Entrepreneurs – Ready to Give Yourself a Raise?

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December 18, 2014
Entrepreneurs – Ready to Give Yourself a Raise?

Giving yourself a raise… now that should be easy right? As the business owner you’re in control! But if you’ve been self-employed for long you know that it’s hard. In fact, it can be harder to talk yourself into raising your rates than to get a raise out of the even the most tightfisted boss.

So why do entrepreneurs make it so hard to earn the money they deserve? I’ve worked with a lot of talented business owners and I’ve discovered it’s usually a mindset issue.

Here are some mindset myths I hear from clients all of the time followed by the empowering truths I share with them:

Myth: I need to be competitive. There are hundreds that do what I do in my market so I need to be the cheapest to make money.
Truth: This is a lazy, ineffective strategy. You’re not a commodity – you deserve to make more because you offer more value.

Myth: I’ll scare my current clients away if I raise my rates.
Truth: Not if you do it the right way – more on this below.

Myth: I love what I do and I want to help people, I hate worrying about money.
Truth: You’re in business to make money. This isn’t a hobby for you. Even if you love what you do, you deserve to make a profit.

If any of these myths sound like what you’ve been telling yourself, they just aren’t true. It doesn’t have to be that hard to give yourself a raise. In fact, there are three easy ways you can increase your revenue that I want to share with you.

#1 Attract New Clients by Showcasing Your Unique Value.

Awhile back I had a stylist come to me because she was ready to significantly increase her revenue. After we discussed her goals I saw that the first thing she needed to do was to share her unique selling proposition (USP) because people will pay more if they’re certain it’s a solution only YOU can deliver.

We began by making sure all of her products and services were based on her unique background and experience so they cleverly positioned her as an expert. Then I encouraged her to share her USP by speaking often. She reported back that now that she’s secured regular corporate speaking engagements she’s getting more clients and dominating her market in South Florida.

You can educate both prospects and current clients about your unique value through speaking engagements, blog posts, guest articles, tips on social media, case studies and testimonials… The list goes on and on. Just remember that marketing means teaching people the value they get from working with only you. Don’t make the mistake of assuming they already know, they don’t know unless you show them.

#2 Be Strategic on How You Raise Your Rates.

When you decide it’s time to raise your rates make sure to give everyone advance warning, two or three months is usually a good idea. There are several reasons for this. For one thing your current clients will appreciate having a heads up so they can plan accordingly. It’s also a subtle way of letting them know that you’re in demand. You’re basically saying, “I can demand higher fees because of the value I offer.” (And remember ideally you’ve been communicating your value with them on an ongoing basis.)

A heads up about an upcoming rate increase also works as an amazing incentive for prospects that might be sitting on the fence. You can check in with these prospects and let them know that next month you’ll be raising your rates but by getting started now they can take lock in at your current lower rate. This can be just what they need to hear to get off the fence!

#3 Use a Smarter Pricing Strategy That Leverages Your Expertise.

Now if you really want to use a pricing strategy that allows you to be paid what you’re worth you need to consider eliminating the trade of dollars for hours. Instead look at implementing high-value programs and packages.

This is what I did to help my client in South Florida. We looked at adding more value to her programs so she could charge higher value-based fees. Then I coached her through the creation of virtual online training sessions to provide her with another income stream for her business.

So look for ways you can work smarter, not harder. Is there a way for you to package your services so you get paid for the results you deliver instead of the hours you spend? Can you leverage your expertise into an info product or online training program so you can serve more clients at the same time?

As an entrepreneur there are a lot of different ways to give yourself a raise. Start by believing you deserve one and than follow-up on the Predictable Results Assignment below and you’ll be well on your way!

Predictable Results™ Assignment

First, identify any mindset myths that you might be getting in your way from making the amount of money you deserve from your expertise.

Second, look at how you can use one of the strategies from this week’s article to make more money. Can you attract more new clients by marketing your value? Can you raise your rates and use it as an incentive for prospects that are sitting on the fence? Can you create a different pricing strategy by creating packages or products rather than trading dollars for hours?

Third, come up with a plan to implement your strategy in 2015. Need help? Call 1-800-267-3245 for a free 30-minute consultation to see how we can help you!

As a pioneering and visionary innovator, Sarah is a certified professional image consultant and brand strategist, speaker, trainer and author. Her company, Illustra Business Coaching, provides leading-edge business building strategies for small business owners & entrepreneurs who wish to take their company to the next level.

Illustra Business Coaching
Copyright © 2014, Sarah Hathorn, AICI CIP, CPBS
1-800-267-3245, info@illustrabusinesscoaching.com
This article may be reproduced only in it’s entirety, including the above bio.

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