Start an Instagram Consulting Business by following these 10 steps:
- Plan your Instagram Consulting Business
- Form your Instagram Consulting Business into a Legal Entity
- Register your Instagram Consulting Business for Taxes
- Open a Business Bank Account & Credit Card
- Set up Accounting for your Instagram Consulting Business
- Get the Necessary Permits & Licenses for your Instagram Consulting Business
- Get Instagram Consulting Business Insurance
- Define your Instagram Consulting Business Brand
- Create your Instagram Consulting Business Website
- Set up your Business Phone System
You have found the perfect business idea, and now you are ready to take the next step. There is more to starting a business than just registering it with the state. We have put together this simple guide to starting your Instagram Consulting Business. These steps will ensure that your new business is well planned out, registered properly and legally compliant.
STEP 1: Plan your business
A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:
- What are the startup and ongoing costs?
- Who is your target market?
- How much can you charge customers?
- What will you name your business?
Luckily we have done a lot of this research for you.
What are the costs involved in opening an Instagram Consulting Business?
An Instagram consultant can start their business at a very low cost — for many Instagram consultants who are just getting started, social media advertising may be their only expense.
What are the ongoing expenses for an Instagram Consulting Business?
Maintenance of tech equipment (including a mobile device and computer), a stable wireless connection, and advertising fees are the only ongoing business expenses for an Instagram consulting business.
Who is the target market?
The target market for an Instagram consulting business varies widely depending on the niche market the consultant wants to reach. Some Instagram consulting businesses cater to parenting influencers, others cater to athletes, etc. It's important that the consultant understands their target market.
How does an Instagram Consulting Business make money?
Instagram business consultants make money by helping customers grow their social media following, increasing engagement on social media posts, and/or by helping customers score paid partnerships with brands and other accounts.
How much can you charge customers?
Many Instagram consultants offer their customers a free week to try their program before asking them to choose a pricing level. Social media consultants may prefer to charge on an hourly basis rather than a monthly basis. Beginning social media consultants can charge between $15-$50 per hour. If you prefer to charge by month, social media consultants can charge between $399-$5,000 (or more) per month. With experience and proven results, social media consultants can increase their fees over time.
How much profit can an Instagram Consulting Business make?
An Instagram consulting business can easily make more than $100,000 per year, but it can take time to build up clients to get to that level.
How can you make your business more profitable?
As mentioned, the business owner's focus on growing their own social media account(s) is one of the most important ways to make their business more profitable. Working with multiple clients each month (instead of focusing on a single client at a time) can also increase Instagram consulting revenue.
What will you name your business?
Choosing the right name is very important. Read our detailed guide on how to name your business. We recommend checking if the business name you choose is available as a web domain and securing it early so no one else can take it.
STEP 2: Form a legal entity
Establishing a legal business entity such as an LLC or corporation protects you from being held personally liable if your Instagram Consulting Business is sued.
Form Your LLC
Read our Guide to Form Your Own LLC
Recommended: You will need to elect a registered agent for your LLC. LLC formation packages usually include a free year of registered agent services. You can choose to hire a registered agent or act as your own.
STEP 3: Register for taxes
You will need to register for a variety of state and federal taxes before you can open for business.
In order to register for taxes you will need to apply for an EIN. It's really easy and free!
You can acquire your EIN for free through the IRS website, via fax, or by mail. If you would like to learn more about EINs and how they can benefit your LLC, read our article, What is an EIN?.
Small Business Taxes
Depending on which business structure you choose, you might have different options for how your business will be taxed. For example, some LLCs could benefit from being taxed as an S corporation (S corp).
You can learn more about small business taxes in these guides:
There are specific state taxes that might apply to your business. Learn more about state sales tax and franchise taxes in our state sales tax guides.
STEP 4: Open a business bank account & credit card
Using dedicated business banking and credit accounts is essential for personal asset protection.
When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil.
Additionally, learning how to build business credit can help you get credit cards and other financing in your business's name (instead of yours), better interest rates, higher lines of credit, and more.
Open a business bank account
- This separates your personal assets from your company's assets, which is necessary for personal asset protection.
- It also makes accounting and tax filing easier.
Recommended: Read our Best Banks for Small Business review to find the best national bank, credit union, business-loan friendly banks, one with many brick-and-mortar locations, and more.
Open net-30 accounts
When it comes to establishing your business credit, net-30 vendors are considered the way to go. The term "net-30," which is popular among vendors, refers to a business credit arrangement where the company pays the vendor within 30 days of receiving goods or services.
Net-30 credit terms are often used for businesses that need to obtain inventory quickly but do not have the cash on hand.
Besides establishing business relationships with vendors, net-30 credit accounts get reported to the major business credit bureaus (Dun & Bradstreet, Experian Business, and Equifax Business Credit). This is how businesses build business credit so they can qualify for credit cards and other lines of credit.
Recommended: Read our guide on the best net-30 vendors so you can start building business credit now, so you never have to worry about cash flow in the future. Keep in mind that poor cash flow is the #1 reason businesses fail!
Get a business credit card
- This helps you separate personal and business expenses by putting your business' expenses all in one place.
- It also builds your company's credit history, which can be useful to raise money and investment later on.
STEP 5: Set up business accounting
Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.
Make LLC accounting easy with our LLC Expenses Cheat Sheet.
