HR Professionals as Entrepreneurs

08
Aug 2022
215
A light bulb is surrounded by colorful splashes of paint.

Author:  Ada Tai, MBA, CPHR, SHRM-SCP

Entrepreneurship seems to be a very trendy word and an occupational choice these days. In my recent conversations with various HR professionals, a common question arose: How can HR people become entrepreneurs? In other words, if I want to set up my own HR consulting practice, how do I start?

Before we dive into “how” to start an HR business, let’s first understand what being an entrepreneur means. My favourite definition of an entrepreneur is: “An entrepreneur is an individual who creates a new business, bearing most of the risks and enjoying most of the rewards . The process of setting up a business is known as entrepreneurship.” 1 This definition emphasizes a few key takeaways: first, being an entrepreneur is a journey of inventing and building something from the ground up. During this journey, you will experience many challenges and joys because of the uncertainty and the potential benefits you will gain through a successful venture. Running an HR consultancy as a business entails helping clients solve problems.

1. A business starts with an idea. (What’s your niche?)

Generally speaking, for HR professionals to utilize their established knowledge and skills, the idea for a business is likely to provide general or a specific area of human resources support, and/or offer training and coaching services. HR consulting is part of the large Management Consulting industry. In the US, the Management Consulting industry revenue is estimated at $250 billion 2 .  In Canada, the industry revenue is estimated to be about $22 billion 3 . Human resources consulting services account for roughly 12% of management consulting revenue 4 .

To set yourself up for success, several key questions to consider include:

  • Do I want to be a generalist or a specialist?
  • Do I want to be a business person or a technical expert?
  • Do I want to eventually build a company or stay as a one-person shop?
  • What is the niche that I can offer to clients?

2. Narrow your ideas down to concrete plans. (What’s your value proposition?)

Although many people prepare great plans, to be effective, these plans need to be tailored to the wonderful service you will provide. Since being a consultant is to solve clients’ problems, your value proposition should clearly communicate the benefit that clients will receive by using your service. In other words, a potential client should be able to distinguish what you offer from the offerings of other consultants. Questions to consider include:

  • Who is my target audience? What are their needs and wants?
  • How will I offer my services? When? Where? And, How?
  • With whom am I competing? What distinguishes my service from theirs?

3. Set up your business or join another business. (Let’s get serious.)

To take the HR consulting idea to the next level, you may set up your business as a Sole Proprietorship, Partnership, or Corporation. Any such form has its pros and cons. Then you will use your creativity to come up with an attractive business name, register for a business number and GST, open up a business bank account, etc. A clear and useful article in which this sort of information can be found is, “Your ultimate guide to starting a business in Canada”. 5

A large portion of the entrepreneurs-to-be choose to join other firms as freelancers or contractors, either full-time or part-time. This gives these consultants who are not ready to go all in on being their own boss a taste of being an independent consultant without bearing the full risk. They also use this option to test whether there is a demand for their skillsets. Some HR professionals decide to be a member of growing boutique companies. Others welcome the opportunities and challenges that large international consulting firms present.

4. Marketing, marketing. (And marketing)

By putting your business plan together, you now know who your targeted audience is. Using different methods to reach your potential clients and convince them to use your service is the magic of marketing. Setting up a website, and creating an email signature and business cards are the fundamentals to get one started. Once you generate a budget and are ready to go one step further, some HR entrepreneurs choose to engage marketing experts who specialize in social media establishment, search engine optimization, advertising campaigns, etc.

What I have found most useful is to create a professional and consistent presence for yourself and your business. This can be done by actively participating in in-person and virtual networking events tailored for your potential clients. Nowadays, while businesses are fighting to hire and retain talents, I find it quite easy to start a chit chat with business representatives about how HR consultants can add value. Be ready to give your elevator pitch about your credentials and your business offerings wherever you go. Furthermore, content marketing has also proven effective. It includes presenting publicly and creating educational articles, blogs, books, videos, podcasts, etc. The key emphasis here is “content.” I firmly believe that without valuable content, marketing becomes meaningless.

5. Let’s get to work! (No promotion can replace quality results.)

Now you have identified your niche area and value proposition, registered a business and utilized marketing efforts to engage one or more clients to understand potential solutions you can offer, the next step is to put a proposal together and present it to the client for approval. Several good templates are explained and included in the book, The Basic Principles of Effective Consulting , by Linda K. Stroh 6 .

Once the agreement is signed by both parties, you will immerse yourself in planning your project approach and methodologies, diagnosing the client’s issue, proposing solutions, gathering feedback from the client throughout the process, and implementing the solutions (if required). In my experience, great consultants are also great business people who can see client’s issues from 3000 feet and offer scalable and sustainable solutions.

Many of you are probably already performing the HR consultant role for your organization as an internal consultant. You may have also helped friends fix resumes, advised your family about workplace situations, etc. In this sense, we are all consultants utilizing our expertise. In my recent webinar, “ HR Entrepreneurs - Have You Ever Thought About Becoming an HR Consultant? ”, invited and hosted by CPHR AB, I shared that to be an effective consultant in this competitive environment, it is critical that we adopt a life-long learning approach with the ability to continuously innovate. The problems we are helping clients solve today may not be the problems the clients face tomorrow.


