Project Management Consulting Business

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

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Updated: October 6th, 2024

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

So you want to start a project management consulting business?

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

With a market size of $242B - there’s plenty of business to go around.

Especially considering:

You could start a project management consulting business with as low as $300
Based on our data, project management consulting businesses generate an average of $261K per year
You could see gross margins as high as 95% with project management 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 project management consulting business.

Let’s dive in!

Is a project management consulting business profitable?

Yes, a project management 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 $261K 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 project management 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 project management consulting business is doing and if any changes or adjustments need to be made to enhance or maintain your efforts.

Is a project management consulting business worth it?

If you’re wondering if a project management consulting business is worth it, the answer is a big YES. With project management consulting businesses, you have the potential to earn $261K 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 $242B, 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 project management 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 project management consulting businesses case studies.

Examples Of Profitable Project Management Consulting Businesses

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

1. DigitalCollars ($20.4K/year)

David Arroyo, the founder of DigitalCollars, came up with the idea for his digital consultancy after working in manufacturing for nine years and realizing the gap between software and factories. He saw the need for optimizing and automating processes in small and medium-sized factories that were still relying on spreadsheets for production. After implementing digital solutions in his own factory and seeing the positive impact, he decided to monetize his productivity tools and offer his services to other manufacturing companies.

Is it profitable? Yes
How much money it makes: $20.4K/year
How much did it cost to start: $300

This Engineer's $21K/Year Side Hustle Helps Manufacturing Companies Go Digital

DigitalCollars is a digital consultancy created by founder David Arroyo to provide software solutions for manufacturing companies, generating an average of $1,700 per month while working full-time, targeting the small and medium-size factories market with potential for growth.

Read this case study

Read by 2,265 founders

2. Sarah Stewart ($54K/year)

Sarah Stewart transitioned from a 14-year corporate career in the pharmaceutical industry to become a time management coach after a "lightbulb moment" on a Zoom call. Leveraging her project management skills and lived experiences, Sarah's business has served 121 customers and generated $150,000 in lifetime revenue.

Is it profitable? Yes
What's the gross margin? 75%
How much money it makes: $54K/year
How much did it cost to start: $2K

How I Built A Time Management Coaching Business To $150K

A time management coach and project management consultant shares how she transitioned from a corporate career to self-employment, built a successful coaching business, and launched a transformative program that has received rave reviews and changed lives.

Read this case study

Read by 2,195 founders

Learn more about starting a project management consulting business:

Where to start?

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

Need inspiration?

-> Other project management consulting business success stories

Other resources

How much can you make with a project management consulting business?

With a project management consulting business, you can make an average of $261K revenue per year (based on data reported by real businesses).

You can start with an initial investment as low as $300. Then, with proper knowledge and sustained effort, you could have an ROI (return of investment) within 7 months.

How much does a project management consulting business make a week?

Based on our data, average weekly revenue for a project management consulting business ranges around $5.43K. As such, you could see monthly revenues of $21.7K.

To know if your project management 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 project management consulting business.

How much do project management consulting businesses owners make?

The income of a project management 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 project management consulting business is about $5.43K. 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 project management 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.

Project Management Consulting Business Profit Margins

Generally speaking, a project management 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 project management 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, project management 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, project management consulting business owners can ensure long-term sustainability and profitability for their business.

Project management consulting business owner salary

The salary of a project management 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 project management consulting business, in a prime position, might see an average weekly salary around the ballpark of $4.89K.

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 project management consulting business may be a promising business to start - but the success of your project management 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 project management consulting business.