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Tag Archives: Entrepreneur

Strategic Communications for Crowdfunding Campaigns(Contribution from freelance writer Jenny Holt)

The following post comes to us from Jenny Holt, who left her HR career behind to pursue freelance writing and to spend more time with her young daughters at home. This article is based upon her own entrepreneurial journey and communication expertise.


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Few things are more disappointing in the life of an entrepreneur, than having a brilliant idea that never makes it off the ground. Research shows that 82% of businesses can fail to bring in enough funding to sustain themselves, forcing them to close down because they simply didn’t have the investment they needed for take-off. Crowdfunding, via websites like Kickstarter and GoFundMe, have made it far easier to raise money for a startup, yet with the plethora of startups and new businesses competing for the attention of investors, strategic communication strategies are key.

Does a Jack of All Trades Truly Exist?

You may have a brilliant tech idea or invention, yet struggle to find the right way to share your passion for your product or service with others. Telling your story is one of the most important considerations when starting a business or commencing a crowdfunding campaign. You need to let potential investors know the market need you are fulfilling, why you believe your idea is unique or better than what rival businesses are offering, and why you need a specific amount of funds. You will need professional looking imagery, a catchy video, scripts that succinctly cover all the important points and set you apart as a forward-thinking brand. For all these reasons, you should consider investing in a strategic communication specialist.

One of the biggest mistakes companies make is cutting back on marketing costs when their budget is low. It is precisely at this point in time (when you have yet to build brand awareness and a client base) that you need to get word out to your target audience – slick, professional communication is vital if you want to stand out from the rest of crowdfunding campaigns, many of which will also offer interesting ideas and offer to fill existing gaps in the market.

Learning Skills vs Outsourcing

Strategic communications will help you once your crowdfunding business attracts investors  and you take your first steps towards bringing your idea to life. To make it in business, notes Forbes, you need these top seven marketing skills: SEO, HTML, WordPress, video, design, and SQL. If you are a sole proprietor or part of a very small team, how many of these can you realistically master? Outsourcing time-consuming jobs such as SEO, content writing or design, will give you time to leave a personal mark on your website, for instance, by contributing regularly to your blog. A large percentage of crowdfunded campaigns flop because teams lack specialized skills. When calculating the investment amount you need, make sure to include a budget for marketing, design, and other specialized areas you don’t master yourself.

Because the success of a crowdfunding campaign depends on its ability to attract interest and inspire potential investors, strategic communications – with the right content, visuals and style – needs to be a priority. Startup and small business founders should avoid taking on more key roles than they are prepared for, opting to rely on professional communications providers so they can concentrate on their area of expertise: ideas.

Do you agree that strategic communications is critical to the success of a crowdfunding campaign? Do you have a personal experience to share that demonstrates this? Join in the conversation by leaving a comment!

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7 Tips for Writing Faster Client Proposals

7 Tips for Writing Faster Client Proposals

For a business owner, putting together client proposals or customer quotes (whichever applies to your industry) can feel like the bane of your existence some days. If you invest way too much time and energy into your client proposals, that’s time you’re not spending on doing actual work. Moreover, on the chance that client chooses to work with a different business, your time was a complete wash.

So how can you streamline your proposal process? Here are a few tips I’ve picked up along my entrepreneurial journey that allow me to put together just about every client proposal in an hour or less.

  1. Use a standard template.

While every proposal will (and should) be unique, you will save a lot of time and headache by developing and following a standard template. More than just consistent branding, a standard template will guide you with what information to include where. As you build an archive of past client proposals, you can pull entire sections from these, especially if you’re proposing a similar package of services.

  1. Scope the client’s desired services in the first meeting.

During my first meeting with a client, I leave with a pretty well defined scope of services. That’s very intentional on my part. With a narrowed focus on what my client wants, I can quickly and efficiently put together a proposal and email it to them same-day. I’ve found that producing a proposal on the same day of our meeting keeps the momentum going and often leads to a signed contract within a day or two.

