Summary
Expect to learn how to overcome concerns surrounding the transition from hourly billing, using strategies including adjusting one's attitude towards project completion and payment, emphasizing strong relationships and open communication with clients to address scope changes, and practicing patience in pricing by focusing on building trust and understanding client needs.
3 Key Takeaways from this Video
- Attitudinal adjustment: Overcoming the mindset of being paid for every second of work allows for a more relaxed approach to scoping projects and ensures fair compensation.
- Prioritizing client relationships: Building strong client relationships through effective communication and regular check-ins establishes a foundation for discussing scope changes and addressing fairness concerns.
- Practice patience: Taking the time to understand client needs, establish trust, and focus on the relationship rather than fixating on finding the "right price" leads to successful pricing outcomes.
Transcript
0:07 One of the biggest fears for people moving away from hourly billing is I'm going to end up doing work for free.
0:16 How am I ever going to be able to scope it accurately and have the right price? And so that's justified, but I believe in the long haul you'll find you'll build great systems and that will really mitigate against the risk.
0:30 So, I'm thinking there's some strategies in terms of making sure you are always able to call out change a scope and you're always able to get paid fairly for the work you do.
0:40 The first is it's an attitudinal adjustment. You need to get over in life being paid for every second that you work.
0:48 If you can get around that then you put yourself at ease and you're no longer as worried about like, oh, that took me an extra hour or that didn't, you know, start getting used to the idea that if I do the project and I get paid that's a success and happy client.
1:04 So, that's the first thing. An attitudinal adjustment. The second thing I'd say is focus on the relationship, the relationship at all times, communicate, ask lots of questions going through like, how is it going?
1:17 You know, is there anything that's come up or like really create an avenue where at the end that you feel like you can always talk about things.
1:27 And that way when change a scope comes up or anything that feels unfair, it's just part of the ongoing conversation.
1:36 You know, you have the rapport in place which is if you spend enough time and say how's it going at home.
1:42 You know, this must be really hard. You're selling your business. You've been in it for all those things, then that communication really leads to making all the other things go just fine and making sure that you actually end up with the right price.
1:55 The other thing I'd say is be patient in pricing at the outset, if you're patient and you wait and get to know people and they get to know you, you find out what success looks like, then you're going to end up with a better price.
2:10 And one thing I'm always surprised at is people, it's really more about the trust and the relationship than it is about the right price because there is no right price in the end.
2:20 So, I think the first thing is to have the attitude that if I do the work and I get paid, it's fine.