Charging by the hour punishes

One of the most difficult aspects of running a business is knowing what to charge. Whatever the industry, understanding your place in the market and how your offering compares to your competitors can make or break your journey to success. For many an hourly rate seems an attractive alternative to a flat rate fee, namely because of how easy it is to log the data. In the short term, for a start-up business, an hourly rate may not cause that much damage either. It is only over time that you realise setting your price based on time leads to underpayment further down the line and, ultimately, acts as a punishment rather than a reward for experience.

This message applies to any industry where charging an hourly rate seems desirable. Instead of caving in, think ahead and make sure that the value you provide is because you are great at what you do, not because you are able to complete it quickly.