  1. If the client doesn’t know what they want, charge to tell them!

If you find yourself in a meeting with a client thinking “They have no clue what they need! Where do I start?” this is a good indication that the first thing you give that client is a strategy. And by give, I mean get paid to create a comprehensive strategic plan. Working with a client to map out their strategic plan will help you see if you work well together. You will also prove the value of your work while outlining the scope of your services moving forward.

  1. Don’t put a price on anything until you agree upon scope.

This is the third point to focus on the importance of scope. Do you get the picture why it’s so important? If not, let me give you one more reason to consider. Say you create a large proposal for a client, throwing in stuff you didn’t talk about and you’re not sure they really want. You put a final price on it and send it over for review. Then the client comes back and wants you to take out what they feel is about “half” of the services and then wants you to also cut the price in half. This could put you in a really tough position!

Maybe the half they removed consisted of the less time consuming services, so it’s not really an even split. Maybe you gave them a slight discount considering they were going to purchase a larger block of your hours. Now you’re in a sticky situation. You either take the work for less than you would like to charge or have to explain to your client why the price is higher than they feel it should be.

Avoid all of this mess by providing your client with an “idea proposal” for them to first prioritize the exact services they are interested in having you quote. Then quote away! You may even consider breaking down the total price into line-items so if your client should wish to remove a piece of the proposal, it’s clearly marked how this will impact the total price. Which brings us to the next point…

  1. Break down the proposal into small line-items and let the client pick and choose.

If your client has a limited budget, but you still want to showcase the full scope of services you can provide, consider quoting the services out as smaller line-items. For example, a client asks for your help with a direct mail piece and new marketing materials, but you know they desperately need a new website and social media overhaul. Include these extra pieces in your proposal so they can see what each will cost.

I most often see one of two things happen. The client is pleasantly surprised by the price and decides to add the extra services in right now or they create room for it in their business’s budget and come back a few months later to complete the extra work. Whether it’s now or later, it is extra business you may not have gotten unless you presented it!

  1. If the client’s deliverables will vary each month, simply sell blocks of your time.

For a few of my clients, their strategic communication needs ebb and flow from month to month. One month we might focus all of our hours on a single, large project. The next month there may be several smaller projects that take up our time. For these clients, I simply sell them a block of hours that they can apply however they wish. If an urgent project comes up, we can shift the focus of our monthly hours or they can add hours to their retainer. The best part is that presenting this option is a very simple proposal to put together! I show my standard hourly rate and then the various discounts per hour they will receive based upon the quantity they pre-purchase.

  1. Put a 30-day expiration date on all proposals.

Finally, I highly recommend placing an expiration date on all of your proposals. You can determine how strict you want to be, I personally say 30 days from the date the proposal was delivered. The benefit of doing this is two-fold. First, you add a sense of urgency for the client. They realize that if they wait beyond that 30 days, you may take on a different client in their place and no longer have the bandwidth to accommodate their work. This results in closing the contract sooner. Second, you reserve the right to issue a new proposal once that 30 days has passed. If there is higher demand for your time, your price will likely increase. This is a standard practice many industries use and you should too!

To bring it all back together, the key to writing faster client proposals is to be efficient and strategic in your first meeting with the client to leave with a prioritized list of what they want. You also want to develop a standard template, use pieces from past proposals where applicable, and be careful about how you structure your pricing so that you don’t back yourself into a corner. Finally, protect your time and add a sense of urgency to your proposal by setting an expiration date.

What tip for writing faster client proposals did you find most helpful? Or do you have another tip to share? Join in the conversation by leaving a comment!

 
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Posted by on November 20, 2017 in Business & Success

 

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Dear New Entrepreneur…A Letter to My Younger Self

The first Monday of each month, I dust off a favorite post from the Bennis Inc Blog archives and give you another chance to enjoy the wit and wisdom that’s been shared. Enjoy this month’s treasure – and if it inspires you – be sure to share it with family and friends!


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Credit: Perry Media Group where I am proud to be a part of the “Mom Squad” team of fellow communication consultants.

