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Howard Fosdickhfosdick@compuserve.com

(C) 2003.5 FCI

Version 2

Computer Jobs Survival Guide(An Independent Contractor Approach)

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Origin of this Talk

* Written 2.5 years ago as:

“How to be an Independent Consultant”

* Revised and updated

* What techies need to know about IT jobs

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How did I become an Independent Consultant (IC) ?

Evolved from an FTE * IC since 1988* 1-person shop by choice

Contract Programmer * DBA : Oracle, DB2, SQL Server * SA : Unixes, Windows

Consultant* User Group Founder / past Pres. (IDUG, MWDUG, CAMP)* Author (books & articles)

* Presenter * Management Consultant

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Why am I Giving this Talk ? 2 Consulting Paradigms

Proprietary OpenSecret information Open negotiation for for negotiating power for trust relationshipsCompetitors Cooperation / CoopetitionStrength thru secrets Strength thru working togetherDirect Marketing only Indirect Marketing (“Pay me now!”) (“Sow seeds, reap the harvest later”)Trade Secrets Sharing knowledgeCompetitors (ICs, No competitors contract firms, FTEs, (just difficulties like 1706, Headhunters customers, everyone!) and Brokers!)Gimme, gimme, gimme ! Give to get

TraditionalContracting

Open Consultingversus

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Why am I Giving this Talk ?

Because I practice open consulting

Open Consulting -- a contracting business based on specific attitudes and behaviors differing from those of “traditional” consulting.

Open Consulting -- a consulting paradigm someconsider impractical but one that, in fact, worksgreat for some people

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Outline

1. Definitions2. How Employees are like contractors3. IC Business Models4. What are Your Goals ?5. Legal Status of your firm6. Rates7. CP Firms, Brokers, Recruiters8. IRS 1706 and AVLs9. How to Sell Yourself10. Contracts, Payroll, Insurance, Finances, Retirement 11. Getting Gigs / Jobs12. Resources

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Definitions

FTE = Full Time EmployeePTE = Part Time EmployeeW-2 = Employee1099 = How non-employees get paidCorp-to-Corp = How corporations get paidIC = Independent ConsultantCP = Contract Programmer or Contract ProgrammingConsultant = Advice giverMgmt Consultant = Advice giver to managementPure IC = IC gets their own gigsBrokered IC = IC goes through a Broker to get gigsBroker (aka Bork) = places Contract ProgrammersRecruiter (aka Headhunter) = places FTEsContract Firm (aka Body Shop) = Broker, Headhunter,

CP Employer Big 5 Consulting Firm = Actg firm with all FTE CPs

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“We’re All Contractors Now!”

Employee

Implied Deal :“You don’t screw up,we don’t fire you”

Company-providedcareer planning (ie career path)

Defined benefit planDefined health plan

Company-directed training

Rule 1: They employ you because it pays them to!Exercise : Calculate your cost and your benefit to your company

Disposable resource (ie “contractor”)

Implied Deal :“You’re here only as long as we choose to keep you”

Self-directed career planning (ie career path)

Self-directed retirement (401k)Selectable benefits

Self-directed training

1990 Today

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Knowing Your Rate is Vital

Rule 1: They employ you because it pays them to!Exercise : Calculate your cost and your benefit to your company

Employee: Know the internal labor rate at your company (“Hey boss, what do I use as an hourly rate

in cost-estimating this project ?”)

Contractor : Know your rate to the client (see the contract between your company and the client)

$$

$$

$

$

$

$

$

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Who Moved My Cheese ?

“He knew it was safer to beaware of his real choices than toisolate himself in his comfort zone.”

by Johnson & Blanchard, p. 75

“Companies don’t take care of you, you take care of you.”

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Be a Realist

Rule 2:

The job market works the way it works

+ Figure it out+ Work it to your advantage

-- You can’t change it -- Fight it and you suffer -- It does not care what you think-- It does not work the way it should-- It does not care what you think the best product is

Note: if you’re Bill Gates ignore this foil...

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Rule 3: There are many ways to be an IC

Goals

BusinessModels

Values

Kinds ofWork

Etc.

Based on different ...

