Contract Employee's Newsletter
Helping Contract Professionals Manage Their Careers

Vol. 3, No. 7
March 28, 2003

Edited by James R. Ziegler

A Companion to:
The Contract Employee's Handbook
www.cehandbook.com

Sponsored by:
P.A.C.E. - Professional Association for Contract Employment
www.pacepros.com

 

About The Contract Employee's Newsletter

The Contract Employee's Newsletter is a free online publication for technical and professional contractors containing news, commentary, tips, links to useful resources, nuggets of wisdom submitted by readers, and anything else that seems appropriate at the time. The CENewsletter is published bi-weekly or whenever issues warrant and time allows. The subscriber list is confidential and will not be disclosed outside this organization.


In This Issue

Read recent issues of The Contract Employee's Newsletter.

Kudos and Testimonials

What People Are Saying About The Contract Employee's Project

[E-mail messages like this one make my work on the Contract Employee's Project truly worthwhile.]

"Thank you so very much for your answer! As I continued to read the [Contract Employee's] Handbook, I discovered some of this, but you have laid it all out specifically and concisely!

I've been a contract worker off-and-on for more than 15 years, which helped pay my way through college. I must admit that I've been robbed! . . . I pray God continues to bless you in your work because you are truly educating us and making a difference!"
-- L.H.

[More satisfying feedback.]

"I have been reading Dr. Ziegler's writings very intently these last few days, and discussing the topics he raises with my colleagues. I have been doing this (contracting) for most of my 20 years in programming, and after reading his articles, the light bulb finally went on!"
-- L.C.

"Your website is exactly what I've been looking for. Very sharp and informative. Thanx!!"
-- Michael R.

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From The Trenches

Sell What The Client Wants

Your article on consultants, Sales Skills - Your Most Important Skillset, is right on the mark. After 20 years of the corporate world, I am finding that the search for clients and closing the sale is the biggest challenge I face as a consultant. Also, it is important to distinguish between client need and client want. Just because a prospective client needs something doesn't mean they want it.

I can recommend 2 references:

1. "How to Become a Rainmaker" by Jeffrey Fox, Hyperion Press, NY, 2000.
Summary: Mr. Fox describes how to prepare for the first call, 6 killer sales questions that step the client toward closure, and how to describe what you are selling in terms of money. The book is blissfully brief and concise, and can be read in 1-2 hours. However, I find myself going back to it time and again to relearn and refresh myself on the lessons.

2. "A Business Approach for Consultants", a video by Mike Rounds, ISBN 1-891440-01-2
Summary: This is a very captivating 3-hour video, that tells you almost everything you need to know to sell yourself as a consultant. Particular emphasis is placed on doing "free work" to get paid work, how to set your rates, and the importance of writing and public speaking in terms of building credibility. Find the clients with wants vs. needs because they will spend more.

Regards, Andy Pattantyus
Consultant
Strategic Modularity
Phone: 661-799-0713
Cell: 661-312-5898
e-mail: andyp@strategicmodularity.com

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Marketing Tips

Package Your Product For Successful Sales

Your product is the thing or service that you are selling. It's what your client pays you to deliver.

Aside from an actual, physical portfolio of past projects, there is little that you, as a Contract Professional, can do to show prospective clients what you can do for them. You cannot shrink-wrap your "product" in a tidy package with compelling artwork and images of sexy models. As an independent consultant you have to present, instead, a tidy word package with compelling word pictures. This is your story or value proposition.

I recommend that you package your value proposition in three convenient sizes. I call these packages:

  • Your 7-second introduction,

  • Your 30-second pitch, and

  • Your 3-minute presentation.

Which story you tell depends on the circumstances, but you must be ready to give each of these stories at the appropriate time.

Your 7-second Introduction
Creating a 7-second introduction is central to your marketing effort, because, as an independent professional, you must be absolutely clear about what it is that you do and how you deliver value to your clients.

Absolute clarity in the delivery of your value proposition is what makes it possible to sell your skills effectively and negotiate from a position of strength. Without clarity you cannot consistently succeed.

Here is one of my own 7-second introductions:

"Hi there. I'm Jim Ziegler. I help contract professionals make more money and get the benefits they deserve."