It was July 2011 when I handed HR my two-week notice. I still have this simple letter, modeled after a template I found online when I googled “professional resignation.” I put no more effort into creating this life-changing document than I had put into what was supposed to be my “dream job” for the past 4 months.

Before taking the entrepreneurial leap to start my own Public Relations consulting business, I worked in the Pennsylvania Department of Health, Office of Legislative Affairs. The title and the perception were the only things remotely impressive and glamorous about this job, I assure you.

My tiny cubicle, stable salary and paid time off, while a luxury for most fresh college grads, all contributed to creating a comfortable prison that just might have kept me locked away until I earned my vested retirement, had I not longed for so much more.

Blame it on my entrepreneurial spirit – or foolish confidence, but I was willing to walk away from the guarantee of a stable, but unfulfilling, career for the chance at creating something so much greater.

Nearly seven years later, I thank this young entrepreneur who wasted no time pursuing her dreams. Every day I work to make her sacrifices and uncertainties worth something by continuing to grow this business while never slipping back into the monotony of a career I don’t truly love.

Like most entrepreneurs, I wish I could somehow equip my younger self with the wisdom I’ve since gained from years of experience. Though I can’t, I can hopefully inspire other new entrepreneurs to take the leap – and maybe, just maybe – change the world…or at least their own!


Dear New Entrepreneur:

I know you’re busy, and likely skeptical about the advice I want to give you, so I will get straight to the point. You know a lot; a lot more than you might give yourself credit for right now, but that doesn’t mean you can’t stand to learn a few things from a fellow entrepreneur who is a few years ahead of you on this journey.

I’m not trying to tell you what to do – I know that’s exactly what you’re trying to escape. But I would like to tell you that you’re on the right track, your gut is your best navigation device and the passion you feel today will continue to grow, despite what people may try and tell you. Please read on. I promise it won’t take long and it just might be that reassurance you’re so desperately looking for right now.

My advice to you, new entrepreneur is this…

Office space and employees don’t determine your success.

Right now you may be working from home as a sole proprietor just waiting for your first chance to lock into a commercial lease and hire your best friends. Stop looking for ways to tie yourself down and add to your overhead. This is everything you ran away from in corporate America. Learn to love the freedom and efficiency of working from home with no one to answer to but yourself. Hire fellow contractors only as you need them, get to know the best coffee shops to hold client meetings and enjoy keeping so much more of your salary – and sanity.

It’s okay to walk away from a “bad” client…even if you really need the money.

Go with your gut here. If a client tries to undercut your pricing or negotiate you into a corner, be willing to walk away. There will always be more, I promise. Yeah, you could really use the money…you always will be able to “really use the money.” The drawbacks to taking on a client that is a bad fit for your business will always cost you more in the long run than they’re willing to pay. Set boundaries and respect your values. You will learn to appreciate those “good” clients so much more!

You will always be surprised by those who want to see you succeed…and those who do not.

There will always be “friends” who you think will support you way more than they actually do. It will hurt and may make you question your decision to become an entrepreneur. Your decision is not what you should be second-guessing, rather it’s your friendship with this person. But don’t take it too hard; there will also be people you barely know that will rise up as your greatest cheerleaders. Appreciate these people and do the same for them in return!

Basic skills, like mail merging and stuffing envelopes, will be just as important five years from now.

When I first started out, I thought someday I might hire someone who would send my invoices, set meetings on my calendar and answer my phone calls. Five years later and the most capable person to handle these tasks is still me. These basic skills will always be important for running your business. Stay as hands on as it makes sense. Don’t outsource something just because you think you’re above it. Keep your overhead – and your ego – in check.

Make friends with your competition.

You will meet many other businesses along your journey that appear to do exactly what you do. Before you choose to secretly stalk their social media accounts and compare your client list, sit down and get to know them! Learning more about businesses I once deemed as competition has helped to create some of the best “power partnerships” I have. It’s amazing how once you really get to know about each other and the ideal client you are each hoping to find, you will realize you don’t overlap at all. Rather, you are great referrals for one another that can work together to help you both thrive.

