| |
| |
|
Negotiation Information |
|
|
|
Determine Your Rate And Negotiate Carefully With Unreasonable Clients
Consultants who offer executive assistant or computer services on a virtual basis must know their value and be prepared to gauge their billable rate to meet the circumstances. At some point everyone encounters potential clients who expect professional work at rates that are less than appropriate. For example, a posting advertises an opportunity that matches your highly polished skill set. After making contact with the client you find they don't want to pay a reasonable fee for the services they expect. While these types of engagements might help to build a newcomer's portfolio or pay some bills when money is tight, a successful virtual service provider knows their value and refuses to be exploited. Make sure clients understands your training, background and areas of expertise. Then, set expectations for services by pricing in accordance with your qualifications and skills. Be prepared to be flexible, yet firm in your compensation requirements. ? Determine your base rate in advance of client discussions. Scratch it out on paper or create a spreadsheet. Take into account the fixed overhead and variable costs to legally operate your business ? Determine your flex-rates for times you might be willing to work for slightly less or feel the need to demand more pay. ? Calculate the value added for meeting tight time constraints, the demanding nature of the client or the complexity of the project ? Take the time to project costs not otherwise considered in your base rate (long distance, printing, etc.) A pre-determined rate scale helps you respond calmly and logically to stressful situations, so you can advert potential disasters. Last year I turned down what seemed on paper to be an ideal "personal assistant" opportunity. The ad described duties such as checking email and preparing responses on the client's behalf. Work assignments would be completed by phone and fax for a client who did not want to use a computer. The job matched my skill set, but I chose to pass because: 1. The offered rate was 50% less than the low end of my base rate range. 2. The client expected me to own and pay for the operation of a fax machine, but was unwilling to pay for its purchase or operation. 3. The client expected a commitment to work for him part-time, even though hours were going to be determined by him each week 4. The client's refusal to even consider using a computer was destined to create confusion and conflict over what I prepared on his behalf Regrettably, I realized this potential client was a fussy, technology laggard who wanted a very experienced, highly reliable personal assistant who was agreeable to an entry level rate. Know when to "pass" on a client so you can continue to market to more viable prospects. Try to negotiate a better rate with clients by matching their expectations with your level of service. Keep an eye out for performance bonuses or other types of perks to balance out discounted rates for good clients. Elisa Shostak is the founder of Compass Rose Strategic Consulting LLC, an advisory service and secondary research firm based in Seattle, Washington. This is the first in a series of articles about negotiating with clients and managing a management consulting practice. Elisa can be contacted through her website: http://www.compassrosellc.com or blog http://www.compassrosestrategic.com
MORE RESOURCES:
Negotiation - Google News |
|
|
|
RELATED ARTICLES
Negotiate Like a P.R.O. Whether you're negotiating a peace settlement in a war-torn country or a peace settlement in an argument-ravaged relationship, strong preparation is the key to success.The following three steps will help you establish the three keys to your preparation - why you are involved in the negotiation, how you intend to conduct the negotiation, and what are the specific outcomes you are hoping to agree upon. The Ultimate Truth in Persuasion OK, so you want to improve your persuasion power right?Why? What's your intention?As you know your intent directs the flow of energy in your interactions with others. So doesn't it just make sense to have in mind a really clear and strong intent before you engage in your powerful persuasion mission. Managing Conflict, in Life & Work: Using Ancient and Modern Approaches "Conflict" is a word that can have varying degrees of severity, meaning, and implication for each individual or circumstance. For example, the conflict that is experienced in our current, daily lives seems insignificant in comparison to the Samurai, or those in war, who faced death on a regular basis. Negotiate Your Way to a Better Salary 1. Be persuasive: It's hard to force your boss to increase your compensation, and trying to do so can potentially damage your working relationship. Managing the Sales Negotiation Process How many times have you heard:"You've got to drop your price by 10% or we will have no choice but to go with your competition.""You will have to make an exception to your policy if you want our business. While Youre Waiting Not long ago, I made a partnership pitch, on behalf of an organization I represent, to another organization with similar interests. If the idea had come to fruition, it would have radically changed our organization. Do You Want a Paycheck or a Passion? 10 Qualities Managers are Looking for in Hiring You Based upon my research of over 300 managers in the last two years, I have found what qualities are most important to hiring managers.You will be in a more competitive advantage if you do a self-assessment to determine if you possess these qualities. How Barter Can Help Your Business Online or Offline How Barter Can Help Your BusinessBarter trade is a powerful instrument that represents a solution for companies with available stock or services. By accepting payment in trade money instead of cash, a business maximizes their efficiency by increasing stock turnover or billable hours. Barter: Its Not Just for Doctors Anymore Time was, in the country, the local "doc" was as likely to get paid with a couple of chickens as a couple of dollars. Doctors these days won't stand for that, of course, but while some people have moved completely away from barter and stayed there, others have embraced it wholeheartedly. Power Pricing - Getting the Right Price for Your Products and Services There's an old joke about the New York City blackout. Power was out everywhere, and the electric company couldn't figure out what was wrong or how to fix it. A One Stop Financial Solution Amy Wright, 34, was extatic when her realtor showed her the three bedroom townhome overlooking the lushious golf course. It was exactly the home she was looking for. Embarrassed To Discuss Your Prices? Seven Common Reasons We Cant Talk About Them Last week, a wonderfully-skilled electrician installed a new light fixture for us. He was competent, courteous and efficient. How to Negotiate Effectively You may be thinking, "Gary, I am a mom, housewife, or stay-at-home dad, so why do I need to know how to negotiate effectively?"I'm glad you asked.The truth is everyone needs to negotiate. National and Cultural Negotiation Style Cultural and national negotiation styles reflect communication behaviors and the priorities of that culture. Priorities such as trust, teamwork, non-confrontational situations, and openness are all along a sliding scale with each culture. Negotiating Technology Contracts Have you ever tried to negotiate a deal for software, computer equipment, or consulting services with a technology company? The task can be daunting. Unfortunately, the sales forces of most IT companies are armed to the hilt with techniques to get the best deal for them, and not necessarily the best deal for you. Negotiating Tactics: Don't Let 'Good Guy - Bad Guy' Control the Sales Negotiation Counter one of the classic negotiating gambits by addressing it directly.You've assembled a brilliant sales proposal for a new client and when you arrive to the meeting to hammer out the final details, you suddenly find yourself sitting across the table negotiating with two people. Making the Deal: Women as Negotiators Negotiating is no game. It is not for the weak or the fragile. Better Internal Proposals A colleague of mine has a problem. We belong to the same association and he's been trying for quite some time, without success, to get support for one of his proposals. Can a Service Be a Commodity Well Enron dealt with this a little for instance an intangible such as the available bandwidth in fiber optic lines. So what is a commodity in a service business? Well, a commodity could be considered are capacity to wash cars for a mobile car wash business like the company I own, the additionally created capacity coming from increased efficiency in studying production rates. Negotiating Skills: Ask For More Than You Expect To Get It creates some negotiating room, and you might just get what you're asking for.Whether playing the role of buyer or seller in a sales transaction, asking for more than you expect to get is a classic opening position in negotiations.
|
| home | site map |
| © 2006 |
