Knowing how to price your services when you work for yourself is always a challenge.
I’m a strong believer in that pricing can make or break your business.
In addition to this, I also feel most people need to RAISE their prices!
Many solopreneurs are massively undercharging for their services because they aren’t adding up correctly.
You don’t need to be a maths whizz to work out how much you should be charging.
Here are some easy tips on how to price your services:
Grab a pen and paper (or open an excel file)
1. Put a price on YOUR head
Yes, you deserve to be paid.
Just because it’s YOU doing the work and it’s YOUR business doesn’t mean you don’t have an hourly or project fee.
If you don’t know how to do this then go out and look for someone you’d hire to do your job for you.
2. Get ridiculously detailed about your expenses
If you have to travel to your client you need to include travel expenses, even if you are driving your own car (petrol costs money!)
Similarly, phone calls need to be factored in, even if you plan to use free services like Skype.
Why? Because, there MAY be a chance that you have to make an urgent call from your mobile and that won’t be free.
Add in coffees, snacks, extra paper, printing expenses (but be realistic – budgeting for lunch at a swanky celeb filled restaurant will probably tip the balance).
Don’t forget to add your time in too.
3. Think “worst case scenario”
Doesn’t sound too good does it?
What I mean is, IF that speaker you are relying on is offering you a great “mate-rate” deal or doing it for free, you NEED to account for their rate as if you were paying FULL price.
One day they may not be able to make it or you may want to hire someone else. Make sure your service is priced correctly from the start.
NEVER EVER account for something as being FREE.
4. Be realistic with your time and resources
How many hours can you REALLY work in a day?
How long will that project really take you?
I know that I sometimes struggle to work this out but it’s critical!
I once quoted for something thinking it was “just gonna take a couple of hours” – 8 hours later I was still no where near done and, well, I wasn’t happy.
5. Add it all up and then compare to get your final price for your services
Ok, that should have been all pretty simple.
Now for the fun part.
Add it all up and then see where you come out?
Too high? Maybe you need to rethink the price on your head.
Too low? This is the best position to be in – bump it up to where you want it to be.
Not sure where you fall?
Go check out your competition.
Obviously pricing is just one part of getting your marketing right.
Still not sure how to price your services? Give me a shout and I’ll be happy to help!
In the meantime, jump on the newsletter list in the awesome pink box below and I’ll send you exclusive FREE tips on how to market your business that you won’t get from just reading my posts! What’s stopping you?
SO, What tips do you have for pricing your services?