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There are many ways to be an IC

TechTrainer

Permatempw/ specialExpertise

Solo Contractorthru Broker

SmallContractorFirm

Pure IC

“Expert”Partnership getcontracts thruvendor

others

DBAPartners

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Business Model Parameters

one a few many

narrow (1 product) 1 topic (eg DBA) generic

on own via contract firm or broker

local regional national international

weeks months yearly “perma-temp”

piecemeal typical DBA / SA expert or “Name”

Number onPayroll

Breadth ofExpertise

GettingGigs

Travel

EngagementLength

Rates

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Business Model - Example #1 Technical Niche Specialist

* Tech support in small shop for obsolete niche technology

* Makes 2 * FTE salary

+ 10 years there (“perma-temp”)

+ Very customer focused

-- When this client goes away ?* Has saved $$* She’s very smart,

will certify on new technology while on “downtime”

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Business Model - Example #2Contract Programming Thru One Broker

* Senior developer

* FTE w/ CP firm => IC on 1099 w/ Broker

* Gets gigs via 1 trusted Broker

+ No effort to get gigs+ Choice of gigs+ Choice on travel+ Flexibility

-- Pays big % to Broker

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Business Model - Example #3Technical Trainer

* Started as FTE CP in CP firm(C++ & Unix => Java & web)

* Then worked thru Brokers, did not like them

* Did Training on the side

* Evolved into specialty training for certification

* Now travels to teach a couple courses / month

+ Flexibility to raise her kids while making reasonable $$

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Business Model - Example #4Hands-on Contracting plusIndirect Marketing for self-placement

* Works as a hands-on technician

* Places self thru Indirect Marketing (IM) (gains visibility through public activities)

* Indirect Marketing examples: web forums, writing, presenting, developing web training, user groups, etc.

+ Indirect Marketing garners respect & contacts

+ Likes both programming & IM activities

-- Time commitment to cover both those areas

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Business Model - Example #5Solo PC/LAN Support Guy

* Works for a dozen small businesses(autoshops, churches, dental offices, local realtors...)

+ Lots of work available !! (vendors ignore this market)

+ Great freedom of action

+ Clients trust him totally

-- No peers to talk to (works alone at clients)

-- Customers don’t always understand all that’s involved in doing this work

-- SMBs pay low

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Business Model - Example #6Experts Contracting thru Vendor

* Claim “expert” status on 1 software product(published articles, speeches, books, UGs)

* Tight with software vendor + referrals thru the vendor

-- dependency -- vendor kickbacks

+ High Rates ($200 -> 500/ hour)

+ Short Contracts

+ Travel

* S-Corp (partner-controlled, 6 people)

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Why be an IC ?What are Your Goals ?

+ “Be my own Boss”

+ More interesting Work

+ More Money

+ It’s your Passion

+ Alternate Lifestyle

+ Ego

+ _______________

Exercise : make your own rank-ordered Goal List Self-awareness is key !

==> more control over worklife / life==> be an entrepeneur

==> greater choice of gigs

==> get paid for overtime==> be a techie but make mgmt $$

==> techie passion==> entrepeneurial = build a company

==> work when you want

==> have people listen to you==> “make your own rules”

==> fill in the blank with your goals

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Why be an IC ?What are Your Values ?

Exercise : be sure you’re making your own decision, not your peers’, your parents’, or your spouses’ ! Self-awareness is key !

* Being an IC is not inherently better or worse.

* It depends on your goals, values, likes and dislikes.

* Your personality type is another factor.

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Why be an IC ?The Overlooked Downsides

-- Stress

-- Uncertainty

-- Greater time commitment

-- Becoming a “business person”

(being a “computer freak” isn’t enough)

-- Getting gigs

-- Tax and legal complexities

-- Managing your own benefits, retirement, etc.

“aaargh !”

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Ways to Work

VendorIT Shop Contract Firm

Brokered IC

FTE W-2 (hourly) 1099 Corp-to-CorpPTE PTE Corp-to-Corp 1099

W-2 (salaried)

Pure IC

For Illinois business bookletsand legal forms see www.ilsos.net

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Sole Proprietorship Partnership

+ You took no action+ Simplest tax filing-- Unlimited liability

-- Common property-- Unlimited group liability

Non-corporate

Forms of Business

Taxes

Liability

(aka, the Legal Status of your business)

1.

