Continued from page 1
6) Are you willing to offer a discount to repeat customers? Will you offer refunds or just exchanges?
7) You need to be VERY clear on all pricing issues before you start your business.
Here's some more basic tips to get you on right path when it comes to setting fees:
1) Don't do work for nothing - set up an estimating formula - give each client a cost breakdown and stick to it - if you have to change it get client to approve cost overrun BEFORE you go ahead and do more work.
2) Turn down work that isn't worth time to do - this may sound callous - but why sit up until 2 a.m. doing work that is costing you money - yes you're working, but for what?
3) Some jobs will pay off in referrals and business in future - just be sure you're doing work that will pay off later, if you've taken a discounted rate of payment.
4) When it comes to doing work for friends, know in advance what your policy will be. This can be a very difficult situation, so be clear from start. Many a friendship has been damaged or destroyed over a business misunderstanding! Don’t let yours be one of them. This also holds true for work you may do for non-profit agencies or charities. Decide IN ADVANCE how many hours per month you will "give away" to a good cause. Do NOT allow yourself to go over amount you've set.
There is a lot of good information available about what salaries people in various industries are being paid – take advantage of it to your benefit. Set fees that make you feel appreciated and your work valued. Ensure that fees let you pay bills, cover your expenses, make you feel what you are doing is worthwhile, and make sure you save some for a rainy day and have some fun too!
Wendy McClelland is a motivational speaker and marketing consultant. She has been a nominee for Canadian Entrepreneur of the Year, and is a Canadian Achiever! Wendy’s first website won numerous awards, including being named as “one of the best business sites on the ‘net” by the N.Y. Times. Wendy’s life mission is to “motivate people to think without boundaries” and it’s also the name of her website! Visit www.ThinkWithoutBoundaries.com today