It’s one of the biggest hurdles for new entrepreneurs… Figuring out how much they should charge for their services! But once you set a rate, don’t assume this number is set in stone and never changes. It’s standard practice across all businesses to annually increase rates. But how do you know when it’s time to do so?
As your business grows, and you develop more expertise and clients, it’ll be important to periodically review your rates. If you’re unsure if you have a solid reason to raise your rates, keep reading to see if you fall into any of these categories below!
When it’s time to up those prices:
1. You’ve invested in training or education.
Let’s say you have invested in additional education to help you hone in your skill set, streamline your processes and refine your offers. This leads to proper positioning of your services in your market, while feeling confident about the value you bring to your clients. If you’ve checked all of the boxes in this section, then it’s time for you to raise your rates.
2. You’re charging significantly less than your competitors with the same expertise.
Ask yourself: What do I do better than my competition? What is your unique value proposition? Explore how your business is different from your competition and use that as a basis for raising your rates. If you can prove the value and results you have delivered to past clients, then your services will sell themselves regardless of a price increase.