Never make excuses

Mistakes will happen. Hopefully they are small, but they also might be big. No matter the size or scope, take ownership of any mistake and never make excuses. If something was truly a mistake or oversight, you have nothing of which to be ashamed. We are fallible humans, even us entrepreneurs. A reasonable client will understand this simple truth, as they are bound to make a few mistakes too. You will build credibility and trust if you own up to a mistake quickly and openly without blaming it on something, or someone else.

Only you can determine what you are worth

Deciding how you will price your services will be one of the hardest parts of running your business. You will have moments when you feel horribly underpaid and moments when you question whether you’re asking for too much. My best advice is to be strategic and remain consistent. This doesn’t mean you will (or should) charge the same rates for the rest of your life. Your experience will increase and so should your fees. But developing a strategy for how you will price your projects early on will save you from second-guessing, losing clients and losing income in the future.

Work toward creating a lifestyle, not just a business

In an effort to run a business, it’s easy to make the mistake of letting the business run you. Don’t recreate the same hell you fought so hard to leave to start your entrepreneurial journey. Take time off, travel, spend some money on fun things (all within reason, of course…it doesn’t take much)! Always keep in mind your goal of creating a particular lifestyle – one that affords you to be flexible and fulfilled – not just earning a certain income no matter the real costs.

Begin and end every day with affirmations

The entrepreneurial journey can be rough at times, that goes without saying. Amidst your efforts to be self-motivated and fearless, also take it easy on yourself when you need it. Promise to begin and end every day with affirmations as to all the things you’re doing well and that are going right. It’s easy to forget and take for granted life’s little blessings when you’re so focused on ironing out every wrinkle. Appreciate the small gestures, like a green light when you really need it, that are reasons to smile.

That’s all I have for you, new entrepreneur. It’s not all the advice I could give, but it’s all I feel you really need right now. Remember…after all, you’ve got this!

What piece of advice speaks to you? Do you have other words of wisdom to offer new entrepreneurs based upon your own experience? Join in the conversation by commenting below!

 

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How to Create the Job You Want

hand drawing cloud network

Now entering my seventh year of managing my own Public Relations firm in Harrisburg, Pennsylvania, I’ve learned quite a few things about creating the job you want.

I was fortunate to have the realization early on in my career that my dream job didn’t exist. If I wanted it, I had to create it. So I did. That sounds simple enough, but I will be the first to tell you it was anything but simple or easy. That’s not a reason to continue with a job you dislike, if anything it should be motivation to buckle up for the wild ride of entrepreneurship, if you feel this is your calling.

Maybe you’re ready to take the leap, or maybe you’ve only just begun to wonder what being an entrepreneur could look like for you. No matter where you are on the journey, let me offer you some advice on how to begin creating the job you want.

Confirm it doesn’t already exist

Do your research! Does the job you want already exist? It’s possible your current company or another company offer a role that’s close to exactly what you want, but you just need to work to get there. That’s great! Establish a plan for how you you’re going to move toward this role. There’s no need to take on the added stress and complication of trying to recreate your dream job if it already exists.

In contrast, your research might confirm that your dream job is something so unique you must forge ahead as an entrepreneur to create it. Knowing that no other job currently out there matches the job you want should give you inspiration and drive to move forward with the career of self-employment, because not doing so would mean compromising your dreams.

Get real about what you want

Okay, so you have a clear understanding of whether the job you want already exists or whether you need to create it. Now it’s time to be honest with yourself about what makes this job so appealing to you. Is it the expected pay, flexible work schedule, power, purpose, fulfillment or something else? If in this process you discover the job you want is really centered on a perceived salary or title, this should be a red flag that maybe your priorities are a bit skewed.

Entering entrepreneurship is not for the faint of heart, or the mildly committed. To be a successful entrepreneur, you must want it with every fiber of your being. You will never stick with it long term, through the highs and lows, if you’re only in it for the pay or power – those don’t come for many years, if at all. Get real about what you want out of your dream job and check your priorities again and again.

