Can we talk about money?

Talking about money is quite a sensitive issue for many professionals out there. It is one of those topics that most of us are afraid to even begin to tackle. Sometimes it is because you are worried that you might be overpriced or because you don’t know how much a client can spend and you fear that your price might not be within their budget.

Either way, this is an issue that is particularly difficult for small businesses and entrepreneurs. Some have low self-esteem simply because they are not a well-known company, while others are insecure because they don’t have that many years of experience. The fact is, these thoughts and feelings make us anxious about charging for what we offer.

But if you sit down and think about it, you will discover that this is just silly and you shouldn’t feel that way at all. Here are the facts:

First of all, if a client came to you, then maybe they don’t want a well-established firm with 20 years experience. Otherwise, they would have gone somewhere else. Startups and younger companies are the hot topic of today for a reason. They are much more flexible than well-established companies simply because the rules and structures are still being established; they can maneuver more easily because they have less staff and therefore less bureaucracy; last but not least, often times they are much friendlier to deal with because they truly appreciate every bit of business they get.

And secondly, whatever the reason a client turned to you, you know you are good at what you do, you know you’ve done work for other clients who are happy, and you know it in your heart that you will work to your highest standards, just as every other time, to make sure that this client is content with the results too.

So when you get anxious about raising the subject of money, try to remind yourself of these simple but true facts.  Also, keep in mind the following:

Don’t forget what you are in business for. As passionate as you are about what you do (and I hope you are as it’s extremely important) and as much satisfaction as it gives you to work for yourself, don’t forget what made you get into this in the first place.  Freedom and independence surely, but money is what buys them. There’s nothing wrong with that. As much as you enjoy your work, you need to make a living. We all do.

And if you have employees, even if only a few, think about them too. They too need to live off of something so your business needs to make money. And just like any other business out there, it makes money from delivering an excellent service to clients. So why should money be a dirty word?

Don’t forget that your product or service is valuable. You offer something, whether a product or a service, and the bottom line is you can deliver something that your client doesn’t have. Something that your client needs, something that has value to your client. Tangible or intangible, you still deliver something that is needed. In my experience, I’ve found that businesses offering services, such as consulting or management for example, find it the hardest to talk about rates and costs.  Yet, we live in an age when information is overwhelming which is why insightful information is priceless. If you happen to be one of those professionals, remember:  you’ve spent time to gain knowledge, you have expertise, you know tools and strategies that will effectively help your client grow their business. At the very least, by providing your service, you invest time and energy and these are extremely valuable in themselves.  You add value to your client’s business so naturally you will charge for it.

Don’t forget that your client charges someone too.  This ties in with the first point. We all need to make a living. You, I, your neighbours, your competitors, your suppliers and so does your client. And of course they charge for what they deliver to their own clients. This is how the economy works. If people didn’t pay for what they deliver it wouldn’t work. There won’t be any income, there won’t be any salaries, there won’t be any spending. In other words, take a more philosophical standpoint: your business is part of the economy we all participate in, and it needs to follow the basic principles. Charging for your products and services is the most crucial one. You charge, you redistribute wealth, the economy is healthy. This is no crime, is it?

It is a fact: to talk about money is problematic for a lot of people. But it doesn’t need to be if you keep in mind the above facts. You are entitled to what you charge and there’s no need to feel uncomfortable talking about cost. If your clients expect only the best quality of products and services, as I’m sure they do; if they expect you to deliver in a timely manner and if they expect you to deal with any problems that may arise; then they should expect to pay for that too. Right?

Don’t wait for your client to raise the matter, once you’ve demonstrated what you’ve done for other clients and you’ve captured your client’s interest, name your price. On the one hand, you won’t waste more time on a client who might not be able to afford you, so you can invest more time on someone who can. On the other hand, consider the possibility that your client himself may, for some reason, feel intimidated into asking for a price. Clear it up early and it will save you both time but also it shows confidence that you know what you deliver is good quality and valuable.