2.

These drive everything:

LLC(Ltd Liability Co.)

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Subchapter C Subchapter S

-- Taxed Twice+ Large Companies

+ Taxed Once+ < 50 Employees

Corporations

Forms of Business

Corp Employee

Taxes

Liability

1.

2.

+ Limits Liability

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Rates

* The contractor version of employee’s salary

* There are no “rules”

* Everything is negotiable

* Know typical rates

* Know client’s target rates

Knowledge is the key !

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How To Compute Rates

50 weeks / year * 40 hours / week = 2000 hours / year

So: $40 / hour = $80,000 / year

And: If you make FTE Salary of $80,000, your Rate is $40 / hour (ex-benefits)

Your Rate to Employer is : $40/hour + Benefits

Average IT work-week = 48 hours

If your Salary is $80,000 and you work 48 hours,you should be paid $96,000 !

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Rates Vary By . . . What you do

Training

Documentation

“Name”Experts

PC / LANSupport

DBA / SASupport

Architects

DesignArchitects

Super TechSpecialists

$$$

lower

higher

ManagementConsultants

Help Desk

Entry LevelPositions

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Rates Vary By . . . Where you do it

SiliconValley

Ruralareas

Architects

Bigcities

NewYork

$$$

lower

higherMany othercountries

High-techcenters

Depressedareas

Low-techareas

1st worldnations

LargeShopsSmall

Shops

Government

Education

Non-profits Big Business

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How Much You Gotta Make ?

* 2 * FICA ( 2 * 7.5 = 15% )

* Benefits

* Retirement (SEP-IRA or 401K)* Health Insurance (go Group)* Disability Insurance “ “* Other (employee health club, dental, etc.)

* Corp Fees

* Tax prep * Insurance (General Liability)* Unemployment Comp* Corp filing fees * Etc.

* Bench Time ?

Assuming 1-person S-Corp ...

Good Rate = 2 * FTE SalaryMarginal = 1.5 * FTE Salary

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Rates and Salaries ?

Sources

computerworld.com

informationweek.com

earthweb.com

realrates.com

dice.com

Many others including:careerbuilder.com, salary.com,careerjournal.com, opm.gov/oca/payrates ...

itworld.com

infoworld.com

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How Contract ProgrammingFirms Work

President/Founder

Brokers / aka “VP”s

ContractProgrammers

1099’s

W-2’s (hourly)

Corp-to-Corp

1

3

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Billing andLegal Treatment

W-2’s (salaried)

“Join us, Buffy”

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How Brokers Make Money

What Client pays $200,000/yr

What CP gets $100,000/yr

What Broker makes $100,000/yr

$100

$50

The Broker makes the spreadbetween what client pays and what you’ll accept.

Most Brokers key on reducing your rate !

Are this Broker’s services worth $100,000 / year ?

Brokers get 10 - 60 %typical 33%

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Why You Care About theBroker’s Mark-up

Some contractors like to say ...

“I don’t care what my broker makes as long as I make __$$__.”

Big Mistake !

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Why You Care About theBroker’s Mark-up

(1) The spread may be too large (you’re making less than you could)

(2) Client bases all retention decisions on their cost (not what you’re making!)

Example: Time to reduce contractor costs !

Client Pays: IT Pro Gets:Susie SE $225 $60You (brokered) $100 $60Joe “Pure IC” $80 $80

Who they gonna keep ? Hint: It ain’t gonna be you !Even though Joe makes more than you do! (and why does Susie SE accept a rip off ?)

Assuming all areequally useful...

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How Recruiters Make Money

New FTE’s 1st-year salary = $90,000/yrRecruiter @33% makes = $30,000

Upon placement, the Recruiter makes either :(1) Agreed-upon fee(2) Percent of new FTEs 1st-year salary

The Employer pays the Recruiter,==> the Recruiter works for their interest !

Recruiter is not your friend nor do you pay him.

Do not disclose your negotiatingthoughts to the Recruiter !

Recruiters get $10k - $40kper placement(20% - 33%)

Example:

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Why are many Brokers / Recruiters Unethical ?

