How Do You Charge For Your Consulting Services?

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How do you charge for your consulting services? Are you getting enough to make it worth your while? Is what you’re charging fair and equitable to your clients? Does it make sense to them? In fact, does it make more sense to them to take you up on your offer than it does for them to not to? Moreover, is what you’re charging your clients compelling enough so they jump at your offer, thinking that they’ve just taken advantage of you?

“Positioning” has a LOT to do with what you can charge

Consulting

There are about as many ways to charge for consulting services as there are consultants. How much you can charge has about as much to do with the way you position yourself as it does the actual payment method you use. Position yourself as selling consulting services, and you severely limit the amount you can charge. Very few people want to hire a consultant., but business owners who want to get and maintain a competitive advantage in their chosen marketplace will pay top dollar for the results a good consultant can get for them.

But if you come from a position of producing results, whether those results are in the form of more leads, higher conversion rates, more clients, better employee morale, better working conditions, increased business revenues or profits, more time away from the business for the owner, or more personal income so the owner of the business can provide a better lifestyle for his family, and it’s a whole new ball game. People will more readily part with their money for the results than they will for the vehicle that gets them the results… in this case, the consultant.

Different motivators for different people

In the TopLine training we cover several different ways to determine how to position you and your consulting services so your clients can very quickly see the results that are possible, and what it can cost them if they don’t use you. Putting dollar figures on both the generated results as well as the potential loss is a very effective way to get people to see the benefits of working with you.

Some people are motivated by gain (monetary or otherwise), and others are more turned on by preventing losses (either money out of their pocket, or the possibility of their competition getting the money). By appealing to both positions you increase your chances of getting a client onboard.

One of the most effective tools our most successful consultants use without fail is our Excel based Business Growth Calculator. Plugging in actual numbers from your prospect’s business, then applying a very small percentage of increase to each of them, results in some very dramatic increases. It’s not enough to talk in general terms, or about what can or what has happened in another business; those things don’t resonate with people… at least not on a high level.

But when you use numbers… real numbers; production numbers, conversion numbers, etc., that your prospect gives you from THEIR business, and then insert them into the Calculator and apply the small incremental increases… the results are mind-blowing. (“Results” are what they can gain if they follow your advice, as well as what they can potentially lose if they don’t.)

Implementation and action are critical to your success

The Calculator is just one of many tools to use when showing your prospects the possible results they can get (or lose); there are several others. The key to success is not knowing about these tools, and it’s not even having them that will get you business… it’s the actual use of them that makes the difference. Knowing and having will never measure up to what using will do.

Jeremiah is a perfect example. Right after he completed his TopLine training, he visited with a prospect using nothing more than the Calculator. He not only closed the client right on the spot, but picked up a couple of leads that turned into very lucrative consulting arrangements. He was off and running with more than a 6-figure income in his first 30 days. Keep in mind, Jeremiah had no business card, no brochures, no positioning tools… just his Calculator that resided on his laptop… and he generated well into the 6-figures in less than 30 days.

Confidence is transferrable

Okay, so having the proper tools is great, but what else do you need? Well, what comes out of your mouth might be something else to give careful thought to. I’m continually surprised by how many people (salespeople, customer service reps, consultants, etc.) try to “wing” it and fly by the seat of their pants, rather than using a well thought out plan or script. There is nothing more important to your success than creating a position of trust, confidence, professionalism, and competence in the mind of your prospect at your first meeting with them.

You may be brand new to the business or have very little consulting experience, but if you present the right picture to your prospect they have no way of knowing that. You need to be able to present a good story of what you can do for your client and the results they can expect, and then be able to walk in direct alignment with that story. Here’s a word script that one of our consultants use:

My criteria in working with a client, is that I must personally make a minimum of $50,000 for the time and effort I spend with them. So, my job is to find a way to bring you in at least $500,000 in net new revenue that you wouldn’t have before I came along. And if I can do that, I’m assuming that you won’t object to giving me just 10 percent, or 50,000 of that.

I’m expecting to see an immediate surge of income for your business, so to get things up and running as quickly as possible, I require an advance of $2,000 per month against future commissions to cover the expenses I incur for research, strategy creation and development, and the implementation of the systems we install in your business.

Please note that this is just ONE example of how ONE consultant operates his business. As I mentioned above, there are a number of different models and we go over them in our TopLine training.

The consulting business is much easier than most people make it out to be. It’s simply a matter of getting the right message in front of the right market at the right time and making it more advantageous for your prospects to do business with you than to not. And when you have a systematic way of doing that, business will practically fall into your lap and the business suddenly becomes fun, rewarding, and effortless.


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