I've been sitting here racking my brain trying to figure something out when it dawned on me that I should bring it here.
I recently changed jobs. I provided some very unique manufacturing, lean, and IS type of services at my last job. In my resignation letter to my last employer I stated that I was willing to entertain doing consultant work for them after leaving. I left on very good terms.
Well they called. They want me to work on a project. They want to know my rate(s).
After looking around I think I am going to tell them $150/hr. I guess there are a lot of manufacturing consultants that charge $100-$150, and I figure that they would have to spend $20,000-$30,000 just getting another consultant to understand the circumstances surrounding their issue (we spent almost $100k just trying to bring a TPS trained Lean Sensei up to speed before). So I figured at $150/hr I would be a bargain.
I would need a new laptop (new one is my new company's).
What do you guys think? Are any of you consultants? Is there normally any other customary fees that I should look into asking for? They would set me up as a vendor in their system, but do I have to start a new business or can I just claim the income as a sole proprietorship - non business entity income on taxes?