When times get more difficult and profits drop, the questions always come up - Should I cut my fees? Should I lower my prices? Should I take a lower commission?
I've heard many viewpoints and I'll share three.
1) Make things more affordable so you can keep business coming your way. At first glance this may seem logical. But stop and think. Your overhead has not gone down. You may even need to work harder to get the same number of clients. Your worth has not changed. So does it make sense to devalue what you bring to the table?
2) Since it's harder to land a new client, and your operating costs may have gone up too, you should charge even more than before so that when you do get a new client, you'll earn more to make up for having fewer clients and higher overhead. But stop and think. We can only determine what the market will bear to a certain point. After that the market will have its way. The market is the most powerful force there is - and no one can rule over it.
3) This one is my favorite. Don't lower your fee when there are always ways to increase your value - or your perceived value. Look for ways to improve what you're doing. Look for ways to improve your services. Look for ways to lower your overhead. Work more efficiently. Use better wisdom. Improve. Focus more on your prospects and how you can sweeten the deal for them. You'll get your fair share of business and, hopefully, you won't have to work for less than you want or deserve.
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