Fee - Fee negotiations are difficult for most freelancers!
For about 15 years, I have been working frequently with lawyers. Most of them are labor court judges and specialist lawyers in labor law. Lately, I have been giving more and more presentations and seminars to lawyers of all specialties. "What do they have to do with psychological negotiation skills, understanding people, or leadership tasks?" some may wonder. Well, if not lawyers, then who needs a lot of those skills mentioned? They not only negotiate with the opposing party or the judge, but they also have employees. Some even have a lot of them. And understanding people – well, you surely know my opinion – everyone needs that...
The recent seminars and presentations have focused on fee negotiations with clients. Exciting, isn't it? There are real negotiation professionals who are exceptionally creative in arguing during negotiations, very articulate, and display intelligent rhetoric. And yet, some have incredible difficulties explaining to the client how high their fee is. Many clients react with anger or rejection when they hear the amount. Those who do not have legal expenses insurance have to pay from their own pocket. Many do not like to have this conversation – if they do not know how.
The Problem:
Whether lawyers, tax consultants, doctors, etc., most freelancers find it difficult to state their own fee. There is an obvious direct connection between self-promotion and one's own sense of self-worth. Some can step in for others and fight like a lion. But when it comes to their own needs... Especially the topic of money and one's own fee is a touchy subject for many.
An example:
The fee schedule for lawyers has only been increased 7 times since 1958. It is understandable that under this aspect, an independent specialist lawyer in labor law feels underpaid when considering that all collective agreements around him are increased annually.
Legal disputes involve much more than law/justice/money. It is more about feelings. And it is precisely these feelings that come into play when you talk to clients about your fee. You have acquired a high level of expertise in your studies. However, you have not been trained on how to conduct sales conversations with clients. The reluctance to sell oneself and inform about one's demands seems to spare no one, not even those with titles.
The Solution:
What feelings arise in you when you prepare for such conversations, during the conversation, or when the client reacts differently than expected? Negative ones? You can change that! I used to conduct communication seminars for tax consultants with a friend and tax consultant, where we developed solutions to this exact problem.
Answer the following questions.
(preferably in writing!)
- What exact service does the client want?
- How does he want to feel when he comes to you as a lawyer or tax consultant?
- What does he know about your compensation system?
- What might he think or believe about the financial situation of your professional group?
The preceding questions and answers clarify the situation your client is in. By keeping these questions in mind, you will automatically approach initial conversations differently. In my short seminar, we clarify how to responsibly address your fee with clients. We develop a meaningful introduction for the conversation and create a trusting atmosphere to talk about money.
Conclusion:
Your clients/patients are in a difficult situation of needs. Most of them come to you seeking help. Create clarity and planning security with this small checklist. You will gain more self-assurance, become stronger in your statements, and create the closeness needed for your clients to feel well taken care of by you.
Good luck with your fee negotiations!
Yours sincerely,
Winfried Schröter
More information about our Top 100 Trainer Winfried Schröter can be found HERE
Another article on the topic:
https://www.absolventa.de/karriereguide/arbeitsentgelt/honorar
http://erfolg-als-freiberufler.de/honorar/