And another one I use:

"Hi. I'm Jim Ziegler. I help companies save millions by taking back control of their contingent workforce."

A COBOL professional might say:

"Hi. I'm Calvin Bluebox. I help corporate executives sleep better at night."

Or, a marketing communications writer might say:

"Hi. I'm Connie Communicator. I help companies talk straight."

Here are some key points about your 7-second introduction:

  • First, it rolls easily off your tongue.

  • Second, it makes a bold statement about how you help your clients.

  • Third, it is stated in terms that anyone can understand,

  • And, fourth, the person you are greeting should think, "Wow. I want to know more about that!"

Your 7-second introduction is little more than a provocative come-on, but it gets people interested in what you do for a living. And that's the whole point. You don't have time during a handshake to do anything else.

Take a moment or two to write down several 7-second introductions. Now work on your list to fine tune the results. When you get a couple that roll off your tongue commit them to memory and use them on everyone you meet.

Your 30-second Pitch
Your 7-second introduction is like the headline to an interesting story. Your 30-second pitch builds on the 7-second introduction like the lead paragraph in a news story.

It fleshes out the 7-second introduction with more specific information. The 30-second introduction has two functions:

  • First, it is a natural follow-up to "Wow. I want to know more about that!"

  • And, second, in written form it makes a perfect Summary of Experience for your resume or skills profile.

Let me read what I believe is an excellent 30-second pitch that also doubles as a skills summary. Here it is:

SUMMARY OF EXPERIENCE

I help companies supercharge their software development teams. My solid grasp of software structure and dedication to complete documentation ensure that your projects will be completed on schedule, using established procedures, with full maintainability. I bring to you a wealth of experience in all phases of the software development life cycle. I work equally well independently or as an integral member of your team. Call me. Let me help you create super software applications.

It's short, snappy, positive, and it bleeds self-confidence and ability. How can you not want to call this person in for an interview?

Your 30-second pitch isn't just about you. It's about what you can do for the client. It's forceful, positive, dynamic, and compelling. It's forward focused, and it asks the reader to take action. It demands to be read.

Of course, if you aren't absolutely clear about what you do and your value to the client then you can't even begin to talk about yourself in these terms. This is why the concept of product is so important to marketing yourself as a contract professional.

Your 3-minute presentation
You use your 3-minute presentation when you are talking turkey with a skilled professional who needs to know more. For example, in an interview when the other party says something like, "Tell me about yourself," or when you are networking with a colleague.

So the total package is like a newspaper headline, followed by a lead paragraph, and then the body of the story. In other words, you package your "product" just like a newspaper article.

And each piece builds on the previous piece. Seven seconds for a brief introduction, thirty seconds if the other party wants to know more, and three minutes if they want the full story.

As long as you are absolutely clear about your product as an independent consultant you won't have to "sell" yourself. You just speak the truth in terms that the other party can relate to.

So, you may not be able to shrink-wrap your "product" in a tidy package with compelling artwork and images of sexy models. But you can present, instead, a tidy word package with compelling word pictures that presents your value proposition to everyone you meet.

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Contract Employee's Glossary

Terminology For Contract Professionals
More terms from Appendix B: Glossary of Terms for Contract Professionals of The Contract Employee's Handbook.

NACCB
Founded in January 1987, the National Association of Computer Consultant Businesses (NACCB) is an association of recruiting firms dedicated to promoting the business success of its individual members. NACCB members are recruiting firms that sell Contract Professionals to client companies. The NACCB is firmly rooted in the mind set of the mid to late nineteen-eighties when consulting jobs were hard to find and recruiting firms still had the upper hand.

NACCB contract
NACCB has developed a suite of copyrighted standard contracts that member recruiting firms can use with client companies, subcontracting agencies, independent contractors, and contract employees. In practice, however, there is no such thing as a standard NACCB contract because member firms may modify the contracts pretty much however they want. Consequently, some pretty audacious contract language gets passed off by NACCB member firms as “official, standard” language. Moreover, NACCB firms consistently use the argument that “It has always worked this way” to discourage Contract Professionals from striking out or modifying unacceptable contract language.

