The Expert Edge

PATCA Gets its Name in Inc.

PATCA is very excited to be recognized in the October 19, 2010 edition of Inc. Magazine: How to Get the Most out of Consultants. 

Here's a sample of the story, written by reporter Evan Klonsky:

"Consultants work hard to preserve longstanding, credible relationships with their clients to uphold their reputations. Suraiya Ahmed, president of the Professional and Technical Consultants Association, says that a consultant must also be willing to expand the horizons of your business. In essence, this means seeking to deliver beyond the task he or she is brought in to complete.

"What you're looking for is really a package deal," says Ahmed, who also founded Spectrum Insights, a consulting firm based in Union City, California, that specializes in small-company performance. "Not just a veteran consultant, but one who has either a network of connections or a bucket of expertise."

Read the full article here.

5 Ways the Small Business Jobs Act May Benefit Consultants

This week, President Barack Obama signed a bill to help small businesses expand and create jobs by cutting their taxes and establishing a $30 billion loan fund.

San Francisco Management Group consultant Jim Lansing, who heads up PATCA's Legislative Committee, has been investigating the story. Based on early research, Lansing has identified some "quick hits" that pertain directly to consultants, most of whom run small businesses.

Five ways this legislation may benefit consultants, directly or indirectly:

• Small businesses will be in a better position to hire consultants. Since these firms are likely to be cautious in the short term, they may hire part time employees and outside consultants for an interim period before adding permanent headcount.
• Greater funding sources will be available as options for management consultants who help clients package and obtain financing, allowing for more organizational consulting projects to proceed.
• Construction firms and other small business manufacturers will be able to make essential equipment purchases and qualify for a tax write-off more quickly. 
• The elimination of capital gains taxes on  many small business equipment purchases should eventually make more funds available to hire additional employees or project consultants.
• The new law provides that self-employed Americans can deduct all health insurance costs for themselves and their families. Previously, consultants could only deduct 50% of such costs.

Watch this space for continuing commentary on how the Small Business Jobs Act will affect consultants, self-employed specialists, and small businesses.

Submitted by Jim Lansing.

PATCA Joins VC and Private Equity Roundtable

PATCA has joined the VC and Private Equity Roundtable, which is comprised of about 60 venture capitalists, angel investors, and other parties who have interest in the growth of start-up companies. PATCA's role is to connect fledgling companies with consultants and share "the expert edge" on a pro bono basis.

Here's how it works: When a Roundtable member has a need for consultation with an expert consultant, a request will be sent to the PATCA office. PATCA members who have the required skills will be invited to provide advice or assistance on a pro bono basis. 

Participation is voluntary, however PATCA and its members receive valuable exposure to an influential group of investors. Past President Walt Maclay represents PATCA, and has had several opportunities to speak to the entire group about our organization and generate interest. 

Watch for more news on this program in the coming months.

Two New Board Members Elected

At the election on March 11, two PATCA members were elected to serve on the Board of Directors. Larry Polyak was newly elected to the board, and Jerry Rice was re-elected to serve another term on the board.

Larry's company, Microsystems Development Technologies, Inc., offers custom microprocessor application design and development for consumer and industrial products, and has brought a variety of innovative products to the consumer market.

Jerry is President and CEO of FabNexus, a firm that provides custom software development services that enable and extend industrial equiprment control, data collection, and automation communications capabilities. 

There were two write-in ballots for former President Joel Williams, however he has not yet confirmed his availability to serve. 

Two PATCA Consultants Quoted in Wall Street Journal

How exciting to see two PATCA members quoted in a recent Wall Street Journal article! The story was entitled "Three Best Ways to Win a New Client."

Mike Silverman, Managing Partner of Ops a la Carte in Santa Clara, offered his advice to "go where the growth is" by focusing sales efforts on a few core industries that are stable and doing well.

PATCA President Walt Maclay, of Voler Systems, shared wisdom on the importance of partnering with other consultants to provide a wider range of services to clients.

"Many small businesses ring in the new year by taking a fresh approach to winning new clients. Whether you plan to reinvent your company or just attract an untapped demographic, there are a few ways to achieve your goals..." Read the entire article.

Services Sector Shows Steady Increases

It should come as no surprise to busy PATCA consultants that activity in the services sector has increased again in October. PATCA's member survey earlier in 2009 reported cautious optimism regarding future growth in consulting work, and economic indicators now show that growth has indeed occured.

According to JPMorgan's Global Services Business Activity Index, the upward trend continued in October, reaching a 22-month high. The report states that an increase in worldwide services activity has been noted for three successive months.

Additionally, growth of services activity in the US was very robust, reaching its highest point in two years and showing progress after the end of the recession in the third quarter. Countering the trend, there was a further reduction in employment during October, although the rate of job losses in the US is decreasing.

This phenomenon has been noted during previous economic cycles. As the economy starts to pick up speed, companies begin to hire contingent workers, like consultants. This is a great opportunity for PATCA members to reach out to new clients and to build stronger relationships with current customers.

PATCA Reports Optimism Among Silicon Valley Consultants

Santa Clara, California, June 8, 2009:  A recent survey of PATCA members shows continuing economic uncertainty, but guarded optimism for the Silicon Valley and Greater San Francisco Bay Area consulting market. PATCA, an association of professional and technical consultants founded in 1975, also reports growing interest in the profession from laid off workers and increased participation in its educational programs.

 

“We recently conducted a mini-survey to put our finger on the pulse of our members,” said PATCA President Walt Maclay. “Much has changed since our last major consultant survey in the first half of 2008, but I’m surprised and delighted with our findings.” PATCA members are highly credentialed, experienced consultants who work either independently or in small consulting firms.

 

The survey asked three brief questions, designed to update key data points from the organization’s last member survey. Although 40% of PATCA consultants saw a decline in gross income in 2008, 47% of the respondents saw an increase in revenues that same year.

 

In looking toward their anticipated results for the year 2009, 57% of the consultants surveyed feel somewhat optimistic, expecting either an increase in business or no loss of income. Only 43% anticipate a decline in earnings.

 

A closer look at the data revealed... (see complete press release.)