Get your pricing right. (One for the freelancers)

Money likes to exchange hands only when everyone understands what’s going on.

If you earn money for something, that means that the guy paying you understands what the offer is, and has deemed it worth more than the price.

It also means the you understand what’s expected of you, and you deem it worth the wage.

Dan and Ian at Tropical MBA crystalised this for me in their episode, If it Makes You Money You Shouldn’t Be Doing It.

Bonus Wisdom from Dan Kennedy:

Money likes clarity and organization.

So as a freelancer, you need to define what you offer, the edges of it, how flexible it is, and the price for everything. You might not be able to do this within the first 6 months of work, but get it done as soon as you can define things this well.

I made the mistake of going 3 years working without these clear definitions. It led to a lot of confusion, wasted time, and anxiety.

Every time I talked about prices with someone, I had to re-define the value of my work, with only rough ball-park figures in my head to go by.

My life got much easier when I defined exactly what it was I did, and how much it would cost.