EP 7 | 3 Ways to Price Your Projects
In order to know your profitability at the end of a project, it’s helpful to see what you estimated in the first place. Just like a budget for money, we need to budget our time. Today’s topic is one of the most asked questions that I get about building your interior design business and that’s how to price your projects and come up with your service fees and feel more confident in your proposals when you send them out. In this episode we answer questions like… How do you decide what type of pricing strategy (or a few of them) that work best for your business? Do you need to base fees on square footage? How do you estimate your time? Here’s a glance at this episode… [05:22] Do you need to track your time? Is this important regardless of your fee and pricing method? [06:37] I share what 2 factors your fees should be based on no matter what the project scope entails. How to continue to price projects well even as you and your team become more efficient at project management. [07:45] I share a few other methods on how to charge that may play a factor in how you charge for a project. I share how charging by the square footage or overall project cost are used by some interior designers (personally, this is not what I use and I share why!) [11:50] I discuss how to charge for your projects based on time and the value that you bring to the project. [16:45] I jump into the 3 types of pricing - hourly, flat fee, and hybrid. I share the pros and cons for each type and how we use them in our business. [28:50] I share my challenge to you for the week! Resources mentioned in this episode: Freebie - Design Process Asana Template Harvest for time keeping (Affiliate) Blog Post - How to Use Pricing Options in your Design Proposals Blog Post - How to Easily Track Time for Interior Design Projects Shop - Interior Design Client Agreement Shop - Interior Design Client Proposal