Selling Yourself Short on Your Rates?
Do you struggle with the ethics of making a profit? Are you constantly finding yourself giving away your profits in one form or another? When you look at your bottom line are you pleased with the results?
Here's a thought for you. Ask yourself what your reaction is when you are approached by a person who is homeless. Their clothes are worn and torn; they are needy, desperate and hungry. They offer to work for you for some spare change. Do you feel an irritation? A resentment? Do you find yourself in a rush to work with them or do you find yourself in a hurry to brush them off and to move on? Now imagine a confident, well kept person in casual business attire or even a suit and tie approaching you and offering to do the same work for you. Are you more likely to give this second person more of your time or consideration? Do you find yourself to be more comfortable being in the presence of this person? Can you see yourself possibly working with this person?
When we keep our businesses on starvation diets what sort of image are you presenting to the world? Businesses run on minimal resources often give the impression of the worn, torn, needy and desperate. Their profits are so minimal that they cannot afford to work on image. They have no budget for uniforms, equipment and supplies are worn and battered, they lack tools necessary to do their jobs properly. Businesses on starvation diets give the impression of needing help rather than being capable of being able to offer help.
I found in my own experience running my cleaning business that how I presented my company directly impacts the respect that I garnered back from my clients and the community. I set my rates knowing that I have profit enough to "dress" my company in confidence. I bill our services in advance so that I do not have to spend time or energy being "desperate" and "needy" while trying to deal with collection issues. I am freed of many of the worries that other business owners have of accounts receivables to monitor, collections or customer cancellations since having been paid in advance our cancellation rates are almost nil. An added plus is that I never have to worry if my clients can afford our services since they have gladly paid for their services in advance.
It is because I charge enough to make "a profit" that allows me to be delighted to respond to my customers with the attention that they desire. After all isn't that what the real task of a "service" industry job is?
"It is a socialist idea that making profits is a vice; I consider the real vice is making losses." Winston Churchill
Theresa Peterson
Owner, Quality Cleaning Maid to Order
Founder, Independent Cleaners Purchasing Alliance
http://www.sm-business-alliance.com/
