Last editedJun 20233 min read
Consulting is not a new phenomenon. Businesses of different scales and across virtually every industry require expert advice as they grow. But the way this happens is shifting towards what is referred to as the consulting as a service model.
A consulting service is a flexible way of accessing specialist business guidance within a certain budget and scope. Since most companies can’t always afford to acquire in-house experts, consulting as a service (CaaS) provides them the opportunity to get the same advice at a lower cost.
There are many reasons why businesses are looking to consulting as a service models, from price to efficiency. Keep reading to find out more.
How does consulting as a service work?
Consulting as a service is a wide-reaching term that covers a range of different situations. However, providers of CaaS generally operate within a specific area of expertise, whether that’s healthcare, insurance, or supply-chain management. Some businesses choose to operate with a CaaS provider on a short-term or one-off basis, whereas others will opt for a consulting subscription for ongoing support.
In the case of a consulting subscription model, clients will generally make ongoing monthly payments for unlimited access to consulting services. The consulting service may also be retained on an annual basis. If you’re thinking of offering (or investing in) consulting services, the advantages of a subscription model are clear. It represents regular and dependable income that you can easily predict, which is why subscription business models are becoming increasingly popular.
Traditional consulting vs. consulting as a service
Both traditional consulting and consulting services have their place in business growth and development. Traditional consulting tends to be much more structured and takes a holistic view of the entire organization, making it more time-consuming. CaaS, on the other hand, is generally used to target specific problems and is accessed as and when it is needed.
What really makes CaaS different from traditional consulting is the efficiency of the process. Companies that offer consulting as a service tend to follow cyclical agile models, which means that their processes are constantly updated and improved according to performance metrics. You’re likely to see quick progress in your projects when you use CaaS providers.
Why choose consulting as a service?
Now that you know a little more about consulting as a service, you might be interested in using it for your company. But what are the advantages of using consulting services? There are various reasons why you might choose to do this, which include:
Focus on the customers. Consulting as a Service tends to place the customer first, as they will work with clients on a recurring basis rather than simply selling a product or service and walking away. This means they’re intrinsically more dedicated to creating a better service and providing excellent customer care.
CaaS offers you more financial flexibility, as you can easily choose to terminate services with a provider or switch to a more cost-effective firm. This is a significant advantage over hiring permanent employees specialized in different areas.
Keep your team focused on their main tasks. Some employers might ask their employees to do research or acquire skills in new areas, which can distract them from their main tasks and have an impact on productivity. Outsourcing these types of labor-intensive tasks to a consulting as a service provider is an excellent idea.
As you can see, there are many reasons why the industry of small business consulting is booming. It’s an efficient way to acquire new knowledge and move your business into a new direction, all while mitigating potential risks.
How can GoCardless help consulting as a service businesses?
If you’ve decided to start up your own consulting service, one of the most important factors in your success is likely to be your payments process. Because consultants generally bill on an hourly basis, it’s critical for invoices for consulting services to be clear and accurate, so that your clients can understand exactly what they’re paying for.
Offering a seamless payments experience is also key, and as such, it could be beneficial to use GoCardless to handle your invoicing process. Enabling businesses to take invoice payments directly from their customers’ bank accounts, GoCardless can be used for recurring and one-off payments, making it a great choice when you’re invoicing for consulting as a service work. By creating a great payer experience, you can ensure that your customers return to your firm again and again.
We can help
GoCardless is a global payments solution that helps you automate payment collection, cutting down on the amount of financial admin your team needs to deal with. Find out how GoCardless can help you with one-off or recurring payments.