Through wooing a potential client this week, the subject of rates came up in our discussion as it often does. But the difference with this potential client is that he questioned my rates and why aren’t I cheaper?
To start with it really ‘threw me’ off balance. I’ve never had to justify my rates to anyone before because the majority of my clients come through referrals these days. It made me question myself and how I do business.
But it was a good question. Why am I Kylie Short, owner of Tilda Virtual Services worth the hourly rate that I charge?
I’m going to tell the truth here because we’re all friends right? I charge the rate that I charge because I’m darn good at what I do. I’m an expert in all things Administrative and I have the qualifications and experience to back it all up. I’m a perfectionist with a mean research streak and I love to learn. In fact I can’t help it. I NEED to learn.
Just because I’m virtual doesn’t mean I’m worth any less per hour then the business down the street with a shop front. Unlike most business owners I’ve calculated my break even point. I’ve calculated a budget for the rest of this financial year (in Australia the financial year runs from July to June) and I know what profit I want to make per hour so I can afford new technology, software and training for my team, which ultimately benefits YOU. I have ongoing expenses because I am a professional business owner with REAL overheads and REAL payroll to cover each week.
It may seem like I am ranting but surprisingly I’m not. Quite frankly questioning my rates because I’m virtual does not surprise me at all. I’ve been told that the ’4 Hour Work Week’ by Tim Ferris is a great read and that yes he does mention Virtual Assistants on two pages. Two whole pages where he discusses outsourcing your business and personal life to Virtual Assistants in India. Two questions I’m going to leave you with is:
- Is your Virtual Assistant a professional, qualified business owner dedicated to getting to know you and your business?
- Does their rate reflect the cost of living for their country/region?
If you can answer yes to both these questions and your VA is charging less then I do then good for you. Otherwise cough up because I don’t negotiate. My rate is my rate. Take it or leave it.
Do you need help with your bookkeeping or administration?
Tilda Virtual Services partners with small business owners to provide efficient, cost-effective and reliable bookkeeping, administrative support, website design and hosting. Kylie and her team are here to assist you in building your business, freeing up your time and reducing your to-do list. Click here to find out more information or call us on 1300 991 306.
{ 4 comments… read them below or add one }
Good for you Kylie! Tim Ferriss’ book has highlighted our industry and it’s a shame he didn’t mention about sourcing VAs through the professional networks, as well as naming a VA company in India. He did mention that you can get VAs in other countries at a higher rate but it seems people have zoomed in on the ‘cheap labor’ aspect of what he wrote about – it’s important that we continue to educate the public about the professionalism of our industry.
Very good that you believe so strongly in yourself Kylie! This is exactly what you should be making your clients aware of……way to go. I havent read Tim Ferriss’s book yet but I’m told it an interesting read.
Amen!
very nice kylie! we’re really all friends… share what you know with no high service fee…I like the way you are I love to learn!
good work buddy!!