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I love the phrase “little hinges swing big doors” because it inspires me to take small actions that create a big impact.
And when applied to your fees, the “little hinge” of raising your rates can swing a big door of increased income flowing into your business.
But while raising your fees sounds simple, women entrepreneurs often get stopped at step one, and all because they get their emotions in a tangle over what is essentially a very easy, practical business action.
For example, the doubts and fears my Stars coaching clients often start out sharing with me is:
- Do I raise my rates for my current clients?
- What do I tell the people who have been working with me for a long time?
- Won’t people get mad at me if I raise my fees?
- Will I have to include more in my programs if I’m charging more?
- I’m scared I’ll lose clients if I charge more
- I’m already struggling to get clients, so why would I want to raise my fees?
- How can I charge more than others who have more experience/training that I do?
So first, take a breath…and let it out while I reassure you about 3 key points:
#1. Your current fees are NOT meant to be forever.
#2. Any fear over raising your fees is actually a gift — mirroring something that is currently holding you back in your business (usually, fear of rejection, loss or of what others will think).
#3. When you know how to “stair-step” your fees, you free yourself to charge what you’re worth AND provide awesome value.
To get you started, let me share with you the first steps to take so that you’re not stuck charging the same fees you’ve always charged, and, so you attract ideal clients who value YOU and the results you deliver.
Step #1: Stop Letting The Past Define You
Just because you’ve always charged a certain amount or by the hour does not mean you’re stuck with that method or amount forever. Your first step is to decide how much your services are going forward, starting today. This decision is independent of what you are charging current clients. What is represents is your rate for all new clients signing on with you.
Action: Write your new fee down where you can see it.
The emotion you need to release in this process? Guilt. Remember, you’re worth MORE than what you’re charging!
Step #2 Set Your “How Many And By When” Date
One of the tips I love to share with my Stars clients is that it is perfectly okay to “stair-step” your fees upward, rather than making a big leap all at once.
The key to this technique is to set a limit ahead of time as to how many clients you’ll accept at the new (intermediary) fee and by when.
For example, let’s say you want to double your fees and create packages instead of selling your time by the hour. With stair-stepping you can decide to create your packages now, and raise your fees by 50% for the first 3 clients. Then raise them again after that. Plus, you set the goal of signing on those 3 clients within 30 days.
Action: Write down how many clients you’ll accept at the new (intermediary) fee and by when, and post where you can see it.
The emotion you need to release in this process? Fear. Remember, you’re setting yourself up for success by breaking this down into phases…easy!
Step #3 Follow A System For Transitioning Current Clients Into Your New Fees
Stair-stepping gives you permission to start charging more with new clients, while transitioning your current clients into the new model over time. But this is NOT a permission slip to allow leaky boundaries such as letting clients go on forever with the old fees, while you’re charging higher rates for newer clients. You’ll end up feeling out of integrity and at odds with yourself!
The solution is simple: set a “by when” date for when all clients need to be onboard at your new rates and packages, then stick to it!
To transition your current clients into the new model, have a personal conversation with each client, following a simple outline that looks like this:
First, create a list together of all the results they’ve achieved in working with you. Next, share how excited you are to be taking your business to a new level, and that you’ve designed a new package (or two). Finish the conversation by discussing which package is best for them and presenting the new fee, not in total, but as the difference between the old and the new.
Yes, you may lose a client or two in this transition BUT the gains you’ll make with your new clients far outweigh any potential loses.
Action: Write down your “by when” date and a simple schedule of when you’ll speak with each of your current clients.
The emotion you need to release in this process? Hesitation. Remember, successful women entrepreneurs are decisive and have awesome boundaries that help others respect and admire them.
At the end of the day…
Your fees set the stage for the quality of clients you attract, your sense of self-worth, and the income you create.
So, my lovely friend, isn’t this the moment that you kiss guilt, fear and hesitation good-bye…and take these beginning steps to charging what you’re truly worth?
You can do this!