* They do real work, they deserve to get paid

* But their pay is sometimes outrageousas is their behavior !

Why ?

* No startup / entry costs * No capital required* No manufacturing costs (pure profit potential)* It’s all convincing (1) Client and (2) CP

* Each placement really counts !(eg: place 3 FTEs you make $60k this year, place 6 and you make $120k ! )

* This brings out the greed in some people

* Superior knowledge yields manipulative power

(see “What You Are Paying Your Agent For,” Sept 2000, In Contract Professional atwww.cpuniverse.comBy Andrew Zanevsky

Client

Techie

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Example Sleazy Broker / Recruiter Practices

* Selling resumes* “Enhancing” your resume w/o your knowledge* Presenting your resume to a client without your permission* Page Flipping* Stealing / selling company phonebooks* Selling IT staff lists* Stripping references* Bogus resume cross-references* Misrepresenting (lying) to either Client or CP

(esp. about Rates or the Work to be done)* Expenses never reimbursed* Non-payment* Suing you as a form of intimidation* Keeping you “on the line” by sending you to an inappropriate interview* Abusive contracts* Abusive non-competes* “Jennifers” and “Guys”

Credit-check your broker: www.experian.com @ $20 - $30

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Why Brokers Predominate

* IRS 1706 : a Rider passed w/ 1986 Tax Act by special interests

* Designed to force all IT workers to : Be employees* To enhance role of CP Firms* Easier for IRS to collect taxes

* Legally Ambiguous

* Allows IRS to “reclassify” IC as an “employee” !* Burden of proof & penalties are on the “Employer”

* Practical result -- (1) Many companies will not do business w ICs (1099s and S-Corps)

(2) Brokers / CP Firms flourish !! (3) Approved Vendor Lists (AVLs)

Client IC Client ICBrokeror CP Firm

Book on 1706:www.icca.org $27

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How to Handle 1706

* Understand the “20 Questions”

* Have multiple clients-or-

* Stay at each client <= 1 year

* Pay your taxes scrupulously (use Enrolled Agent / CPA)

* Form multi-person IT firm

* Use Umbrella Firm

Client ICUmbrella Firm

See: http://rmpcp.com/ or www.pacepros.com

Umbrella Firm : * Employer of record * Billing, Admin services * Group-rate benefits

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AVLs

* Shields IT shop from potential IRS 1706 Liability

* Liability is the real reason for AVLs (even though everybody says it’s a cost issue)

Client

AVL

CP Firms

Brokers ICs

CP ICsFirms

ICs

Subcontracting is an artificially created mess !

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IT Professionals Lose !

IRS 1706H1B

UCITA

IT Labor is:

* Young* Non-political* Unorganized* Lobby-less in DC

“Special Interests are the greatest threat to democracy in America” -- President Jimmy Carter

“Wish we had one” -- Joe IT Professional

L1

Off-shoring Out-

sourcing

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Hiring -- IT Manager’s Viewpoint

* Deluge of applicants* But still expensive to hire & train

=> Keyword matching on resumes (by machine and HR)=> Tiny % of applicants will get interviewed

X Non-conformant talent is over-lookedX They don’t realize there’s a 10:1 effectiveness ratio between candidates !X If you’re just a resume in the pile, you loseX If you don’t know how the game works, you loseX You need “human contact” to get hired

Rules :

Results :

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2 Hiring Responses

GATEWAYS

FACILITATORS

* The “Rules” people* “I just work here”* Require exact skills match* HR

* “Is this person good? If yes, how do I hire her?”* Deal-makers* Problem-solvers

IDENTIFY & KEY ON THE FACILITATORS !

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One Way to Sell Yourself

Rule :

Specialization sells

Exercise :

Define your Calling Card

Prioritize, defineyour 3-part pitch

10seconds

Your Calling Card= quick “Trump Card”

Summary : “Who I am andwhat I can do for you”

Resume : “Here’s proof ofwhat I can do for you”

2minutes

10minutes

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One Way to Sell Yourself -- Example

Calling Card-- “Hi, I’m Bob, a certified Oracle DBA with 8 years hands-on experience”

Summary -- “I noticed you use 9i under AIX. You must be kidding. I specialize in performance issues like those you face because I just did a major performance analysis on an AIX data warehouse last year. Are you having any issues with slow-running queries?”

