Common Questions About Setting Rates
Are you having trouble setting the rates for your VA services? It can be one of the most challenging decisions you have to make. In fact, many aspiring VAs struggle with this decision on an ongoing basis. Let’s take a look at some of the more common rate setting questions. The answers may help you finalize your decision.
What’s the Going Rate for the Task?
Before you can begin setting your own rates, you might want to look at what others are charging. This is by no means the only determining factor. As you’ll see there are other considerations that are more important. However, knowing what your competition is charging is useful information. With a little research, you’ll be able to better position your business and your services.
How Much Is Your Time Worth?
A better question may be how much do you want to make per hour? This is a fantastic starting point. You can then take a look at how long it takes you to complete a task and set a rate. For example, your goal might be to make fifty dollars an hour. If it takes you two hours to transcribe an hour audio file then you know to charge a $1.60 per audio minute.
How Are You Going To Charge?
You essentially have two choices. You can charge by the project or by the hour. Charging by the hour ensures you don’t accidentally underestimate the project. Sometimes it takes longer to complete a task than you might have intended.
However, when you charge by the hour most clients will want an estimate. They’ll want to know how long the project will take. You can quote a range. For example, tell them it’ll take two to four hours. If it looks like it’s going to go over, make sure they’re okay with it before you proceed.
To set an hourly rate, take a look both at your experience and your specialization. You can charge a higher hourly rate if you’re offering a specialty service. You can also charge a higher hourly rate if you’re experienced or skilled with the service you’re providing.
Your Rates Aren’t Set In Stone.
Note, you can also charge differently based on the task you’re managing. For example, if you’re setting up a Facebook Fan Page for a client then charge by the project. If you’re managing social networking then charge by the hour.
You can also change your rates as your needs change. If you want to gain a lot of clients quickly then set your rates a little below market rate. You can then raise them in six months to a year.
To position your business as an exclusive provider, you might set your rates above market value. Take a look at your goals. Evaluate your niche. And consider the type of clients you want to work with. Consider your business vision. Then you can begin to set the rates for your services.