Stand Your Ground on Your Fees – Don’t Negotiate

Everybody likes a good deal and to save money.  Perhaps you clip coupons to use at the grocery store.  Or maybe you go out to eat on family nights when kids eat free.  You may look for “out of the box” or gently used items to get that new electronic gadget you want.

But one thing you should remember as a Virtual Assistant and a business owner is that your fees are not negotiable.

Despite the fact that the economy has changed, that isn’t a reason to reduce your rates.  Likely, you have continued to invest time and money into improving your skills and building your expertise that will allow you to provide more value to your clients.  Your clients need to understand that by choosing to work with you, they are working with the BEST of the BEST, and that your rates are simply a reflection of that.

Admittedly, dealing with the question, “Can you lower your rates?” can be challenging.  While you might feel like you want to reduce your rates, you should stand your ground.  It doesn’t have to be as difficult as you think it might be.

Here are some tips to handling the conversation if a prospect tries to negotiate your fees:

1. Be confident! – You should firmly believe in your rates and your expertise.  If you don’t, your clients won’t either.  Nothing is more professional than someone who is self-assured and confident in their abilities and their value.
2. Have a standard response – Knowing what to say in this situation before it happens will help prepare yourself for the conversation.  Don’t let yourself be caught off guard.
3. Don’t grovel or waiver from your response – If a potential client reacts negatively or asks you again, don’t cave.  Stand firm with your rates and your decision.  If they can’t afford your rates or don’t want to pay them, then they are clearly not your ideal client and won’t ever fully respect your working relationship.

Here’s an example of what I have said to people who have tried to negotiate my fees, “No, my rates are not negotiable.  They are a reflection of my skills and experience.  So if you would like to benefit from the services I provide, that that is the fee structure I have in place.”

That’s it – don’t say another word.

There will be a kind of uncomfortable silence (perhaps uncomfortable for the prospect, NOT you) that will force the person either to say yes or no.  If they say yes, then they understand the value you can provide their business.  If they say no, then they are not the client for you and let them go.  Again, don’t grovel or waiver and don’t be uncomfortable.  Don’t underestimate your value for anyone.

When you are meeting with a potential client, it’s not just about them interviewing you — you are interviewing them to see if they deserve a place in your practice.  Remember, taking on a new client is starting a new relationship.  So you want that relationship to start off in the best way possible and with mutual respect.  NOT with the client trying to de-value what you offer from day one.

What has your experience been with clients who have tried to negotiate your rates?  Did you lower your rates for them?  What was your experience like with this client? Post your challenges here so we can learn from each other!