I have just returned to my Big 4 consulting role after a 6 month sabbatical in which I set up a high cashflow positive business and handed over to a full-time manager. The income from this venture looks after all my basic living expenses. So now I am considering moving into contract consulting for the immediate short term because I can potentially:- double my earnings (even allowing for unpaid holiday and bench time);- make good use of the period in between contracts by adding value to my existing business (unrelated to consulting)Ultimately I see my future as a business angel and investor rather than a senior executive in consulting or industry. However, never one to burn my bridges needlessly, I am curious to know what the pitfalls are with going down the contracting route. All constructive comments and thoughts gratefully appreciated.

If you are asking that question, then it does not correlate with your boast about having set up the claimed successful business which is supposedly already supporting you. If you understand the principles of business then you would already be aware of all of the "pitfalls" you might experience in contracting. They are no different from those you might experience in any area of business. Frankly, if the business you claim to have set up with such a large cash-flow were indeed successful it seems to me that you would be concentrating on growing that and any viable spurs rather than trying to also start contracting on a freelance basis. Something does not add up here?

Doug, you sound like a right tw@t... The guy has made quite clear that:a) The business he has set up runs itself.b) He has some spare time and hence wants to devote it to contracting.You've made some assumptions in your scathing reply, and to be honest, they make you sound like a jelous, arrogant c0ck.

He didn't even say that his business has "such a large cash-flow," but merely that "the income from this venture looks after all [his] basic living expenses." Big difference.Also, even though I'm sure s/he could guess the pitfalls of contacting, there's nothing better than speaking to someone that's actually done it, right?Again, you tw@t.

So who is this joker hmm who can evaluate the attributes and failures of others in such an arrogant and ineffectual manner, just on the basis of a post here? Evidently you also find it difficult to read the OP's post! He clearly states "high cashflow" and that this revenue stream is sufficient to look after all his basic living expenses. Since you evidently cannot spell "jealous" correctly any more than he can spell "Independence" correctly you both seem to have a number of attributes in common. In addition it is clear that you do not have much knowledge of correct English grammar. Your post does not seem to have any purpose other than to criticize me. It certainly does not attempt to help the OP or to answer his questions. I had several years of experience as a contractor prior to becoming a Management Consultant, which is why I gave an answer to the questions. I would not insult you by writing here what I think of your rudeness and arrogance, but it is clear that you lack both manners and panache.

grow up boys

My spelling does let me down... I've tried to sort it out for years but I just can't improve it. Thank God for spell-checks eh:)Also, English ain't my first language - with is some sort of redemption, surely...

Hmmm - back to your old tricks of rubbish comments which add nothing to the thread or this forum in general. At least ZB is entertaining.Who is the real you? - your posts suggest that you are underemployed - might explain why you have so much time to come up with such bull, and probably an analyst given the (lack of) style and cohesion in your comments. You dont even appear to be Accenture material. Are you BAS?

I'm not BAS... are you COK?Just out of interest's sake, what do you mean by 'underemployed'?Muchos gracias.

This is the original poster. Doug, please ask the person next to you for a hug and, when you've calmed down, look up the word 'constructive' in the dictionary.This is addressed to anyone else interested in this thread:I definitely wasn't boasting. The business is near self-sustaining (FT manager in place) and it looks after my basic living expenses - £25K. To one man this may be modest, to the next not, I wasn't commenting on either, my 'high cashflow positive' statement referred to the annual casfhlow return (£25K) relative to the capital input (£100K). So, let's just call it a high return.My long term goal is to generate enough personal capital to further develop my business angel interests. The reason I went into consulting was to develop a strong skill-set that I would serve me well with my own future business ventures.So... contracting to me seems like the best next move for me. I continue to hone my consulting skill-set, get more money and have more flexibility. That is the theory anyway. If for, any reason, it all goes pear shaped I would like to know how (or whether) 12-18 months contracting may have harmed my prospects to a return to a permanent consulting career.Contracting is often talked of as a bad career move. But - as long as you are delivering value AND further developing your skills - then why should this be the case?Again - all constructive thoughts and comments welcome.Next Steps

Hi NextSteps, I did not mean to be derogatory in my comments and I still feel they were constructive. If you have the knowledge and skills to set-up a business which is now generating sufficient cash-flow for your fundamental living costs, then my point was that rather than bothering with contracting you would do better to expend the same effort on expanding the business you have started, or exploiting other associated sectors into which you grow it. The "pitfalls" of going down the contracting route are that you will be much more constrained than working as a big four consultant. Contracting is essentially about bodies as a resource, and you will thus find that your experience and skills are under-utilized and you will inevitably become thus de-skilled. If you then wanted later to try to get back into a big four consulting role you would have difficulties, particularly since by then you would no doubt be older! You do not give the details of the specific contracting so it is impossible to comment objectively. However, generally the skills and experience necessary to successfully contract longer-term are the same as those necessary to run a small business, which is why I commented as I did initially. The only difference is whether you get the majority of your contracts via agents or whether you sell directly to clients (on a freelance basis) to get it. If you work via agents that will be the most de-skilling and restrictive option. My advice would be, if you do not want, for some reason, to concentrate on growing your existing business, then get back into consulting, and run the your business in parallel rather than doing contracting. You do not make it clear what sort of contracting or consulting you are specializing in, so it is difficult to be any more helpful.

Hi NextStepsCongrats on your business. Im setting up my own too and have been looking into the contracting space. Re: Contracting, you need to have a very specific skillset. For example, if you happen to be a business analyst/project manager/tester with experience in a niche application (for example a front office/etc trading application widely used by several players in an industy): you can likely get work for this at several hundred pounds per day. Give it some thought. Speak to some recruiters. You need to be very flexible, i.e. when a role is advertised you need to be available that week. The money is good, your fate is really in your own hands, your day rate doesnt get shared amongst HR/Partners/Salespeople/Shareholders.