I want to talk to you today about a great way to add some extra income to your business. You can implement this strategy to get more comfortable pricing yourself a little bit higher than you’re used to. You’ll also get used to saying those numbers to clients and get them accepted.
I know that one of the big struggles with fees is being able to say that big number to a client, while also believing they’re going to pay you that much and that you’re worth that much. I know everybody struggles with this. This is part of the path to move your design business up market. It’s a great baby step that we use in our coaching groups to help designers transition and get used to receiving more for what they’re doing.
How to Bundle Hours Upfront
The way it works is that you decide you’re not going to sell one or two hours at all. No one-offs anymore. You’re now going to have a minimum of a five-hour block of time. So, if you charge $150 an hour, that’s your internal rate, of course, then that rate times five is $750. That will be what you charge the client upfront. It gets paid upfront because you’re supposed to be paid ahead of the work, not way after it.
This strategy is only the beginning of setting up a minimum fee for yourself because that is how you move up market and move through these pieces. And you realize that if this potential client won’t pay you $750 to do a job, then they’re not a client for you. This is not where you want to be.
When you start eliminating the one-off items from your quotes and state five hours is the minimum you’re going to do, you’ve moved yourself up market. So the best interior design business advice I can give you is to start with a minimum that you’re comfortable with. Then, you can gradually increase it as you move up market.
Those designers you see in magazines that are very successful, who have everyday jobs with $200,000 or $300,000 furniture budgets, their minimum fees are $10,000 or more. That amount qualifies their ideal client, and you can start on this path too. Just take the baby step.
Until next time design something beautiful and get paid what you’re worth.