Career Consulting Business

How Profitable Is A Career Consulting Business? (Updated for 2024)

Pat Walls

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Updated: September 29th, 2024

How Profitable Is A Career Consulting Business? (Updated for 2024)

So you want to start a career consulting business?

And the first question that came to your mind was, “well, are career consulting businesses actually profitable?”

With a market size of $250B - there’s plenty of business to go around.

Especially considering:

You could start a career consulting business with as low as $200
Based on our data, career consulting businesses generate an average of $395K per year
You could see gross margins as high as 98% with career consulting businesses

There’s money to be made. Don’t worry.

But, I don't want to spoil it all. Below we’ll cover everything you need to know when it comes to the profitability of a career consulting business.

Let’s dive in!

Is a career consulting business profitable?

Yes, a career consulting business is generally a profitable business. However, you still need to consider several factors since these things always impact the overall outcome.

For instance, since average revenue is $395K per year with an estimated gross margin of 90%, you could expect to recover your investment within 7 months or even less.

But of course, it all comes down to how much you earn compared to the potential revenues of your career consulting business.

To determine whether your business is profitable, you should earn more than your expenses in the beginning months. However, while you're in your first month, it can be challenging to know what to expect.

Therefore, you should maintain a record of your monthly expenses and income to determine whether you're meeting your goals. By doing this step, you can see how your career consulting business is doing and if any changes or adjustments need to be made to enhance or maintain your efforts.

Is a career consulting business worth it?

If you’re wondering if a career consulting business is worth it, the answer is a big YES. With career consulting businesses, you have the potential to earn $395K per year (this is based on data reported by real founders).

Further, you could have your initial investment back within months. Simply put, it’s a business worth a shot, especially if you have the resources and make the necessary efforts to achieve or surpass the target.

With a market size of $250B, it will be possible for you to build something that grows and turns into a flourishing business. As such, it’s the type of business you might want to consider starting.

Of course, you must learn and understand every aspect of running a career consulting business to ensure success. Still, as long as you have the initial investment and can endure a few months before your actual gains, this business could be worth it.

You might want to consider reading more specifics about successful career consulting businesses case studies.

Examples Of Profitable Career Consulting Businesses

Here are a few examples of profitable career consulting businesses, and a few more details about them:

1. MentorCruise ($480K/year)

Dominic Monn came up with the idea for MentorCruise while facing the challenge of finding a mentor during his own career development. He realized that mentorship was a major problem for many professionals, so he built a coaching marketplace where career professionals could turn their knowledge into a marketable coaching business and mentees could easily find a mentor. Despite the challenges of building the platform while balancing his studies and a full-time job, MentorCruise now makes around $24,000 per month in commissions and processes over $120,000 every month for its mentors.

Is it profitable? Yes
What's the gross margin? 80%
How much money it makes: $480K/year
How much did it cost to start: $0

How I Built A $24K/Month Mentorship Marketplace

MentorCruise is a career coaching marketplace generating $24k MRR and processing $1M annually for mentors, with most traffic and sales coming from SEO and organic sources, currently looking to expand to the B2B market.

Read this case study

Read by 6,522 founders

2. AiApply ($180K/year)

Aidan Cramer co-founded AiApply after drawing from his HR tech experience and leveraging the viral success of his previous AI-driven venture, PetVet.ai. Their platform, which now generates $25K in monthly revenue, revolutionizes job applications using personalized AI to streamline the process.

Is it profitable? Yes
What's the gross margin? 98%
How much money it makes: $180K/year
How much did it cost to start: $0

We Make $15K/Month Helping People Apply To Jobs With AI

AiApply case study showcases the journey from $0 to $25K in monthly revenue, highlighting the power of AI-driven solutions to revolutionize the job application process through personalized tools, viral content, and sustainable growth strategies for SaaS founders.

Read this case study

Read by 3,379 founders

3. National Trade Institute ($1.92M/year)

During COVID-19 lockdowns, Hector, a laid-off VP, discovered a hidden grant that paid trade school tuition. He leveraged it to create the National Trade Institute in Texas, enrolling over 350 students and generating $3 million in two years.

Is it profitable? Yes
What's the gross margin? 70%
How much money it makes: $1.92M/year
How much did it cost to start: $35K

I Built A $2M/Year Trade School With A Strategy Nobody Is Talking About

Discover how an online trade school scaled from zero to over 350 students and $3 million in revenue in just two years, leveraging a little-known government grant to dominate the market and achieve 85% profit margins.

Read this case study

Read by 2,813 founders

Learn more about starting a career consulting business:

Where to start?

-> How much does it cost to start a career consulting business?
-> Pros and cons of a career consulting business

Need inspiration?

-> Other career consulting business success stories

Other resources

-> Career consulting business tips

How much can you make with a career consulting business?

With a career consulting business, you can make an average of $395K revenue per year (based on data reported by real businesses).

You can start with an initial investment as low as $200. Then, with proper knowledge and sustained effort, you could have an ROI (return of investment) within 7 months.

How much does a career consulting business make a week?

Based on our data, average weekly revenue for a career consulting business ranges around $8.23K. As such, you could see monthly revenues of $32.9K.

To know if your career consulting business achieves the weekly profit target, you need to keep track of the total earnings you get per day. Afterward, you'll want to consider subtracting the expenses you have daily.

Learning your weekly profit can also show whether you're hitting your target goal for your career consulting business.

How much do career consulting businesses owners make?

The income of a career consulting business owner can vary depending on various factors such as location, size, competition, and the owner's business skills.

But to give you some idea, the weekly revenue of an established career consulting business is about $8.23K. But this can be lower or higher depending on so many factors - it's almost impossible to say exactly.

While the potential for earning a good income as a career consulting business owner exists, success in this field requires a commitment to providing quality products and services and building a strong reputation within the community.

Career Consulting Business Profit Margins

Generally speaking, a career consulting business can expect profit margin of around 90%. Profit margins refer to the percentage of revenue that remains after deducting all expenses associated with running a business. In the case of a career consulting business, profit margins can vary depending on various factors, such as the type and quality of products sold, the size of the store, and the level of competition in the area.

However, these figures can vary depending on the pricing strategy, inventory management, and overall efficiency of the business. To maintain healthy profit margins, career consulting business owners must focus on managing costs, negotiating favorable supplier terms, and providing high-quality products and services to attract and retain customers. By doing so, career consulting business owners can ensure long-term sustainability and profitability for their business.

Career consulting business owner salary

The salary of a career consulting business owner is an unpredictable figure. It's significantly influenced by numerous factors, including the store's location, its size, and the degree of competition. An owner of a well-established career consulting business, in a prime position, might see an average weekly salary around the ballpark of $7.4K.

But it's worth noting, such numbers aren't always consistent. The earnings can vary wildly, potentially swinging by as much as 80% either way.

Achieving consistent success and maintaining a reliable income stream in this industry requires a deep commitment. It's imperative to offer high-quality products, deliver impeccable customer service, and nurture a trusted bond with the community you serve.

Conclusion

In a nutshell, based on many of our examples, a career consulting business may be a promising business to start - but the success of your career consulting business mostly depends on your effort and your approach.

If you focus on these, you'll have a much higher chance of a profitable career consulting business.

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Starting A Career Consulting Business: Everything You Need To Know

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