Net Days
Net days is the maximum period of time after submission of an invoice during which the client must pay the full amount due. Invoices marked “Payment Upon Receipt” have payment terms of “Net 0”. “Net 30” means that the invoiced amount is due and payable within 30 days of submission.

Net income
A company's total earnings, reflecting revenues adjusted for costs of doing business, depreciation, interest, taxes and other expenses. Also referred to as net earnings.

Net wage
An employee’s take-home pay. The pay actually received by an employee after adding bonuses to gross wage and deducting from gross wage the employee’s payroll taxes, income tax withholdings, and additional payroll deductions such as elective retirement plan contributions, and group insurance premiums. Net wage for employees is equivalent to net earnings for self-employed individuals.

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P.A.C.E. News

New Credit Union Benefit From P.A.C.E.

The Professional Association for Contract Employment is pleased to announce that it has
partnered with Meriwest Credit Union to provide the best possible credit union benefits in the USA to P.A.C.E. employees!

Meriwest Credit Union was formerly known as IBM Employees Federal Credit Union.

As an employee of P.A.C.E. you are eligible to join Meriwest Credit Union and access the following great benefits (and more!):

  • Free checking

  • Finance/refinance your car at the industry's lowest rates*

  • Take advantage of Meriwest's First Time Borrower Program

  • Very low APR VISA on balance transfers*

  • Pay your bills online

  • Use any ATM in the country and receive $10/month in rebates for ATM surcharges

  • Get your home loan approved in days, not weeks

  • Deposits guaranteed up to $200,000 -- Twice the amount for ordinary banks.**

The addition of Meriwest Credit Union to the list of superb P.A.C.E. benefits is just one more reason why we say that P.A.C.E. gives Contract Professionals the best benefits package available to ANY Contract Professional ANYWHERE in the USA.

* APR is Annual Percentage Rate. Contact Meriwest Credit Union for details.

** Meriwest accounts are federally insured up to $100,000 by the National Credit Union Administration, a U.S. Government Agency, as well as privately guaranteed by American Share Insurance for an additional $100,000.

P.A.C.E. is a Win - Win - Win - Win Solution for Downsized Employees, Contract Employees, Independent Contractors, and Client Companies. Check out P.A.C.E. Benefits for the best benefits package available to ANY Contract Professional ANYWHERE in the USA.

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The Contract Employee's Project

The Contract Employee's Project is the larger context under which the following interrelated vehicles operate to promote and defend the interests of Contract Professionals:

  • The Contract Employee's Handbook
  • The Contract Employee's Newsletter
  • The Contract Employee's Workshop
  • Professional Association for Contract Employment (P.A.C.E.)

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Copyright and Publication Info

Copyright (c) 2003, James R. Ziegler. All rights reserved.

You may copy or forward this free publication provided it is left intact with all links and this notice unchanged. Any unauthorized duplication, including republication in part or in full for commercial use, is an infringement of copyright.

Published by:
P.A.C.E. - Professional Association for Contract Employment
1355 Willow Way, Suite 244
Concord, CA 94520
USA
http://www.pacepros.com/

Editor:
James R. Ziegler, Ph.D.
Executive Director
P.A.C.E. -- Professional Association for Contract Employment
(925) 680-0200
CENewsletters@pacepros.com

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Disclaimer

The Contract Employee's Newsletter is designed to provide information in regard to the subject matter covered. Use is granted with the understanding that the publisher and authors are not engaged in rendering legal or financial advice. If expert assistance is required you should seek the services of a competent professional.

The purpose of this information is to educate and entertain. The publisher and contributors shall have neither liability nor responsibility to any person or entity with respect to any loss or damage caused, or alleged to be caused, directly or indirectly, by the information contained in this Newsletter or by information contained in any web site or resource referenced by citation or hypertext link within the pages of this Newsletter.

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Sign-off

I hope you have found the information in this newsletter to be interesting, informative, and provocative. I encourage you to share the CENewsletter with your friends, colleagues, coworkers, clients, and agency recruiters.

Why clients? Because you need every ally you can get. Why agency recruiters? Because they need to know the jig is up.

Wishing you success in your contracting career,

James R. Ziegler, Ph.D.
Executive Director
P.A.C.E. -- Professional Association for Contract Employment

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