Then, get real about why you want it

Similar to the point above, once you know what it is you want out of the job you’re going to create, take it one step further. Ask yourself “Why do I want it?” If you can’t confidently answer this question, that’s another red flag that maybe you’re not cut out to forge your own career path outside of the corporate box.

While there are no “correct” answers to this question, the following answers are often good indicators that you’re entering entrepreneurship for the right reasons: I want to make a difference; I want to control my own destiny; I want to apply my passion toward a purpose; I want to maintain a better work-life balance. Be crystal clear about what you want out of your dream job and why you want it.

Talk with someone who has already done it

Next, I urge you to talk to someone who has created the job they wanted and have progressed along this career path for five years or more. They are going to be a wealth of knowledge to you as you consider creating the job you want. They can also help assess your business model, motives and drive to help determine if this is the right choice for you at this time in your life. If you find someone who really inspires you, ask them to mentor you on your entrepreneurial journey!

Develop your model

To create the job you want, you need a clear business model for how you’re going to make a profit. Are you selling a product or a service? Who are your target customers? How will you promote your business? What is your expected overhead? How can you minimize this, especially in the first few years? Work to clearly outline your business model, because you’re going to need it for the next critical step.

Test your model

Yes, you have to first test your business model to prove it works. A lot of business opportunities seem great in theory, but what if you’re answering a problem that doesn’t exist? Or what if you’re pricing model sucks? Fully commit to creating the job you want by fist doing a soft launch of your business to test the market. Is your marketing strategy attracting new customers? Can your friends or family offer constructive feedback? First testing your business model, and further refining it before your full rollout will help you present a more professional and polished first impression of your business.

Commit fully

This is the most important step in creating the job you want, and the biggest determination of whether you will fail or succeed. Will you commit fully to your dream? I said it above and I’ll say it again, entrepreneurship is not for the faint of heart. Daily you will experience, setbacks, uncertainties, crises, losses and criticism. If you are anything but fully committed, this will surely have you headed for the hills and back to the corporate world before you complete your first quarter.

Keep in mind that the first five years of running your own business is still its infancy. That seems like a long time, but if you’re in this for the long-haul it will be only a blip of the full history of your career. Don’t allow yourself to give up in those five years; push through. Think of it as a hike up a steep hill. Those first few miles really test your endurance. At times you will think it’s better to turn around before you’ve reached the top. But I promise you, if you can make it five years creating the job you want, you will see some magnificent views along the way and be rewarded with renewed strength and commitment to keep forging ahead, higher and higher.

What’s your dream job? How do you plan to pursue it? Share your personal career goals by leaving a comment.

 
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Posted by on October 9, 2017 in Business & Success, Life

 

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How to Manage Work Flow While on Vacation

How to Manage Work Flow While on Vacation

I was fortunate to enjoy a very relaxing week earlier this month in the Outer Banks (North Carolina) with my extended family. There was more sun, surf and sand than what we could soak up in seven days! It’s not easy to coordinate many different schedules and all come together for a family vacation, so I wanted to make the most of the week and not at all feel tied to work.

In a traditional job, you get these wonderful things called “vacation days,” which you can use at your discretion and step away from all electronics without too many repercussions or guilt. As a business owner, and in my case a sole-proprietor, truly going off-line for a week can result in added stress and an increased workload leading up to vacation and immediately upon return.

Though entrepreneurs don’t really get vacation days, we also have no limit to how many we can take. Use this to your advantage! I’ve learned to let go of the idea that I need to completely step away from work to enjoy vacation. Rather, I practice these simple strategies for managing my workflow no matter where I am, so I can enjoy vacations and mini getaways all throughout the year – and you can too!

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Work ahead

When I know I’ll be dedicating less time to work during a vacation, I work ahead on tasks. For my most recent vacation, I had 60% of my September client work completed by the last week of August. Clients were happy to receive their social media plans, blogs, newsletters and other public relations strategies well ahead of schedule. In my experience, a happy client is a quiet client. I set myself up for a “free” week by working just one extra hour or so each day in the days leading up to vacation.

