Determining Your Worth
Oh boy this topic is a minefield but I am writing about it because it comes up with my clients and other business buddies time and time again.
Here is something to ponder…
You don’t get paid for the hour
You get paid for the value that you bring to the hour
Quote: the late Jim Rohn
Isn’t that powerful?
How often have we said to ourselves “Oh it’s so quick and easy for me to do, I can get that done in half an hour.”
The reason that you can get it done in half an hour is because it is something that comes naturally to you, it is part of your unique superpower…. It’s what your clients pay you for.
It’s time to be aware of what value your time brings to your clients and charge accordingly.
This can feel incredibly uncomfortable. I walk through this process with business owners and I feel their pain - putting a price on my time is something I agonize over as a business owner too.
To give you some perspective, I will try to talk in a currency that most of us can relate to… coffee ;)
We know that our regular cafe charges us $4 for making something that actually costs about $1 to make. Yes – they have to cover the cost of the milk, the coffee beans, the labour, purchase and maintenance of the machine, rent, electricity, blah blah blah but stop and consider what we are actually paying for?
We are paying for the convenience of an expertly made coffee. We are paying for something that we can’t do ourselves because we don’t have the time, skills, equipment (or the effort that we would have to go to make it justifies the cost so we just cough up and pay the $4 rather than die of caffeine withdrawal!!!!)
Consider what it is that your clients are really paying you for. They are paying you for something they cannot do or create themselves. They are relying on your expertise to do or provide it for them instead.
As we embark on a new financial year, I encourage you to spend some time reflecting on the unique gifts that you bring to your clients and whether you are charging accordingly.
If you would like to work through this or any other business challenges, contact me at firstname.lastname@example.org today.