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Women In Business
Be A Lady Boss When Setting Your Fees
Ladies, never sell yourselves short.
My fledgling money management firm had just landed a big account. It was an arduous process and all that was left was negotiating fees. The client then asked us to sharpen our pencils. We did, responding in both gratitude and desperation with a big haircut to our fees.
Then they wanted another 10% off for being a religious pension fund.
WTF? We’d given it our best shot and negotiated in the spirit of partnership, not gamesmanship. We weren’t expecting to be fleeced in the process. After all, hiring a specialist money management firm takes a lot of work. It’s not like buying Red Delicious instead of McIntosh apples because they’re 10% cheaper.
We could have said any number of smart things, including the complete sentence known as “No.” Instead we rolled over like girls. Yes, “girls” — We weren’t mature lady bosses in our approach. My guy friends fought for every nickel in fees. They were (sometimes absurdly) confident they were worth it. If they didn’t perform, the client could fire them.
We were not as confident. It’s a mindset thing, and sadly, I think it’s something women struggle with more than men do.
It’s a matter of self-respect, and avoiding long-term harm. If you underprice your services, that pricing gap can compound for years. One moment of cowardice and self doubt cost our business millions.
Do the mindset work. Know the pricing in your industry. Come up with creative win-win pricing scenarios. Don’t let yourself be fleeced.
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