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How to run discounts without ever dropping your hourly rate as a new business:

Early on it’s no secret that offering deals and even some free work is going to help land those first few jobs, reviews, and get off the ground. That’s completely okay and the credibility is crucial for any new business! Just don’t drop your hourly rate to do so.

Once you drop your rate, you’ve opened the door for future customers to negotiate. If a client knows that you dropped down to $25/hr in the past to fit someone’s budget, they’re not going to understand why you’re charging $35/hr now. If your labor rate is on the table to negotiate that can be a tough obstacle for any new business.

Instead, if you offer a discount on the timeline (like dropping a 40 hour job down to 30 hours) yes, you’re sacrificing, but you’re not wavering on your rate. That turns the conversation into, “That client was charged $35/hr as well with a discounted scope, which is a promotion we’ve since stopped offering.”

It’s okay to be giving a little more than you’re getting in any new business… you’re trying to build credibility, testimonials, good word of mouth, and set that reputation. What your trying to avoid is a rate feels negotiable as your business scales!

💬 We’d love to hear some of the craziest offers or deals you ran when getting your business off the ground in the comments!

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