5 Tips to Landing A $20K Client in your First Year of Business
“What’s your budget?”
My question to the client was met with blank stares.
The client had just done a branding exercise and needed help tactically setting the strategy across three content pillars and five social media accounts. The scope would involve me setting the strategy for execution, project managing the content calendar, and lending my skills towards asset production in the form of copywriting and videos among other things.
I gave a quote to come on for a month of full-time work. Insert IMPOSTER!
Their response?
“That’s a Goldman Sachs rate, not the rate of someone just starting their own business.”
So, how did we get here?
I’d just left Goldman Sachs to become a creative entrepreneur. While there, I gained a value proposition rooted in five years of experience in HR primarily focused on employer branding. This consisted of doing an overhaul of our employer brand with a small but mighty team.
- 7+ social media channels
- $$$K+ budget y/y
- #M+ impressions
- ##K+ pieces of content across channels
- ###K+ candidates reached
On the side, I’m director of a non-profit, executive producer of a short film and production manager for a large scale digital event.
So, in Issa Rae-mirror-talk-fashion, I had to shake off the imposter syndrome and remind myself that I’m worth my rate.
The below tips are helpful reminders for any creative entrepreneur transitioning from corporate America to full-time freelancer:
1. You are a business and should operate as such.
It’s truly a mindset shift. Your salary is a business expense. Your business gets paid first and then pays you. Determine how much you’d like to make every year in salary, add up all the operating expenses, health care, taxes etc. that come out of your business, take out some paid vacation days and sick days because self-care, and then set your hourly rate with that in mind. Need help setting your rate? I got you! Click here to access my Thankless Pro Rate Builder.
2. Ditch “beginner prices.”
I love the advice my faith-based business mentor, Isis Breana, gives on IG: @IsisBreanna.
3. Get the budget from your client first.
If a client asks, “What is your typical rate?” respond noting that your rates are determined on a case-by-case basis depending on scope of project and the client’s budget. Don’t get offended if you are given a budget that’s way beneath your rate. Knowing your client’s rate up front gives you the flexibility to make it work if you want it to. So, always ask and have the option. Clients, you may not know how much a service costs, but you do know how much you’re willing to spend. That’s your budget.
4. “Date” the client before diving into a longer term project.
You can propose to “date,” which gives you and the client time to see if the working relationship a fit. It’s important not to confuse dating with doing free work. If work is being done, money should be exchanged. Dating the client is just a helpful way to meet them within their budget while not compromising on your rate. The time you work together is an opportunity to get them on board if they aren’t already a believer.
5. It’s OK to turn down a client.
It’s within your clients’ rights to see your price and have an allergic reaction to it. It’s also within your rights as the contractor to flex to your clients’ reaction. But don’t get sucked into the notion that “discounts for a friend” and “exposure” pays bills. It’s okay to say no if the client deems it out of budget. You don’t have to work with everyone. There are two types of clients in this world: those who will see your rate and think they are getting a steal because of the value you bring and those who pass out from the thought of adding an extra zero. As the CEO, you get to choose which client to take on.
So, what happened with that client?
I received an apologetic follow-up call from a member of their team and they asked if working together was still a possibility for the future if budget allowed. I said, “yes.”
How does this apply to you?
It’s always important to leave with a door open to future work. They may not be able to afford you now, but you know the investment in your services is worth it. So when they have the budget, the option to collaborate is still on the table.
Remember, the true first step to landing a $20K client is charging $20K.
Keep going!
For more resources check out thanklessproduction.com and follow Vondell J. Burns on Medium.
