We’ve got a question for you. Have you ever had a client ask you to reduce your rates?
We have, it’s bound to happen at some stage as a growing or scaling business.
Have you never really been sure what to do in that kind of situation?
Do you feel like you wouldn’t be charging your worth if you did reduce your rates?
Here are our thoughts on the matter:
What do your payment terms say?
- Think about pointing them towards the payment terms in your contract. Mention that this is what you charge everyone, or that this is your specific pricing structure
Charge your worth
- We often speak to our clients about this
- Make sure you’re being paid for what you’re valued at, do you feel like you’d be lowering your value if you charged less than you usually would?
If you accept, you might struggle to increase your pricing
- Offer a price you’re willing to stick with for the long term
- Is it a long term client you think will bring lots of work? Go for it!
- If it’s a one off/someone you feel could cause difficulties down the line, stick to your guns
Think about quality
- Could reducing your rates look like what you’re offering is of ‘inferior’ quality?
All in all – always trust your gut. If you feel like it could be a difficult client relationship, think about if you want to go through with it