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Communicate early and often

The next key to success is mention and remind clients (again and again) that you will be on vacation. I think I started planting this seed a month or more out. When I would work ahead on a task or ask for quick feedback on something, I used this communication as an opportunity to remind them that I would out of the office. It conveniently worked out that my last day in the office before vacation was the first of the month, and also the day I send out invoices. With every email invoice, I included a note at the bottom reminding clients (one last time) that I would be away.

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Manage expectations

Along with communicating my vacation schedule, I was sure to manage expectations. I let clients know that I would be checking in on email about once per day and would address any urgent matters at that time. I personally feel it’s a little dramatic to say “I will have no access to the internet for the next seven days” if you actually will. Rather, I set an honest expectation that urgent matters would be addressed in 24 hours and non-urgent matters would be acknowledged and addressed when I got home. Giving my clients assurance that I wasn’t completely unreachable gave us both peace of mind knowing there would be no uncontrolled fires blazing while I tried to relax.

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Automate your daily tasks

During the seven days I spent chasing my kids around the beach and indulging in one-too-many treats, I published and promoted 3 blogs, sent out 4 e-blasts and posted to 17 different social media accounts combined 25 times. As I was working ahead, I created and scheduled these tasks to take place without my needing to click a button. WordPress, Mail Chimp and Hootsuite served as the employees I don’t have. Clients were impressed that their services went virtually uninterrupted for the week and I got to take the credit for “Working so hard, even while on vacation!” when it was simply work I put in ahead of time.

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Pick your poison

Finally and most importantly I stress that you have to pick your poison when it comes to managing work flor while on vacation. You can choose one of two strategies. You can choose to completely unplug, leave the laptop at home and turn off the wifi on your phone. Upon your return, however, you’ll have a tidal wave of emails that will flood your inbox all at once. Alternately, you can stay somewhat connected, check in on email about once per day and clean up your inbox a little at a time. Your first day back in the office won’t be nearly as overwhelming, but you’ll be giving up a few hours of vacation throughout the week.

While the second strategy requires staying somewhat connected to work, I’ve found that checking in now and again gives me the peace of mind to fully enjoy the rest of the day. The thought of not knowing what bombs could be hiding in my inbox when I get home leads to more stress and work-related thoughts than if I stayed in the know.

As much as you can script your email auto-response to say you’re going off the grid, as a business owner you know that’s not exactly realistic or responsible. Rather, consider setting aside a few minutes each morning to check in and reassure yourself that the world is just fine without you working today – then mix up a pina colada and enjoy the fruits of your labor!

What strategies do you use to manage your work flow when you take a vacation? Share your tips by commenting below!

 
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Posted by on September 25, 2017 in Business & Success, Life

 

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7 Things I Will Never Have as a Business Owner

7 Things I Will Never Have as a Business Owner

While there are many advantages to being your own boss, there are also certain things you may never experience again (for the most part). Depending upon how you look at it, this could be a win-win scenario. Either way, now six years into running my own business, I’ve realized that there are a few things I will likely never have as a business owner.

A Day Completely Free From Work

The upside to running my own business, I can work from anywhere. The downside, I can work from anywhere. For this reason, my work followers me anywhere I have internet access. And even without internet access, it’s still on my mind. I’m not likely to ever go completely “offline” for more than a day, but that’s because I prefer to stay on top of my work and grow my business. When you’re passionate about what you do, you’re not always craving that next vacation!

Limited Vacation Days

Speaking of vacation, I can time off whenever I feel like it and as often as I want to. It still holds true that my work will be something I carry with me, but I doubt anyone feels too sorry when I’m checking emails from the Bahamas. Being a business owner is about balance. I can take unlimited vacation days, but I’m still responsible for delivering what I promised to my clients. Time management is key.

