Taking Your Customers with You:
Dos and Don'ts
by Barbara Reinhold
Do leave your job on good terms. One important quality in becoming a successful consultant is your ability to network and get work from your contacts. Your former colleagues and bosses can pass you leads about customers, and bring you in to work on projects that are being done by your former company.
Do plan your departure. Planning is another key to success. You will want to start creating your own files about clients and other contacts that you can use once you are on your own. You will want to take time to plan and schedule how you will find business after you have left your job. You can also take this time to create marketing materials on yourself so that you can immediately circulate them after you have left your employer. Most importantly, start saving money before you leave your job. It may take a while before your first invoice is paid -- even by a customer who hires you immediately after you leave your former job. You will need living expenses for the first six months to a year of your new career. Having the living expenses will reduce your stress level and let you devote your full attention to getting your business off the ground.
Do have your noncompete agreement reviewed by a lawyer. Taking your customers may pose legal problems if you have already signed an agreement not to compete or solicit customers of your former employer. However, some agreements are not enforceable and others provide loopholes that would allow you to work for your former employer's customers in certain instances. Having a business lawyer review your agreement will provide you with the information you need to steer clear of legal troubles while starting up your new business.
Do notify your clients that you are departing and want to keep in touch. Once you have given your notice, let your best clients know that you will be leaving. The topic of what you will be doing will inevitably come up in conversation. This is a good time to explain what you will be doing and perhaps exchange telephone numbers and ask if you can keep in touch with your former client.
Do immediately get in touch with former clients after you have left. Now that you are on your own and you have your marketing materials, call your former clients as soon as you can. Since little time has passed, they will gladly take your phone call, but the longer you wait, the less likely that you will be in your client's memory. Ask to take your client to lunch or make an appointment to bring your new materials. If your client was happy with your work, you may get a project to work on immediately.
Don't solicit customers while still employed with your employer. Soliciting customers on company time can be dangerous for several reasons. While soliciting customers as an independent consultant is viewed as business competition, soliciting your employer's customers on company time is considered stealing. First, if your boss finds out, you will definitely be fired immediately. Second, some clients will look on your solicitation as trying to "steal" clients from your employer. You will be viewed as being unprofessional and unscrupulous. One of these clients may even tell your company what you are doing, resulting in your immediate firing. Third, after firing you, your former company may sue you for stealing clients.
Don't badmouth your former employer. It is important for you to appeal to clients on what you do right rather than what your former employer does wrong. While badmouthing might be effective with some clients, most will view badmouthing as unprofessional and petty. They want to hire consultants who are professional and who produce quality products. Emphasize your strengths rather than your competitor's weaknesses.
Don't take your former employer's customer lists and trade formulas. Customer lists, pricing formulas and copyrighted materials should stay with your former employer because these are considered your former employer's trade secrets under the law. Taking such documents from your former employer will surely bring you legal problems, including the possibility of being arrested for theft or being sued by your former employer.
Don't be impatient. Even if your customers tell you that they will give you projects, they may not. Don't keep calling the same customers over and over again to check on projects. It will be viewed as a harassing tactic and spoil any chances of future work. Continue to work on getting assignments from a variety of contacts. It may take a while for you to find your first assignment. If you have saved money and planned ahead, you will have enough living expenses to allow you to continue your search for work. Be patient, and keep working to find projects to work on.