Ready to increase your prices? Consider these 3 C's.

I don't know about you, but running a business is tough and time consuming. It's taxing in real life and on the mind, body and soul. It's a lifestyle which I didn't choose (it chose me) but it's been the best decision that has ever come out of an epic failure (watch this TED talk for more information).

One thing though I realise since running a business is that we, as a society, are not great at learning, sharing or talking about money, finances or income. There's no real guide on how to level up your rates as your business grows, and when is the right time.

Since launching a business 2 years ago, our rates have stayed the somewhat the same despite the increasing cost of living. According to recent reports, inflation hits 7% in the UK as the cost of living soars. As someone who manages a remote team, the cost of living directly impacts my day to day running - from wifi to hot water.

May is a month to raise awareness of mental health.

According to widely distributed data, 1 in 4 of us suffer from mental health unwellbeing, but we all have had our moments in reality. It is estimated that almost 4 in 10 people say that financial situations are known to impact and worsen their mental health problems. Though limited, new research finds that 72% of entrepreneurs suffer from mental health unwellbeing, primarily due to financial burden, either using their own money to fund the business, not gaining funding, or retaining funding when growing. In addition, women are paid less and charge on average 18% less than their male counterparts; we need to get better at taking control and charging what we are worth.

One step I am taking towards a healthier mindset and mental health journey is increasing my pricing. This is beyond the typical "self-care; meditate and reading" advice that many people give online (myself included). This is a tangible result reflecting the epic work that I and LMF Network had undertaken in the last 3 years (7 years if you count from my graduation, 10 years if you count from when I first started working).

As a business owner, much of your time is spent chasing income and ensuring that you break even, cover all the costs and pay your people fairly. This constant chase is definitely a driver but can be a hinderance when you aren't pricing your time well and/or not receiving a mutual exchange in value.

In the last 3 years, we have upskilled shy of 20,000 people; launched the UK's most prominent mentoring programme with shy of 1,000 people across 24 countries, published a best selling book, been recognised as Linkedin's changemaker and leading voice, delivered 30,000s of training around inclusion and business & managed a team of 5 remote workers - not to mention having my own BBC radio show, named Top 50 BAME Entrepreneurs under 50 (2020), Marie Claire's Future Shaper (2020), Women in Tech 100 (2021) and Asian Women of Achivement (2022).

So, if I have the expertise, the acknowledgement and accolades... it's time to level up. This has been a long time coming and something I have procrastinated on for a while. But as we launch our new LMF careers platform, it's time I lead by example.

Ready to increase your prices?

Calculating the increase - For example, one way to calculate the rise may be to understand the overall rise around you. For example, I may choose to increase my rates by on average 20%, taking into account experience and expertise, the increase in living, the rise in software such as Zoom or Gmail, social following (social currency and community) plus the taxes small businesses have to pay (which most can't claim as VAT unless you earn a certain ￡amount per year)

Considering your values - At the LMF Network, all the work we do is to build the careers and confidence of others. Our core values include representation, inclusion and authenticity. For that reason, the increase in costs will not be directly introduced when working with not-for-profit charities or community organisations. It will not be directly fed into the community themselves. People who are willing to do the work for themselves or social organisations are already struggling, and it's our value to ensure we can help, not hinder. We will be launching a new platform to ensure that everyone has equitable access globally; you can sign up for a free trial here.

Communicating to your clients - Share your news with your clients and those working with you, either through a generic email or personal communications when bidding for work.

E.g. -

• I am sending this email to inform you that the cost of services will be increasing by Y% from X date. This will ensure that we can provide quality output whilst retaining our business growth and staff. Any services booked after X date will reflect the new costs. If you have any questions, please feel free to get in touch.
• The cost of the quote is below. Please note that the new section considers our price increase, reflecting our expertise and evolution in this area. Since we last worked together (insert X date), we have delivered 30,000+ in training, upskilled shy of 20,000+ people and launched the best selling business book. Additionally, our recent research suggests that through our programmes, confidence is increased by 90% and career knowledge by 85%.
• We are increasing our prices concerning inflation and the current industry average (do your research about this through sites such as Linkedin, Glassdoor, or ask your network). This price increase will start from X date. We hope to keep working together in the future.

Of course, these are my thoughts and opinions. I'd love to hear from you; comment below or drop me a direct line at [email protected]. If you are interested in building your confidence and learning how to negotiate better terms, sign up for our new careers platform, where we will be launching such courses in June 2022. WWW.LMFNETWORK.COM

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SONYA BARLOW IS AN AWARD-WINNING ENTREPRENEUR, FOUNDER OF?@LMFNETWORK, DIVERSITY COACH, TEDX SPEAKER, LINKEDIN CHANGEMAKER 2021, LINKEDIN TOP VOICE 2022, RADIO HOST?BBC ASIAN NETWORK'S THE EVERYDAY HUSTLE?AND AUTHOR OF?UNPREPARED TO ENTREPRENEUR.

IN 2020, SHE WAS NAMED AS ONE OF THE MOST INFLUENTIAL WOMEN IN TECH (COMPUTERWEEKLY), WINNER OF THE WOMEN IN SOFTWARE CHANGEMAKERS (MAKERS AND GOOGLE), TOP 50 BAME ENTREPRENEURS (TECHROUND), FUTURE SHAPER 2020 (MARIE CLAIRE), AND FORBES 30 UNDER 30 SHORTLIST RUNNER UP 2021. SHE HAS DELIVERED TWO?TEDX TALKS?AND IS ACKNOWLEDGED AS AN INTERNATIONAL KEYNOTE SPEAKER. SONYA HAS HAD HER ARTICLES PUBLISHED IN METRO NEWSPAPER, SIFTED EU, AND TELEGRAPH.

As you know, LinkedIn Changemakers is a force-for-good, always-on campaign, spotlighting individuals like yourselves, whom each represents causes that impact the world of work; Mental Health, The Future of Work, Gender Equality, Racial Equality, LGBTQ+ Equality, Equality for professionals with Disabilities, Sustainability, and overcoming Unemployment/Career Setbacks. With LinkedIn's vision being "to drive economic opportunity for every member of the global workforce", the Changemakers programme is just one of several initiatives by LinkedIn to show their stance that everyone should have equitable access to opportunity and work. LinkedIn is also partnered with?UK Youth,?10,000 Black Interns, and?MyKindaFuture's?Connect?programme in the UK. Find out more here.

This article was written as part of the LinkedIn #Changemakers campaign – a campaign shining a spotlight on individuals using LinkedIn to drive genuine change in the world of work. To find out more about the partnership, read more here. And if you want to join the conversation, share the one thing you'd like to change about the world of work in a post on LinkedIn with the hashtag #ConversationsForChange.