How to Set Fees for Your Service Based Business

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When you open up a service based business you’ll probably find everything is easy save two things: finding clients; and setting your fees. Today we’re going to talk about setting fees. And trust me when I say I know how tough it is. When I opened up my criminal defense practice one of the hardest things I had to do was figure out what I was going to charge people. The toughest thing about it was that the service itself was pretty amorphous. There isn’t always necessarily a clear winning point – and though you know you are giving what at times is an invaluable service, that can sometimes be difficult to describe and explain in detail.

Here’s how to set fees for your service based business.

1. Find Out How the Client Will be Affected in Time, Money and Reputation

Once I figured out this step, and it’s probably the most important step, setting my fees became much much easier. When people would come into my office looking for a Houston criminal lawyer, they are in some kind of trouble. Even the smallest of criminal charges can have long reaching effects for some people. By learning exactly what each client was experiencing, by figuring out how their time, money and reputation would be affected by what was going on, I could adequately quote my fee and justify it by relating it to what was at stake and how truly valuable good service in this arena could be.

2. Don’t Just Charge What Everyone Else is Charging

It would have been really easy for me to just snoop around and find out what other Houston criminal attorneys were charging on average and then just charge that. But that would have been dumb.

Sure, it’s important to know what everyone else is charging, just because you want to make sure you aren’t the cheapest, but that’s just about it. In fact, what I made a concerted effort to do was make sure the fees I charged were much higher than the potential client would find with most other Houston criminal attorneys. I did this on purpose.

My thing is we aren’t just like any other criminal defense attorney. That we aren’t all alike. This is reflected in many different ways, but one of them is in the fee charged. We charge a premium fee because we are a premium law firm – when you hire use we deliver what we promise. That’s why we charge so much.

Getting behind the psychology of setting fees is the hardest thing to do. But follow these two suggestions and you’ll have your fees set, and have them set at the right price, before you know it.

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