If your business involves providing a service to someone, you may have been tempted to lower the price you charge in order to attract a new client.
Here’s my advice: DON’T!
This is an especially tricky situation for any new business person to handle. When you’re just getting started, you worry that no one will want to pay what you’re asking, since you don’t have experience. In that case, you may indeed have to do some work on spec to build up a portfolio.
But once you’ve got a few clients under your belt, and are feeling more confident, don’t start haggling over price. Find out what the going rates are for your industry and either market your business right at that rate, or even a little higher. If you under promise and over deliver, you’ll make out fine.
I caught a YouTube video today that puts this in perspective, by showing how ridiculous it would be for price haggling to take place in some other circumstances. Check it out.
