I assume that's a tax similar to (often 10%) that the construction industry will apply to quotes when they determine that the client may well be "high maintenance"?
If you're in construction, you'll understand this.
I only do custom work based on time and materials. Period. Just a flat install with a text changed logo would be about 4 hours with the proper information*. Everything else after that, time and materials.
(I'm having a special next month where we waive the asshole tax, if the client qualifies. It's 15% without qualification.)
(*means all the accounts, passwords, used supplied data works 1st time. If not, tax is added)
A lot of good advice in this thread including the asshole tax :
I've been in sales and marketing for over 25 years, when I first started with web development it was really not anything that I wanted to do. I had/have a production company and I produce television ads, and other video presentations. I had gotten involved with web development because many clients wanted to place their ads on their web sites, but had no html knowledge, so I created some pages for the ads, and it's grown from there.
I've tried several marketing approaches so far. Charging less upfront and then a monthly fee didn't work very well for me because I found that many small to medium sized businesses felt that they were "committing", and many smaller businesses work on a month to month budget as it is. Not to mention having to track client's down to get paid every month. Sometimes it seemed like I was making $2.00 an hour when everything was said and almost collected.
What I ended up doing is creating a base fee structure that includes a specific number of hours, one year of hosting, setup and installation (depending on the type of site I'm working with) and anything beyond the hours and services included in the base fee is priced at an hourly rate. I don't charge any monthly fees to the client. It's much easier to close the sale. One price and you own it.
Even when the client has to pay for additional hours, it's a one time charge and that is something most client's can live with. If a client can't afford 5 to 6 hundred dollars upfront, then the chances are that they won't be able to maintain regular monthly payments either.
Lastly, when you give a quote be very specific about the work that you'll be preforming for them. The number of hours, for 5 pages, 1 Image Gallery etc. This way when they want something changed, modified or added you've lived up to your quote, and you can now provide them with a new one.
I've found that if I build a good relationship with my client's and assist them in maintaining their site I end up making a lot more per month or bi-monthly then any hosting, or service fee would ever generate.
I like to offer a single, flat fee to get smaller businesses started, including hosing for a year and a single domain registration. That includes very minor changes to the site.
Then again, the website is a small portion of what we offer. My husband's business is a whole business consultation, bringing internet and bring-and-mortar together to match the clients' individual needs. We do the sites just to make sure they are viable for such a plan.
Sites usually cost $1,500 - $15,000+. The $1,500 packages are our bread and butter. Simple installation, out-of-the-box, with some custom design (colors, logos, etc.). These are for those clients that need a nice site, perhaps one that is easily updated (specials, events), but will not be taking full advantage of the Joomla system.
I don't focus as much on time for the site itself, but the overall effort the entire account will take, and go from there. i guess it is sort of my own "asshole tax meter."
Excellent topic! This is something I've been thinking seriously about of late. I've turned down a couple of referral jobs from 'friends of family' in part because I have little time to take them. I'm also trying to understand the logistics and planning involved in doing it full time. Lastly, I didn't know what prices would be fair to charge for my services. I see now that there are 2 basic pricing structures for most of you: 1) a flat fee for for basic site and setup and 2) hourly fees. How much are some of your hourly fees?
Hey David, where I am $25 - $50 an hour seems to be the going rate. I don't know how that compares with other folks locations.
Cheers!
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I've turned down a couple of referral jobs from 'friends of family' in part because I have little time to take them.
I see now that there are 2 basic pricing structures for most of you: 1) a flat fee for for basic site and setup and 2) hourly fees. How much are some of your hourly fees?
I never NEVER tell friends or family that I build my own sites. You'll get sucked into a vortex of favors, support and endless questions. I ALWAYS tell them I have a friend who does all of the web work for me and that I don't even know how to spell Internet.
For hourly rates I'd suggest just doing a search on freelance- work/jobs/consulting. The range varies greatly with what you are trying to do, where you are, where they are, and what language you want it in.
I never NEVER tell friends or family that I build my own sites. You'll get sucked into a vortex of favors, support and endless questions. I ALWAYS tell them I have a friend who does all of the web work for me and that I don't even know how to spell Internet.
All my friends and family know what I do, and you're right I get hit hard for favors often. There is an advantage to helping friends and family because they help with word of mouth a great deal. I've set some healthy boundaries with them too. I don't mind helping them, but I charge them by having them buy lunch, dinner, or some small thing that also requires some investment and time on their part in exchange. If a friend or family member wants me to build an entire site for them they get a friend or family discount ;D
Hey David, where I am $25 - $50 an hour seems to be the going rate. I don't know how that compares with other folks locations.
Cheers!
Same here. There are many factors that can influence the rates. I'm about an hour and a half north of Seattle, WA. My rates range about $55 an hour. I do a great deal of work for non-profits in my area and for them I charge $25.00. My fees aren't cut in stone, but I do my best to stay consistent.
Thanks for the pricing heads up. I'll certainly research it more when the time comes.
I've been through the whole deal where family and friends abuse your knowledge of your career. I started as a PC Technician 10 years ago. I kept working hard, studying and testing and became a SysAdmin 7 years ago. But, when my everyone that knew me found out what I did I got slammed with questions and calls for help. I had extended family members that never, ever called me before start calling for help. I was a bit miffed.
Here is an example of why I don't burn those bridges. One of my uncles owns a (muscle) car restoration business that has been booming the last couple years. He came over to my house a year ago and painted the engine on my motorcycle for me. I already had it out of the bike but he helped with the cleaning and prep of the engine for paint then painted it himself. He never asked for a thing. That's how my family is - we just help each other.
Fast forward to now. I'm meeting with that same uncle tomorrow night to discuss my voluntary repayment to him for painting my engine - I'm creating his website. Heck, I like creating websites and I like working on cars and motorcycles. My uncle is one of those rare people who you count yourself lucky to be around.
As if that wasn't enough incentive, I'm approaching the creation of his website as my first production site so I'll keep tabs on everything I do for him and use it as the bar to decide whether I can do it for a living. If that isn't yet possible, I may be able to start part time and supplement my income. Who knows . . .