So how do you stop the epidemic of under-charging and under-earning? First, let’s acknowledge the most common myths that exist within the entrepreneurial community:
Myth #1: You have to work from sun up until sun down to make your business grow. This is such a lie. Sure some sweat equity is required to get going, but if you’ve been in business for 3 years, you should have processes and systems in place that allow your business to operate smoothly even in your absence.
Myth #2: If you’re a service professional, you have to charge by the hour or if you sell products, you have to have the lowest prices. Another lie. If you are charging by the hour for your services, you are cheating yourself. If you feel your prices have to be the lowest in town, you might as well open up a dollar store.
Myth #3: You have to be the one in your business who does everything. You can not earn what you are worth if you do the filing, the mailings, the follow up calls, the event planning, the marketing, the sales calls, the web design and everything else. Just because you can do a task in your business doesn’t mean you should and being busy, doesn’t mean you are profitable.
BOTTOM LINE: If you believe one or more of these myths, more than likely, you are under-charging AND under-earning.
Now let’s look at the reasons entrepreneurs undercharge:
- You are not sure how to price your service or products. Again, charging by the hour is not the way to price what you do. You’re far to brilliant to be earning an hourly wage.
- You are not sure if your current clients will pay higher fees. Some won’t and that’s okay! What you as a woman entrepreneur must do is have overwhelming confidence in the results you provide for your clients.
- You don’t consistently attract your ideal client because you have not clearly conveyed the value of what you do for them – Don’t tell me how you do what you do. As your client, I don’t really care about that. What I care about is the value of what you do. Can you save me money? Make me feel more beautiful? Make my life easier? Where there is value, profit follows. So what is your value?
- You haven’t identified a niche. General marketing (or marketing to everyone) fails every time. Unless you have a gazillion dollars in your marketing budget you cannot market to “everyone.” Instead, focus on a specific group with a specific problem that you can solve effortlessly. Build a relationship with them. Speak their language. Position yourself as the person they need to connect with…and they will come.
FEEL FREE TO SHARE THIS! JUST BE SURE TO ADD THIS BLURB: Monique is an award-winning TV & Radio personality and a certified Income and Influence Coach for emerging women in business. Using her nearly two decades as a producer and on-air personality and 10 years as an entrepreneur, she helps women in business drop fear and excuses to become highly visible high-earners. Her OverFlow Women’s Business Retreat is being held in San Juan Puerto Rico June 9-12, 2015.
Connect with Monique Caradine on Twitter @moniquecaradine and check out www.MoniqueCaradine.com for more information and free resources.