Reference:

1 Hayes, A. (2022, July 19). What is an entrepreneur? Investopedia. Retrieved July 25, 2022, from https://www.investopedia.com/terms/e/entrepreneur.asp

2 Industry market research, reports, and Statistics. IBISWorld. (n.d.). Retrieved July 26, 2022, from https://www.ibisworld.com/united-states/market-research-reports/management-consulting-industry/

3 Government of Canada, S. C. (2022, February 17). Consulting Services, 2020. The Daily - . Retrieved July 26, 2022, from https://www150.statcan.gc.ca/n1/daily-quotidien/220217/dq220217e-eng.htm

4 Industry Overview: Management Consulting in Canada. Industry Overview: Management Consulting in Canada | Small Business Accelerator. (n.d.). Retrieved July 26, 2022, from https://sba.ubc.ca/industry-overview-management-consulting-canada

5 Your ultimate guide to starting a business. BDC.ca. (2022, July 20). Retrieved July 25, 2022, from https://www.bdc.ca/en/articles-tools/start-buy-business/start-business/how-start-business-canada

6 Stroh, L. K. (2019). The basic principles of effective consulting. Routledge, Taylor & Francis Group.


 

I see. I hear. I experience . is a column created by and written by Ada Tai, a chartered member of CPHR Alberta. The column is written in a blog format where Ada and invited co-authors will present their own experiences and interpretations of the world of human resources and its impact on business management. This and the subsequent posts are copyrighted materials by the author(s) and only reflect their personal views, not CPHR Alberta’s.

Author bio: With an MBA Degree, a CPHR, and an SHRM-SCP designation, Ada Tai has been working as an HR professional in a variety of industries for over a decade. Through her consulting firm, Ada and the team provide a variety of strategic and pragmatic management consulting services.  Ada’s public speaking skills have enabled her to be regularly invited to speak about HR, people management, career search, and networking topics throughout the province. She is also a well-respected Instructor at the University of Alberta and MacEwan University.

Contact information:

BadaB Consulting Inc. provides a wide range of human resources solutions, including Strategic HR and Succession Planning, Organizational Design & Development, Diversity & Inclusion Program, Merger & Acquisition Support, Recruitment, Skills Development Training, Compensation Design, Performance Management, Workplace Investigation, Policy Development, etc. Another specialty of BadaB’s services is a personal job search and career coaching. The team has effectively helped over 500 people to find work.


 

The views and opinions expressed in this blog post belong solely to the original author(s) and do not necessarily represent the views and opinions of CPHR Alberta.


The views and opinions expressed in this blog post belong solely to the original author(s) and do not necessarily represent the views and opinions of CPHR Alberta.



By Jessica Jaithoo July 9, 2026
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By Jessica Jaithoo June 25, 2026
Author: Rheya Patel , 2026 Social Media Committee Member Leading with Courage, Empathy, and Connection Over the past two days, people leaders and business professionals as well as members of our CPHR Alberta community gathered at the BMO Center in Calgary to explore the ever-evolving terrain of Human Resources, firmly reminding me just how incredibly interesting, as well as important our work is in daily organizational operations. Coming from an in-person perspective, the energy was incredible. As Co-Chair of this year’s Social Media Committee, I had the privilege of attending both days, capturing these moments and learning alongside all of you. The overarching theme of this year's conference was clear: while technology and processes are evolving, the future of HR is fundamentally asking us to be more human. Day 1: Adaptability and Breaking New Paths We kicked off Day 1 with a focus on Change Management. 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By Marina Perkovic June 16, 2026
As the governing voice of CPHR Alberta, the Board of Directors meets quarterly to provide oversight and guidance across key strategic and operational priorities.  To maintain transparency with members and stakeholders, we continue to share post-meeting updates to highlight progress, key decisions, and how we are advancing the HR profession while ensuring a strong and sustainable organization. The Board of Directors met in June 2026 to review organizational performance, governance priorities, and long-term sustainability. The Board’s key messages for the membership are as follows: Continued Membership Growth CPHR Alberta continues to grow, with membership increasing by 4% year-over-year to 7,559 active members. Growth is being driven by strong engagement from students, future HR professionals, and members pursuing the CPHR designation, demonstrating the continued strength and relevance of the HR profession across Alberta, the Northwest Territories, and Nunavut. Strong Financial Position The Board reviewed Q1 2026 financial results and continues to closely monitor financial performance and long-term sustainability. CPHR Alberta remains committed to responsible stewardship of member resources while investing in programs, services, technology, and professional development opportunities that deliver value to members. Investing in the Future of the Profession Advancing the visibility and influence of the HR profession remains a strategic priority. A new province-wide marketing campaign has launched to position CPHRs as trusted business leaders and strategic partners, while increasing awareness of the value of the designation among employers and the broader business community. Supporting Future HR Professionals Student membership continues to be a key driver of growth, reflecting strong interest in HR careers and the CPHR designation. CPHR Alberta remains committed to supporting students, candidates, and emerging professionals as they progress through their HR careers. Continuous Improvement in Governance and Member Service The Board and its committees continue to strengthen governance practices, review policies, and enhance Board effectiveness. This ongoing work ensures oversight remains aligned with leading practices and supports a strong, sustainable organization for members. Focus on Long-Term Sustainability The Board continues to review long-term financial planning, revenue diversification, and future membership dues strategy. These efforts are aimed at ensuring financial sustainability while maintaining the value delivered to members. Looking Ahead The Board’s focus for the remainder of 2026 includes: Continuing to grow membership and engagement Expanding the visibility and influence of the HR profession Supporting a future-ready HR community Maintaining strong governance, risk management, and financial oversight Delivering high-quality programs, services, and member experiences The next Board meeting takes place in November 2026, after which we will again share our key messages. If you have any questions regarding these key messages or the Board of Directors, please contact chair@cphrab.ca . We welcome your feedback!
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