Fresh Cup

OCT 2011

Fresh Cup Magazine, providing specialty coffee and tea professionals with unique insight into the trends, ideas, products and people that shape their world.

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giving you something actionable that will have a positive impact on your business. You can help make this happen by clearly defining the deliverables you expect. The consultant will find this much easier to work with as well: I have often seen consul- tants spend way more time than they should have on a project just because they weren't given clear direction up front. When you're first considering a consultant, ask the person what their ideas are for your business, and figure out if the two of you can develop some goals you're excited about. This dialogue will be a great indicator of how you'll be able to work with them moving forward. When it's time to sign a contract, start small. I find it best to agree to a smaller number of projects rather than something huge and possibly unwieldy. If you find that you need more out of the consultant, you can always amend the contract for them to do more work or have them sign an additional contract. Talk to the consultant about the additional work that needs to be done and what kind of time and money they envision it taking to complete the tasks. This communication keeps both sides happy and focused. The next thing to iron out is a time frame. When do you need the work done, and when can the consultant fit it into his or her own schedule? Instituting expecta- tions and deadlines can keep a project from appearing never-ending and can also reduce costs. Contracts are typically set on either an hourly basis or at a fixed rate for the entire project. Hourly setups make sense if you have a handle on how much work you think you will need. However, signing a contract with a consultant on an hourly basis can be bad financially when projects go on longer than expected due to changes or ambiguity. This also explains why it's important to work on the scope of a project before letting the consultant loose on your business. A contract that is signed for a fixed rate is often the best strategy. Generally, consultants will only sign a fixed-rate contract if they have a clear vision of the objectives at hand and can calculate how many hours it will take them to complete the work. Keep in mind that the consul- tant takes a risk when entering this kind of deal—especially if he or she doesn't know you or your business well. If you have clearly defined objectives and your scope changes once the work is under way, freshcup.com October 2011 31 then an amendment needs to take place so that all parties agree that the work will cost more money. When it comes to fixed contracts, it's again imperative that you have a well-defined plan. The consultant will usually only be willing to do the work specified in the original contract, so if that document doesn't accurately lay out your expectations, you'll be setting yourself up for disappointment. In short, a consultant can add an outsider's perspective to your business, and working smartly together can help you boost profit- ability. Just make sure you have clear initiatives and that you and your partner work well together. Two heads are better than one, but only when both are focused on the task at hand.

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