If you’re an independent professional working on the freelance model, you’re no less than a small business owner. So, you’ve got to attract clients, deliver them the best services, and charge them what you’re worth.
You might like it or not to discuss the topic “Negotiating Fair Rates as a Freelancer”. But if you’re an independent professional, you need to learn “Strategies to Discuss and Secure Fair Compensation”. So, let’s dive deep into how to do it and do it perfectly to get the most out of your income.
Set the rates that are fair for you and your clients as well. If you want to nail the negotiation process and feel like a winner, read on to learn the key strategies that will help you.
Strategies to Secure Fair Compensation
Ready to learn how to charge your worth? Or want to know how to negotiate freelance rates? Let’s get started.
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Research rates of your competitors
What rate would be fair for your services as a freelancer? Especially newbies found it difficult to set the rates for their services. They got confused about whether they should set an hourly rate or a fixed price.
Or if they are going with the hourly rate, what should it be? Or what will they charge for the entire project? Questions like these make every freelancer feel overwhelmed.
The first step that a newbie should take is to research the market, of course. You have to research similar roles and projects to find out what other freelancers are charging. For instance, a blockchain developer’s rate will be completely different from a data analyst’s rate.
You can discuss this with the people who are in your line of work and get an idea of what the average rates are currently. One way to get salary data for full-time jobs is by utilizing LinkedIn or other job-searching sites. Moreover, you can check out rates on various other freelancing platforms and sites and then move on to negotiate contract rate with your client.
You must keep your skill level in mind while researching. For instance, if you’re a newbie, your rates will be lower than the experienced ones in your field.
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Decide your minimum acceptable rate (MAR)
After completing your research, think about what your minimum acceptable rate (MAR) means. What will be the lowest rate that you’ll accept to deliver your services?
You can visit Greelance and check out the profiles of freelancers to determine your minimum acceptable rate.
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Set Your Rates
Now it’s time to set your rates after concluding the results of the research you performed. You are probably thinking, What rate I should set for my services now?
After getting an idea of your minimum acceptable rate, and setting your final number consider the following aspects:
- The type of client
- Your years of experience
- The level of expertise you have
- The scope of work and the revisions, if needed
Your MAR may remain fixed, but you can change the rate of your services for each client by considering the above factors. One way to attract more clients is by setting the rates lower at the start. Once you’ve won some projects and gained experience and skills you can increase the rate accordingly.
Pro Negotiation Tip: Client Communication Is Key
If you want any relationship to last longer, you must prefer clear and timely communication. Before stepping into the negotiation process, try practicing communicating your rates and your proposal concisely and with confidence. Everything you’ll be asking for should be clear and exact in your mind first, so decide the exact figure instead of a range.
Here are a few tips to consider while communicating with clients over different channels and helping you with how to negotiate a contract rate:
- If you’re communicating with your client via email, keep your email concise, clear, and to the point.
- If you’re having a video call, practice your selling points well to effectively communicate with the client.
Whichever mode of communication you’re using ensures that your main message is not lost and delivered effectively. Moreover, whatever they react to after getting your rate, you should stay professional and positive about it.
Final Key Point!
While negotiating fair rates as a freelancer may not always be your interest topic, every freelancer should know it to ensure they are compensated fairly for their expertise and efforts. Setting fair rates starts with thorough research into market trends and competitor rates. Deciding your minimum acceptable rate (MAR) is important, as it establishes the baseline for what you’re willing to accept for your services.
Greelance can be a valuable resource for gauging industry standards and determining your MAR. Businesses can hire a variety of freelance professionals in areas such as AI, Blockchain, Cybersecurity, Cloud Computing and more on Greelance.
Frequently Asked Questions (FAQs)
Q1. How to Negotiate Rates as a Freelancer?
The factors needed to negotiate as a freelancer are research, confidence, and clear communication.
Q2. How Do You Justify Freelance Rates?
A freelancer can justify freelance rates by showcasing the expertise, experience, and value provided to clients.
Q3. What Is Your Biggest Challenge When Pricing Your Freelance Services?
Various challenges arise while pricing freelance services, one of the biggest is fair compensation which is a dream of every freelancer.