A Tax Return

I gave up hope a long time ago that I would ever see a tax return. As a business owner, I pay not only at tax time, but I pay quarterly throughout the year leading up to it. It’s important to point out that my clients don’t withhold taxes in their payments, so it’s strictly on me to make sure I am paying the fair and appropriate amount of taxes based on my income. Similar to having unlimited vacation days, I don’t expect anyone to feel bad for my tax situation. After all, if I’m paying more it means I’m earning more. But I have to laugh at the commercials that suggest I use my tax return for this or that. It’s been nearly a decade since the IRS wrote me a check.

Normal Work Hours

For better – and worse – I don’t have set “normal” work hours. It works out for the most part that I’m in front of my computer between 9 and 4, but there will be times I’m taking a 8pm conference call or I’m online at 6am to clean up my inbox. On the upside, I can also go offline for a couple hours in the morning to get in a work out, or in the afternoon to catch a nap. I’m so far removed from the concept of a 9-5 job that I doubt I would last long in that work environment again.

A Fixed Income

As a business owner, my income is anything but fixed. I have a meager paycheck I receive each month from my business for tax purposes, but I also receive distributions throughout the year however I see fit. Every year and every month, my income is up to me. I have to constantly and consistently satisfy my current clients and keep my pipeline full of new clients. In a crazy scenario, every client could decide to discontinue their services and I would be left at square one. On the flip side (and the more common scenario), I take on additional clients each month and grow my income.

It’s not common that many people can increase their monthly “salary” by a couple thousand dollars in a month by providing the same services they’re already providing to others. For this reason and many others, I love owning a business, and owning my income.

Someone Else Controlling My Schedule

Because no single client owns 100% of my time, they do not have control of my schedule. I remember my life prior to entrepreneurship where I would have someone slap a meeting or conference call on my schedule and so long as it was during normal work hours I had no leverage to push back. I had to stop whatever I was doing to be there. Now, when a client requests a meeting, they provide me with several options and I have the ability to select what works best for me. If I can’t make a meeting, my clients don’t know if it’s because of a work conflict or a hair appointment (or more commonly it doesn’t work with my toddler’s nap schedule). I control my own schedule and strategically plan my days to be efficient and convenient.

A Boring Day

As a business owner, there is no such thing as a boring day. Often the excitement comes from exceeding a client’s expectation or receiving a great lead for new business. Other times, “excitement” is the rush of an emergency or crisis that you have to resolve. Even if I carve a free afternoon to go offline from work, I’m not strapped to my office. I can run errands, do something relaxing or spend time with my kids. Every day and every email is different. The hours fly by and I wouldn’t ever want to return to the days of watching the clock!

Are you a business owner? Can you relate to some of the things I’ve mentioned or do you have an idea of your own to add? Share your thoughts by leaving a comment!

 
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Posted by on September 11, 2017 in Business & Success, Entrepreneurship, Life

 

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Contractors and Freelancers: Tips for Crafting a Fair and Appealing Proposal

The first Monday of each month, I dust off a favorite post from the Bennis Inc Blog archives and give you another chance to enjoy the wit and wisdom that’s been shared. Enjoy this month’s treasure – and if it inspires you – be sure to share it with family and friends!


Tips for Crafting a Fair and Appealing Proposal

When you take the entrepreneurial leap and venture out on your own as a contractor or freelancer, one of the biggest challenges is creating a competitive and consistent pricing model you can stick to. It’s a real test of self-confidence to put a rate on your hours and truly believe you are worth this much. But it’s imperative to running a successful and sustainable business!

I have previously written on topics related to pricing services (like how to price for efficiency or tips for being smart and fair). However, even if “the price is right,” a subpar proposal can jeopardize your chances of getting a signed contract. How you package your proposal gives businesses a sense of your professionalism. It’s also an important opportunity to properly scope your work and protect your pricing.

As you might anticipate, I have passionate advice to share on this topic. This has come from my own trial and (sometimes critical) error, so take note! Here are six components that help to make up a fair and appealing proposal.