STEP 6: Obtain necessary permits and licenses
Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.
STEP 7: Get business insurance
Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.
There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance. This is the most common coverage that small businesses need, so it’s a great place to start for your business.
Learn more about General Liability Insurance.
Another notable insurance policy that many businesses need is Workers’ Compensation Insurance. If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.
STEP 8: Define your brand
Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.
If you aren't feeling confident about designing your small business logo, then check out our Design Guides for Beginners, we'll give you helpful tips and advice for creating the best unique logo for your business.
If you already have a logo, you can also add it to a QR code with our Free QR Code Generator. Choose from 13 QR code types to create a code for your business cards and publications, or to help spread awareness for your new website.
How to promote & market an Instagram Consulting Business
Social media marketing is key for Instagram consultant marketing. Word of mouth can also be helpful, and Instagram marketers may want to offer a discount for customers who send other people their way.
How to keep customers coming back
Proof of success is vital for Instagram consultants. It's important that an Instagram consulting business shows either growth on their own Instagram account or the accounts of their customers. Customer testimonials can also help Instagram consultants attract and retain customers.
Still unsure about what kind of business you want to start? Check out the latest Small Business Trends to help inspire you.
STEP 9: Create your business website
After defining your brand and creating your logo the next step is to create a website for your business.
While creating a website is an essential step, some may fear that it’s out of their reach because they don’t have any website-building experience. While this may have been a reasonable fear back in 2015, web technology has seen huge advancements in the past few years that makes the lives of small business owners much simpler.
Here are the main reasons why you shouldn’t delay building your website:
- All legitimate businesses have websites - full stop. The size or industry of your business does not matter when it comes to getting your business online.
- Social media accounts like Facebook pages or LinkedIn business profiles are not a replacement for a business website that you own.
- Website builder tools like the GoDaddy Website Builder have made creating a basic website extremely simple. You don’t need to hire a web developer or designer to create a website that you can be proud of.
Using our website building guides, the process will be simple and painless and shouldn’t take you any longer than 2-3 hours to complete.
STEP 10: Set up your business phone system
Getting a phone set up for your business is one of the best ways to help keep your personal life and business life separate and private. That’s not the only benefit; it also helps you make your business more automated, gives your business legitimacy, and makes it easier for potential customers to find and contact you.
There are many services available to entrepreneurs who want to set up a business phone system. We’ve reviewed the top companies and rated them based on price, features, and ease of use. Check out our review of the Best Business Phone Systems 2022 to find the best phone service for your small business.
Recommended Business Phone Service: Nextiva
Nextiva is our top choice for small business phone numbers because of all the features it offers for small businesses and it's fair pricing.
Start An Instagram Consulting Business In Your State
Select your state below for an in-depth guide on completing each of these steps in your home state.
Is this Business Right For You?
An Instagram consulting business is perfect for someone who knows the ins and outs of social media — and who is willing to stay up to date with changes to the platform's algorithm. Many people who try to grow their Instagram accounts get frustrated because it's challenging to stay current on what works well on the platform. An Instagram consultant should also have their own successful Instagram account or have proof that they've successfully grown Instagram accounts for others.
Want to know if you are cut out to be an entrepreneur?
Take our Entrepreneurship Quiz to find out!
What happens during a typical day at an Instagram Consulting Business?
A day in the life of an Instagram consultant can vary widely. Some tasks that an Instagram consulting business may perform each day include:
- Meeting with clients to discuss social media growth strategy
- Taking training to learn more about changing Instagram algorithms
- Developing new strategies to help clients grow their accounts
- Creating content and posting for clients
- Invoicing and billing clients
- Meeting and strategizing with employees (if the business has grown to require a team)
What are some skills and experiences that will help you build a successful Instagram Consulting Business?
Social media savvy goes a long way in getting an Instagram consulting business up and running. Clients may also want to work with an Instagram consultant who shares a similar aesthetic, so it's important for an Instagram consultant to narrow down their target market carefully.
What is the growth potential for an Instagram Consulting Business?
If a consultant is willing to spend time learning new techniques to benefit customers, the growth potential for an Instagram consulting business is exponential. It may also be important for Instagram consulting businesses to stay on top of trends on other social media platforms, as popular platforms tend to ebb and flow with time.
TRUiC's YouTube Channel
For fun informative videos about starting a business visit the TRUiC YouTube Channel or subscribe below to view later.
Take the Next Step
Find a business mentor
One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.
Having a support network in place to turn to during tough times is a major factor of success for new business owners.
Learn from other business owners
Want to learn more about starting a business from entrepreneurs themselves? Visit Startup Savant’s startup founder series to gain entrepreneurial insights, lessons, and advice from founders themselves.
Resources to Help Women in Business
There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:
If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.
What are some insider tips for jump starting an Instagram Consulting Business?
Regularly posting on and growing one's own social media account is a smart move to help an Instagram consultant grow their following and potential customer base. No matter how much an Instagram consultant may know about the platform, they need to show potential customers that they're able to put that knowledge to use, creating quantifiable results.
How and when to build a team
When an Instagram consultant's workload gets so large that they're unable to take on new customers, it's time to begin building a team. It's important that Instagram consulting businesses carefully chooses employees who are willing to constantly learn new ways of getting the job done in order to stay on top of ever-changing social media trends.