hour minimum charge.

    My buddy has business cards, and he puts up on-line ads, but does most of his business through word of mouth.

    Reverend_Chaos on
    “Think of me like Yoda, but instead of being little and green I wear suits and I'm awesome. I'm your bro—I'm Broda!”
  • DaemonionDaemonion Mountain Man USARegistered User regular
    edited April 2010
    Don't do anything with any clients that pay your current employer for work unless they cease to do business with them on their own will. That could lead into serious trouble. Also, check your contract if you have one. There may be a non-compete section that you agreed to.

    Second, being a good technician (the hard worker with the skills) doesn't mean you will necessarily be able to run your own business well. Running a business requires managerial (client relations, milestones, employee work load, paper work, etc etc) and entrepreneurial (vision, delegation, energy, creativity) qualities as well. One person trying to be all three things is incredible difficult.


    The point I am trying to make is just because someone loves baking and makes amazing muffins and cakes doesn't mean they will be successful in opening up, running and profiting from their own bakery.

    This is just something to think about, and I'm not trying to discourage you. Really think it through.

    Daemonion on
  • SeñorAmorSeñorAmor !!! Registered User regular
    edited April 2010
    Calling current IT companies is a good idea, though I'm not sure how they'd react to some random schmo calling and asking questions like that.

    I wouldn't do any work for current clients that I would normally do at my current job. My current job doesn't require me to work on clients' computers and networks; rather I do other techie stuff that's specific to my current job. There would be no overlap and no conflict of interest. I have also not signed any contracts or any non-compete paperwork.

    I realize there's a chance I may not be good at running a business, but there's also an equal chance that I will be great at doing it. I think I have what it takes to manage a small business with one employee (me). I guess only time will tell.

    My main goal is to create recurring revenue. I don't want to get stuck with 0 hours (and thus 0 income) for an extended period of time. I'd much rather charge a small monthly fee that even small businesses won't bat a lash at, for access to me, and then a nominal hourly fee for work. That sounds like it'd be feasible, no?


    Thanks again.

    SeñorAmor on
  • BowenBowen Sup? Registered User regular
    edited April 2010
    Daemonion wrote: »
    Don't do anything with any clients that pay your current employer for work unless they cease to do business with them on their own will. That could lead into serious trouble. Also, check your contract if you have one. There may be a non-compete section that you agreed to.

    Second, being a good technician (the hard worker with the skills) doesn't mean you will necessarily be able to run your own business well. Running a business requires managerial (client relations, milestones, employee work load, paper work, etc etc) and entrepreneurial (vision, delegation, energy, creativity) qualities as well. One person trying to be all three things is incredible difficult.


    The point I am trying to make is just because someone loves baking and makes amazing muffins and cakes doesn't mean they will be successful in opening up, running and profiting from their own bakery.

    This is just something to think about, and I'm not trying to discourage you. Really think it through.

    Depending on the scope of that, it could largely be unenforceable.

    Basically, non-competes are only good to prevent a current employee from doing three things:
    • taking clients and starting a new business
    • starting a 2nd business on off hours that competes with the business
    • using trade secrets to make a profit

    If he quits his job, he could start the business as the non-compete can't stop him from that. As long as he isn't using knowledge that's specific to his previous job (IE, using your knowledge of your companies database to make a new database, etc) or stealing clients, the non-compete clauses usually won't hold up in court.

    My previous employer tried this on me, saying that after I quit or was fired that I couldn't work with a competing company or the industry as a whole for a year. Too bad for him those kinds of NCA's aren't enforceable where I live.

    Bowen on
  • SeñorAmorSeñorAmor !!! Registered User regular
    edited April 2010
    At the very worst, we'd have overlapping clients. I'd do job A for a client, and my current employer would do job B.

    SeñorAmor on
  • MrDelishMrDelish Registered User regular
    edited April 2010
    SeñorAmor wrote: »
    Calling current IT companies is a good idea, though I'm not sure how they'd react to some random schmo calling and asking questions like that.

    You obviously wouldn't call in saying "hey, I'm about to start competing with you, and I want to know how much you charge." :P

    You'd need to call and ask like a potential client might: "hey, I was looking at your website/ad/COMPANY BUILDING, and wanted to know what you would charge for doing x."

    MrDelish on
  • BowenBowen Sup? Registered User regular
    edited April 2010
    SeñorAmor wrote: »
    At the very worst, we'd have overlapping clients. I'd do job A for a client, and my current employer would do job B.

    Right, from what I understand your company does, let's say for example, security systems.

    You happen to have a rapport with these people so contacting them with performing, let's say again, PC maintenance and such, wouldn't necessarily violate your NCA.

    You should probably confirm with HR/management if it'd be against your NCA to contact the clients outside of work. They may have something about that. If you have a copy of your NCA, you may want to ask a lawyer what they think.