Account for any task that will require your time

When you create your proposal, you want to be as specific and all-inclusive as you can be with the services you will perform. My rule of thumb is to include any task that will require a reasonable amount of your time.

So often as contractors, we forget about the time and effort we put into things like doing research, attending meetings, answering emails and jumping on phone calls for clients. This doesn’t mean you necessarily need to charge more for these “expected” tasks, but it’s worth showcasing everything that goes into your relationship with your client so they understand the full value of the work you perform.

Quantify your deliverables

Simply saying “…will post to social media accounts” doesn’t put into perspective the tangible work that will be performed. Your client may worry about what they will actually get for the money. Be overly clear – there’s no reason to be vague with your efforts! A better version is, “…will post 6 times per week to Facebook, 3 times per day to Twitter and 4 times per week to Linkedin.”

I also prefer to use language like “up to 3 rounds of edits” because this protects you from getting stuck with a difficult client who requests that you redo your work from scratch 8+ time while still providing you with the flexibility to not have to deliver 3 rounds of edits, if they are not needed.

If you don’t define it, you can’t defend it. Should a project exceed its scope, you want to reserve the right to say that it is outside the terms of the proposal and is subject to an additional cost.

Organize services by goals

Showing your client you are an organized and detail-oriented professional begins with your proposal. Help them quickly grasp the value of what they will receive by organizing your services by the goal they aim to achieve. This will help to paint the bigger picture of how each service is strategically designed to work together and will also make your deliverables clear and direct. For clients who came to you without really knowing their goals, this added feature of your proposal will help them to feel secure under your direction (i.e. you’ll look like you have your stuff together).

Include an hourly rate for miscellaneous services

It’s natural for a project to exceed its scope once you’re signed into a contract and dig into the tasks. For example, your client may want five more web pages designed or would now like to add a weekly blog. These items will require more of your time and you need to get paid for this.

So long as you properly quantified your deliverables (see previous section we just discussed), you should have no problem responding to your client with “That sounds like a great idea! Let me get you a quote for that additional work.”

In an effort to appear both professional and transparent, I often include a line item in my proposals that note that miscellaneous writing and communication services can be completed at the rate of $X per hour. This gives clients a heads up for your normal hourly rate and reminds them that work outside the scope of this proposal is subject to additional cost.

Offer a discount for long-term commitments

For contracts that intend to be on a reoccurring basis (i.e. they have the same repeated deliverables each month with no obvious end date), I structure the pricing of my proposal to encourage clients to sign into a long-term commitment in exchange for a price break. Why? Contractors and freelancers love residual paychecks and clients love to feel like they’re getting a deal!

I suggest having three different price points. The most expensive is month-to-month. The added value here is the client’s complete flexibility to get out of a contract with minimal commitment. The next tier is per quarter. Finally, there is the annual contract pricing which is the best deal. I allow clients to still pay the breakdown each month (for cash flow sake), but they are committed to the length of the contract.

Bonus tip: I also include wording in the contract to allow for the client to adjust or increase services at any time, so long as the minimum contract price remains the same. This gives the client flexibility to add and remove services should their goals change over the course of a long-term contract, or should they wish to increase services (always a welcome change).

Set an expiration date

Finally, I have learned to include an “expiration date” on my proposals (usually 30 days from the date issued) to protect my pricing. I’ve experienced some clients go completely radio silent after receiving a proposal and then come back 4+ months later ready to engage. I can’t anticipate what other clients I may take on in the future and how my pricing may need to change to accommodate my bandwidth. The proposal expiration date allows me the right to issue a new proposal after 30 days has passed and change my pricing as I see fit. Every business must be mindful of supply and demand and how this impacts pricing; for contractors and freelancers, this is your hourly rate.

Additionally, an expiration date should give clients a nudge of encouragement to make a decision within 30 days and lock in your pricing and services while they are favorable and available. I’ve preached about how “a no is as good as a yes.” You want to receive a response to your proposal, even if it’s a no, so you can move forward….or move on.

What other questions do you have for crafting a fair and appealing proposal? Ask and I’ll answer!

 

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