Resume-- it’s carefully worded and well thought out, it was in your hand, and now you’ve put it in hers.

Bob “forgot” to mention that the data warehousehe worked on was still on Oracle 7… he’ll mention that later...

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Most people hire who they know --

+ Limits risk+ Reduces time+ Easier

Human Contact is How to Get Hired

* 60% of jobs filled through Networking (Challenger, Gray & Christmas)

* You must key on personal contact

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Business Cards

* Hand them out judiciously* IT pros often don’t…

because of “recruiter” behavior

Bork ?Yes No

Talk with person

Trade cards“good luck!”

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Resumes

+ Purpose -- meet their needs(not “describe yourself”)

(it’s not about you)+ Gets you an interview, doesn’t get you the job!+ Specialization sells

=> Customized resumes+ Buzzwords sell

-- Verbose -- Wrong format-- Spelling Errors -- Too long

? Know it it’s computer scanned,tailor your resume for it

? Be careful about web posting

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Certification ?

* Industry trend

* Vary by the Cert :* Cost* Difficulty* Marketability

* Enforces-- Vendor-dependency-- Specialization (at expense of generalization)-- Keeping up-to-date is a chore

* Becoming a requirement for some IC roles (sometimes a Trump Card)

If you are Inexperienced -- use it for instant credibilityIf you are Experienced -- it’s just another hoop to jump through

Determine a Cert’s value to your career before you start working towards it

See certmag.com,and brainbuzz.com

Joe SA

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Certification ?

Understand how vendors view Certs !

-- It commits you to their technology (since few people certify with > 1 product among competing products)

-- It mates your career to their product

-- They believe that this ensures you will promote their product (and be their unpaid salesperson)

-- They can use “cert upgrades” as leverage to try to force product upgrades

-- You are giving them some power over your career

Joe SA

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You Need a Longevity Plan

* Average contract consultant lasts 6 years

* By age 40, < 22% of IT technicians still do technical work

Why ?-- Technical change-- Burnout-- Business model change-- Industry change+ Choice+ Career evolution

As per Computerworld*

*

Change will happen,be prepared to handle it!

Involuntary

Voluntary

*

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How Skills Become Obsolete -- Example

Primary

2ndary

Obsolete

1983 1993 2003

MVS

MVS

DOS

DOS

MVS

VM

VMDOS

OS/2

OS/2

LinuxesUnixes

Unixes

Windows (desktop & server)

Exercise: map your chart for OSs,DBMSs, Pgming Languages, etc.

Linuxes

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Skills for Optimal Success

Technical Skills

Business Skills

(Taxes, liability,finding clients,selling yourself)

Personal Skills

(Psychological,Sociological,Leadership)

New Technical Skills

Corollary: Technical skills are only the necessary precondition for larger success

Rule: Technical skills plusother skills yield greater successthan technical skills alone

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Contracts

* They are serious

* You better understand them

* Everything is negotiable

* 2-party versus “brokered” or “subcontracted” (3-party)

You have legally agreed to what your contract says ;Nothing anybody says matters.

Or pay a lawyer to understandthem for you.

“Offensive” provisions are commonplace, negotiate out the worst: * Non-compete

* Non-disclosure* Unlimited Liability* Location of adjucation* Severability* Software warranty

See sample contracts atrealrates.com andicca.org

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Contracts

* It’s always trickier to negotiate a 3-party deal than a 2-party deal

* You always want to negotiate directly with the customer, if you can. You don’t want info filtered by a 3rd party with their own agenda.

Which looks simpler to you ?

You Customer

You CustomerBroker

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Insurance

1-person Corp Larger Corp

* General Liability (GL) * Errors & Omissions (E&O) ($400 - $600) * Workman’s Comp * Employee Liability * Fidelity Bond * Other Bonds * Company Auto * Etc. ($ thousands)

See www.ccbsure.com www.techinsurance.com

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Why Liability Predominates

$0 cost to Plaintiff to launch lawsuit

Defendant pays $$ to plaintiff,plaintiff shares with lawyer

Plaintiff wins

$0 cost to Plaintiff

Defendant pays $$ for legal fees

Contigency Fee System makes the U.S. the Land of Lawsuits.Law Suit Lotto : no cost to play, and you just might win !

