How I Adjust Pricing Strategies for Steady Freelance Earnings
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Chapter 1: The Challenge of Freelancing
Freelancing can feel liberating until you glance at your bank account. It's easy to regret past refusals, talk yourself out of raising your rates, and then offer discounts. Much of the conventional advice targets entrepreneurs with multiple reliable income sources, which doesn’t suit the unpredictable nature of my earnings.
Before accepting your next project, consider these strategies to mitigate income fluctuations.
Section 1.1: A Plan for Stabilizing Income
When it comes to pricing, having exceptions for specific circumstances can prevent budget constraints from being a deal-breaker. In my early days, I shied away from negotiating prices, interpreting it as a sign that the client wouldn't meet my quoted rate.
Instead of seeing low budgets as a starting point, view them as a chance to gauge how much the client values your work. Once you've communicated your pricing, let the client know you're willing to reduce your rate by 10-30%. While working for less isn't ideal, securing 70-90% of your usual fee is preferable to walking away with nothing.
Tailor your refusals carefully to ensure that your schedule remains full.
Subsection 1.1.1: Embracing Tools for Efficiency
In today’s world, content creators are fortunate; we can avoid starting from scratch. Upgrading to tools like Canva Pro provides access to countless templates that streamline the creative process. Even my job applications began with a basic outline.
Templates enable you to work more efficiently. The trick is to personalize each one with your unique brand narrative. This approach reduces the pressure of beginning from ground zero and allows you to offer less customization for clients on a budget.
With a solid foundation in place, my primary focus shifts to research and identifying a unique selling proposition, rather than getting bogged down in layout and design details.
Section 1.2: Building Financial Security
Stability in freelancing requires financial resources, not merely good intentions. I've learned that clients requesting discounts are often financially constrained, meaning the funds for your services might be needed elsewhere.
One strategy is to withhold deliverables until payment is received. Freelance platforms like Fiverr and Upwork offer milestone payment setups to ensure you receive funds incrementally. Additionally, consider implementing "buy now, pay later" options on your website to safeguard against non-payment.
If these methods fail, I use the following email template:
"Hi [Name],
Despite several reminders, I have yet to receive your payment of [$$$$] for invoice #, which was due on [date]. Consequently, your project is currently on hold. A late fee of [$$$] will be applied to your final bill for each [day/week/month] the invoice remains unpaid, starting today, [date].
To resolve this matter quickly, please click below to view and pay your invoice. Once payment is received, we can schedule a call to discuss your project timeline and resume work.
Best regards,
[Signature]."
If a project was interrupted due to missed milestone payments, I adjust the message to include a "restart fee."