If I were to offer mentoring, and Guaranteed $1,000/M by contract,what should it cost

**steveceleste** · 05-22-2007 11:01 AM

Hello,

So i was thinking about offering some mentoring services this month, and it of course would guarantee by signed contract that you will make at least $1,000/M with my methods of teachings.

How much should I charge?

I was thinking this:

Charge the on the front $397.00 to start the mentoring process.
By the end of the month they should of made $1,000 at least, and learned how to do this every month, so on the back end charge another $397.00, they wouldn't care to pay it because they made the money plus more.

What do you think?

Also, is this something people are interested in?? I would allow 10 people into the program, I have done this before, but usually I qualify clients, this time, I'm going to allow anyone to get a chance to get in.

**jcoxy4** · 05-22-2007 11:15 AM

How can you GUARENTEE you methods will net $1000 a month,nothing in life is guarenteed

**steveceleste** · 05-22-2007 11:24 AM

jcoxy,

That is where you are wrong... I can guarantee it, and it really isn't about methods, its about knowing what to do and how to do it.

I have guaranteed it 20 times in my life and only once has it failed. So the guarantee is what I'm not concerned about, and I know I will sell out all the spots always have, always will.

I'm concerned about pricing.

**jcoxy4** · 05-22-2007 11:35 AM

I know your concerned about the pricing,but i think its ludicras how you can say that you will definatly make £1,000 within a month.

**steveceleste** · 05-22-2007 11:41 AM

It is $1,000, USD, lol...

But it is definitely not ludicras, I believe with my testimonails and credentials I defenitely can Guarantee it. and if it doesn't happen, by signed CONTRACT, I have to return the investment. So I don't see what the problem is...

**Marketeer** · 05-22-2007 11:43 AM

Some advice someone gave me about pricing was: if you're getting all the projects (or prospects in your case), you're pricing is too low, if you're not getting any projects/prospects, you're pricing is too high.

I know it's pretty common sense, but it helped me with my pricing.

Good luck.

**jcoxy4** · 05-22-2007 11:55 AM

Im not trying to argue with you or oppose you,and i know that it is in the contract and everything,its just that a promise like that isnt always possible especially if your techniques dry up or become overused.

**steveceleste** · 05-22-2007 12:05 PM

jcoxy, I understand where your coming from and everything... but here two reasons why I guarantee.

1) the guarantee pulls in interest and clients
2) I know I can make it happen so I'm not worried

Imagine me saying:

Will charge $800 for mentoring and teach you everything I know

then

Will charge $800 for mentoring and teach you everything I know, and it comes with a contract signed Guarantee that you will make $1,000/M

Now tell me, which one will likely get interest...

========================================

Heres the thing, you get the $800 for mentoring, you teach adn teach, and don't spend a single dime of the mentorees investment. In 30 days, they will make money, and then you will make your money. If they don't you give it back no hard feelings..

but to end the little arguemnt over the saying guarantee, would I really offer this 20 times beofre and now again, if I had to give back the money everytime. What would my purpose be then?

**postman da rich kid** · 05-22-2007 01:32 PM

Steve this is a great idea. It's not ludacris at all to guarantee $1,000 per month. That actually isn't much money at all. I could teach someone just 1 of my tactics and I can guarantee they make that.

Steve the way I would do it is the initial enrollment fee of $397 and a residual fee of $97.

Why $97 residual fee? Well any higher they may pay for a few months, but once they feel they can do it without your help they will cut it off. Most people won't miss $97 out of $1000 per month. Thats less than 10% of what they will be making.

Than after your first class is done mentor 10 more students. I'd do that a few times and soon you'll be making a few thousand per month just off of residual income.

**akula** · 05-22-2007 01:36 PM

oh for f*%# sake

i can't beleive no one has answered your question

here's how to formulate pricing

it's a 4 variable formula

you'll need to price in the 5% default rate

do you know how to do your pro formas?

you can't price your mentoring services without pro forma statements

Originally Posted by steveceleste

jcoxy, I understand where your coming from and everything... but here two reasons why I guarantee.

1) the guarantee pulls in interest and clients
2) I know I can make it happen so I'm not worried

Imagine me saying:

Will charge $800 for mentoring and teach you everything I know

then

Will charge $800 for mentoring and teach you everything I know, and it comes with a contract signed Guarantee that you will make $1,000/M

Now tell me, which one will likely get interest...

========================================

Heres the thing, you get the $800 for mentoring, you teach adn teach, and don't spend a single dime of the mentorees investment. In 30 days, they will make money, and then you will make your money. If they don't you give it back no hard feelings..

but to end the little arguemnt over the saying guarantee, would I really offer this 20 times beofre and now again, if I had to give back the money everytime. What would my purpose be then?

**Paint and Air Sportz** · 05-22-2007 01:50 PM

A 1000$ a month is very little, thats only 12k a year, is this the minnimum amount you would expect to make? How much work does it take to make a 1k?

**steveceleste** · 05-24-2007 02:12 PM

Akula,

Yea, I have pro formas but they are being updated for my Summer Workshop class, so I guess that is what I would be using.

**akula** · 05-24-2007 03:21 PM

Originally Posted by steveceleste

Akula,

Yea, I have pro formas but they are being updated for my Summer Workshop class, so I guess that is what I would be using.

that's right

it's all about break evens, stress testing, ratios, horizontal and vertical analysis

the proformas will tell you how much you need to charge to break even before you run out of capital

likewise, the stress tests will show you whether what you are charging is competitive (i.e. the model might show you that you need to charge $500 an hour to survive, which tells you what market to target)

likewise, the time series will show you the rate of growth that you need to achieve for your ratios to make sense

anyway...three cheers for pro formas :-)

**Mikey1205** · 05-24-2007 05:32 PM

There's really no need to swear. Why do you want to offer a mentor service if you can make the 1000$ a month yourself? Aren't you losing money by doing this?

**Deejay** · 05-24-2007 07:53 PM

Originally Posted by steveceleste

Hello,

So i was thinking about offering some mentoring services this month, and it of course would guarantee by signed contract that you will make at least $1,000/M with my methods of teachings.

How much should I charge?

I was thinking this:

Charge the on the front $397.00 to start the mentoring process.
By the end of the month they should of made $1,000 at least, and learned how to do this every month, so on the back end charge another $397.00, they wouldn't care to pay it because they made the money plus more.

What do you think?

Also, is this something people are interested in?? I would allow 10 people into the program, I have done this before, but usually I qualify clients, this time, I'm going to allow anyone to get a chance to get in.

I would be very wary giving ANY money to someone the guarantees 1k a month. I would however, be willing to do it if you took the fee AFTER the money was made. (maybe get payment going to you for X amount of time, then switch it to me when you have you fee collected).