    Bowen on
  • SeñorAmorSeñorAmor !!! Registered User regular
    edited April 2010
    Fortunately, I have signed no documentation of anything prior to -- or after -- my hiring, that pertains to my job. Hell, I don't even think I filled out an application. The only paperwork that I have signed since I was hired was insurance stuff.

    SeñorAmor on
  • ZampanovZampanov You May Not Go Home Until Tonight Has Been MagicalRegistered User regular
    edited April 2010
    SeñorAmor wrote: »
    Fortunately, I have signed no documentation of anything prior to -- or after -- my hiring, that pertains to my job. Hell, I don't even think I filled out an application. The only paperwork that I have signed since I was hired was insurance stuff.

    What the fuck? Are you me?

    Edit: Nevermind, you mean something else.

    Zampanov on
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  • BowenBowen Sup? Registered User regular
    edited April 2010
    Well, legally speaking, you could tell all their clients to drop them and hire you for what they already do.

    Since you seem to want to do considerably less than that, and nothing at all to do what you currently do for your job, you should be golden.

    Bowen on
  • SeñorAmorSeñorAmor !!! Registered User regular
    edited April 2010
    bowen wrote: »
    Well, legally speaking, you could tell all their clients to drop them and hire you for what they already do.

    Since you seem to want to do considerably less than that, and nothing at all to do what you currently do for your job, you should be golden.

    If I were to quit my current job, I would also probably start doing my old job duties for my new clients, thus "stealing" business from my old employers.

    Not that they'd care, I imagine.

    SeñorAmor on
  • BowenBowen Sup? Registered User regular
    edited April 2010
    Well, since you're sure you didn't sign an NCA, I'd imagine you're in the green. You may want to pass it by a lawyer if you're cautious.

    Bowen on
  • MugaazMugaaz Registered User regular
    edited April 2010
    SeñorAmor wrote: »
    Calling current IT companies is a good idea, though I'm not sure how they'd react to some random schmo calling and asking questions like that.

    I wouldn't do any work for current clients that I would normally do at my current job. My current job doesn't require me to work on clients' computers and networks; rather I do other techie stuff that's specific to my current job. There would be no overlap and no conflict of interest. I have also not signed any contracts or any non-compete paperwork.

    I realize there's a chance I may not be good at running a business, but there's also an equal chance that I will be great at doing it. I think I have what it takes to manage a small business with one employee (me). I guess only time will tell.

    My main goal is to create recurring revenue. I don't want to get stuck with 0 hours (and thus 0 income) for an extended period of time. I'd much rather charge a small monthly fee that even small businesses won't bat a lash at, for access to me, and then a nominal hourly fee for work. That sounds like it'd be feasible, no?


    Thanks again.

    I think you have a fine idea of going into business for yourself now that you feel pretty confident in your skills, but I disagree that the chances of you being great or terrible at the business aspects are equal. That aside, I think you are getting a little too aggressive with your strategy here. I like your plan, but I think you're going about it too hardcore, and are leaving yourself very open to problems. Don't quit and/or start offering your services to your current clients, yet. Try doing some moonlighting first and see how that works out and then transition into doing it full time. This will allow you time to develop your business skills without leaving yourself exposed. It will also build outside contacts while you are still comfortable. Also, as you near the time you're ready to abandon ship you can start using up some vacation, calling in sick, etc. to meet the needs of your side job. When you do quit you want to have the business and your clients locked up and ready to go, not a unknown variable you are gambling on.

    Mugaaz on
  • SeñorAmorSeñorAmor !!! Registered User regular
    edited April 2010
    Mugaaz wrote: »
    I think you have a fine idea of going into business for yourself now that you feel pretty confident in your skills, but I disagree that the chances of you being great or terrible at the business aspects are equal. That aside, I think you are getting a little too aggressive with your strategy here. I like your plan, but I think you're going about it too hardcore, and are leaving yourself very open to problems. Don't quit and/or start offering your services to your current clients, yet. Try doing some moonlighting first and see how that works out and then transition into doing it full time. This will allow you time to develop your business skills without leaving yourself exposed. It will also build outside contacts while you are still comfortable. Also, as you near the time you're ready to abandon ship you can start using up some vacation, calling in sick, etc. to meet the needs of your side job. When you do quit you want to have the business and your clients locked up and ready to go, not a unknown variable you are gambling on.

    Well I didn't really mean the chances were equal, but rather than be a pessimist, I figured I'd take the positive approach. Doesn't do me any good going in thinking I'm going to fail.

    As for my aggressiveness, I have a house, a car and a baby on the way, so I'm not going to make any stupid decisions. I have no intentions of quitting my job without another one already lined up, so if that means I have to start my new endeavors on the side and on weekends, so be it.

    SeñorAmor on
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