Give Yourself A Raise! Do The Math!

Comments re: my post about how to set your fees for services have moved me to write another little ditty about pricing your work.
Here is my proposition….raise your rates! Lose some clients! Be happier in the process! Here is how the math works.
Let’s say you gross $100,000 per year consulting. OK. Now let’s assume if you were to raise your fees 30% you would lose 10% of your clients. Are you with me so far?
Ok, next year, you gross $130,000 MINUS the 10% who leave or $13,000, leaving you with a new gross of $117,000. What just happened here? You lost 10% of your clients, i.e. you did 10% less work than the year before, BUT, you MADE 17%, or over 1/6 more than you had made the year before, while doing 10% LESS WORK!
Now granted, maybe you might lose more than 10%, but you could lose less also, I mean, isn’t your product/service WORTH a heckuva lot more than they pay you anyway? What could you do with that 10% extra free time? Take a vacation? How about promote your business, not so you can get MORE CLIENTS, but so you can charge more for the new clients you DO ATTRACT!
More about pricing your services coming soon, stay tuned!