Freelance Tutorial: How to Talk about Money with Your Clients

Discover five great tips on how to approach this all-important topic, with Sophie Simmons

Talking about money with clients can be a delicate affair: you don’t want to seem pushy, you’re trying to keep on good terms with your client, and yet, at the end of the day, you need to make ends meet - and perhaps a little more.

Project manager Sophie Simmons (@sophiesimmonsltd) has 12 years’ experience working with big brands such as Burberry, LEGO, Deliveroo, and a range of world-renowned advertizing agencies. Managing clients is second nature to her, and discussing money, fees, and payment methods is a core aspect of her work.

In this tutorial, Sophie will give you her five golden nuggets of advice that will help you to maximize your financial potential while retaining a great working relationship with your client.

How to talk money with your clients

1. Set your rate

Find out what you should be charging by talking to industry professionals and recruitment agencies. You should also decide on whether you want to be charging an hourly or a day rate. For Sophie, a day rate is the ideal way to charge clients.

2. Negotiate your rate

Don’t underestimate yourself. When discussing your fee with a client, always propose an amount that is a little bit higher than what you expect to get. You should also go into the negotiation with a minimum fee, below which you won’t take on the project.

3. Justify your fee

Use a spreadsheet to show your client why you are charging the amount you have stipulated. The spreadsheet should itemize each task and the time it will take to complete that task. That way, you allay any uncertainties your client may have about the cost.

4. Agree your rate beforehand

Always agree your rate with your client before you begin working on a project. Often, clients will change their minds during a project. If this happens, you need to add this to your cost spreadsheet, or create a separate spreadsheet detailing the extra work you have done.

5. Be clear about what you offer for free

Letting your client know that you haven’t charged them for something is a great way to ensure loyalty to your business. Creating strong, lasting relationships with your clients may even lead to new clients. Just don’t get too carried away with the free stuff!

Did you enjoy this tutorial? If you would like to learn more about managing client relationships, then check out Sophie’s online course, Project Management for Effective Client Communication.

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