Yes No

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How Do You Pay Yourself ?

* S-Corp => Corp Accounting, plus 4 quarterly tax filings plus year-end

Alternatives = Do it yourself PC-software H&R Block CPA Enrolled IRS Agent

allincome

Your S-Corp You

Corpexpenses

payroll

FICA (2 * 7.5%)Fed WH TaxState WH Tax

“I didn’t know!”

All Corp accounting must be separate from your personal finances

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Finances & Retirement

* Learn how to invest(or pay someone to do it for you)

* Investments determine how well you’ll live after retiring

Vehicles :

* SEP-IRA* Supplemental SEP* SAR-SEP* 401K* Regular & Roth IRAs* Annuities (Fixed and Variable)* Stocks vs Bonds vs Cash vs Real Estate vs Etc.

“I quit !”

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How to Get Gigs / Jobs

Pay Someone to find them

DirectMarketing

IndirectMarketing

Brokers(Recruiters)

* Do what Brokers do (“Be your own bork”)

* Do what Brokers can’t do* Clients come to you due to your visibility

gig me,baby !

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How to do Direct Marketing

ID Companies

ID theirTechnologies

ID Contacts

* Where* Its business* Its structure

* Software* Hardware* Size* IT dept. structure

* Who* Titles / positions / roles* Phone #s / email addresses

Create/maintainRelationships

* Takes time* Difficult due to changes* The hard part !

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Where to get Direct Marketing Info

Lists :* Local business directories* Purchase IT magazine mailing lists* Other lists

(eg: conference lists, proceedings, user groups, software vendor lists,

hardware vendor lists, lotteries, etc.)Online :

* Online discussion groups & boards (automated scanning)* Company websites* Job websites* Popular techie websites

Print :* Newspapers (Sunday Tribune)* IT trade magazines

Face-to-Face :* Conferences, User Group meetings, Trade Associations, industry meetings, networking events, etc.

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Indirect Marketing (Marketing through Visibility)

* Move around within a long-term client* Teach a class* Participate in online forums* Write magazine articles* Be quoted in magazines* Write for web zines* Give presentations* Be a user group leader* Develop freeware / open source software* Write a book* Informal networking

(FTF at conferences, user groups, etc)* IC letter to employment ads - printed / online

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-- How to Keep a Long-term Client (Transfer around within 1 client)

* Be best on your team* Have a reasonable rate

* Work for all managers* Make no enemies* Appearances count* Results count (not “reasons” aka excuses)* Manage your emotions* Sociological & psychological insights key

IndirectMarketing

Long-term survival is a sociological endeavor -- “Contract Survivor,” H. Fosdick in Contract Professional Feb 2001 at www.cpuniverse.com

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Vocational

* Biz partners, leads, CPs * Company co-founders

Institutions

-- Teach a Class

Research

My experience : -- 0 leads ? Yours ?

-- Pay low+ Satisfaction high

IndirectMarketing

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-- Internet Discussions

Functions as your public job interview

* Pick right forum (topic, audience, activity-level)* Don’t flame / be professional

(managers do not hire opinionated flamers!)* What you say could be held against you

(eg: you say “DB2 sucks” then later apply for a job at IBM)

* You’re not talking to a person,you’re talking to the world !

Experience --

+ Good leads + Friends and learning, too!+ Easy, fun-- Brokers/Recruiters scan them -- Spam

IndirectMarketing

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IndirectMarketing -- Networking

Must be a two-way interaction

Some people consider networking a one-way street but this doesn’t work (for long)

You gotta give to get

Getting a job today requires the personal touch

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-- Write Magazine Articles

How to Get Published --* Call editor with your idea* Match the style, length, content

of what they print* Be Accurate; respect their deadlines* Editors will rewrite your English* Improve with practice

Experience ---- Pay poor -- Some declined due to web+ Satisfying+ 1 - 20 leads / article

(depends on magazine)

IndirectMarketing

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-- Be Quoted in Magazines

How to Get In --

* Be a “real IT contact” for a staff writer* Respect their deadlines* Return their calls fast!* Be quotable* Be up on imminent announcements

* Just call a journalist who wrote a story, give your reaction, tell him you’re quotable

Experience --+ Makes you “the expert”+ Good leads-- Disruptive to your schedule

IndirectMarketing

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-- Write for Web Zines

How to Get Published --

* Send editors an email and describe your idea

-- Not refereed, lack status-- Readership varies-- Pay poor + Satisfying=> Suggest Print/Zine combo

Experience --

+ Some leads ? Your results ?

