this post was submitted on 28 Oct 2023
1 points (100.0% liked)

Entrepreneur

0 readers
1 users here now

Rules

Please feel free to provide evidence-based best practices, share a micro-victory, discuss strategy and concepts with a frame work, ask for feedback, and create professional conversation. Treat every post as if you're at work and representing the best version of yourself.

founded 1 year ago
MODERATORS
 

I'm about to start consulting to a NY company as a software engineer. I'm not sure how much should I charge them for my service. Any advice?

you are viewing a single comment's thread
view the rest of the comments
[–] CH1919@alien.top 1 points 1 year ago

Pricing is a challenge, but when you get it right, you get it right.

Keep in mind that you will be paying the employers side of the taxes along with anything else required to keep your business moving. Make sure you calculate that into the rate.

It sounds like your rate is not set yet. That is good, you have time to research and prepare. Do not go into that meeting without your ideal number locked in your head.

Before the meeting, do your research on the company and make sure you can answer these questions (to yourself, but use them as ammo during your discussions if it comes up).

  1. How big is the company?
  2. What is the current revenue?
  3. How big is the problem you are helping them solve (does it make them more money, save money, or save time?)
  4. What value do you bring that no one else brings?
  5. What do people of similar experience charge?

When you know the value that you are providing you can come in much more informed for the rate discussion. If you do not come in with your own standards, the company is going to set them for you and they will be what is best for that company, not you.

Know your value.

I have been doing freelance for the past 11 years. The last 2 have been mostly as a consultant/advisor for tech companies. When we have the rate discussion I am direct about the problems I will help them solve along with my value. I rarely get a no (but still do sometimes and that is healthy, if you only get yes then you are charging too little).

Now I am branching off into helping other devs make more money as freelance consultants. I write about everything I have learned over on my newsletter, I know it would help you now and later on down the line!