Putting A Price On Your Head

One of the most difficult things for a professional or a small business to do is often to decide what to charge for their service or product.  And, even more importantly, how to determine a rate or price, quote it with confidence and stick with it, even at the risk of a customer walking.

As an attorney and an investment advisor rep who charged based on a percentage of invested assets, I guarantee, I know the feeling.

Often times, especially when we are young or just starting a business, we feel as though what we are doing isn't worth as much as what's already out there.  Of, in the alternative, even if we feel the value is much greater, we are afraid to price ourselves out of the market.

Here is a true story that happened to me and a tip that might help you be more firm in your pricing and charges.

I once conducted a seminar and within the seminar recited a tax law.  After the seminar a woman came up to me and said that I was wrong.  The actual figure in the tax law was much lower.  I knew that she was quoting a figure that was right 20 years ago and I also knew that my information was correct.  Still, she wanted to disagree.

Finally, she asked me if I had anything in writing that showed what I was saying.  The only thing I had was an internal company newsletter that I had written!  I told her that the only thing I had was produced by me.

The only thing I had was an internal company newsletter that I had written!  I told her that the only thing I had was produced by me.

She grabbed the paper, looked at it, and immediately conceded that my information must be correct!

I couldn't believe it.

That taught me something.  People are much more likely to commit to things that are in writing.  

That concept goes both ways, too.  If you, as a professional, publish a price sheet, keep it handy and show it to prospects, you will be much, much less likely to immediately offer a discounted price for your goods and services.

Plus, clients are less likely to haggle with a price that is on a printed piece of paper!

So, commit your rates to paper and show them often.