IndirectMarketing

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-- Give Presentations

A Public Job Interview

* Users Groups* Conferences* For-profit organizations

+ Great visibility+ Establishes you as an “expert”

Experience --

+ Good Leads? Your results ?

IndirectMarketing

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-- Be a User Group Member

+ Pick a group that does what you want to do+ Raises your profile+ Instant peer group+ They have forums / online presence-- Unpaid time commitment Experience --

+ Good Leads+ Personal development too? Your results ?

IndirectMarketing

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-- Be a User Group Leader

+ High visibility+ Instant credibility+ Online presence (be a Sysop / moderator)-- Time intensive (unpaid) Experience --

+ Great Leads+ Personal development

+ Speaking skills+ Leadership skills

? Your results ?

IndirectMarketing

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-- Develop A Freeware Product

A Product displays your talentsplus provides the foundation for your company !

(If you’re a Web Developer, make your resume a “wow” website)

Example successes from the Oracle world:* Alertview* TOAD* Statspack Viewer

For a very few people, this is a great approach

Indirect Marketing

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-- Develop Open Source Software

+ Show off your abilities+ Instant peer group+ A real reason for social interaction+ Become part of a community while you gain new skills-- Unpaid

Indirect Marketing

If this suits your personality, it’s a great approach !

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-- Write a Book

How to Get Published ==> Contact Publishers

+ Expertise (“She wrote the book on it!”)+ Satisfaction -- Effort Required-- Pay -- Quickly Obsolescent

# ofauthors

1 2 3 4# books written

# ofauthors

$$

IndirectMarketing

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Resources for ICs -- Associations

The only association for ICs (and also others as “associates”)Membership is by firm

www.icca.orgwww.icca-chicago.org

Dues $175 - 275 / yearChicago $30 - $40 / meeting

They hold an annual conference

ICCA (Independent Computer Consultants Association)

(Subject to change, check their websites)

NASE (National Association for the Self-Employed)

www.nase.org Not IT-specific

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Resources for ICs -- Associations

Association plus a lobby efforthttp://programmersguild.org/american.htm

The Programmer’s Guild

The Software Contractor’s Guild

Matches people with gigshttp://scguild.com/

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More Resources for ICs

Websites for Contractors

Forums www.realrates.comhttp://pub21.ezboard.com/bopenitforum

Umbrellas http://rmpcp.com/www.pacepros.com

Associations www.icca.orgwww.nase.orghttp://programmersguild.org/american.htmhttp://scguild.com/

Magazine www.cpuniverse.comIllinois Law www.ilsos.netGigs etc www.1099.com

www.guru.com

Magazine

Contract Professional at www.cpuniverse.com -- You can read their back issues online

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More Resources for ICs

Spend 4 hours reading these forums and you’ll knowway more than most IT jobseekers learn in a lifetime

www.realrates.com

http://pub21.ezboard.com/bopenitforum

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More Resources for ICs

Books

* Janet Ruhl * Computer Job Survival Guide* Answers for Computer Contractors* Computer Consultant’s Workbook

* Computer Consultant’s Guide* Herman Holtz

* How to Succeed as an IC* The Business Plan Guide for ICs* Consultant’s Guide to Getting

Business on the Internet* Gerald Weinberg

* Secrets of Consulting* Peter Meyer

* Getting Started in Computer Consulting

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To Learn More...

FTE ?Yes No

Read Ruhl’sComputer Job Survival Guide

Read Ruhl’s IC books -or-Peter Meyer’s book

Check out websiteslike realrates.com & otherslisted. Do some googles.

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Q u e s t i o n s

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