New Start Up Idea

[mykenniswade]

I am interested in starting a new consulting company that helps write and review business plans for new entrepreneurs and small business. My focus will be with retired workers and new entrepreneurs or existing small business owners. I need some professional advice on how to price the service?

[Wayne Liew]

There are several approach to take when it comes to pricing your consultancy services and the following are a few suggestions.

First, you can always call up some of the business plan consultancy services out there and have a feel of what is the market charging for similar services. Usually, there will be several elements to a service (business plan review, formulation of the content, selling business plan templates, presentation tutorials, etc.) and the price should be different for different quotes so you need to include them in your calls. Google is always an alternative for this but for more accurate results, it is always better to call.

Another approach will be to price your hours. How long will it take for you to perform a task for your clients? How much per hour will you work for. When you just got started, this is really a guesswork and the price that you have set should be tweaked from time to time according to the demand that you are receiving.

When it comes to pricing, you should always keep in mind not to undercut yourself. You don't want to work hours for a low pay and underpricing yourself undervalues the quality of services that you offer too.

I hope my elaborated reply helps. Feel free to send me any questions so that I can help you better.

[akula]

erhhhhhhh.a bit of a boring one but ok..

price is a function of 4 variables:
a) costs - fixed and variable
b) roi - your profit requirement
c) what competitors charge
d) what customers want to pay

so, to get your price point you need to survey your customers, survey the competition and then do your breakeven analysis

[usakos]

How will you compete with organizations such as SCORE (score.org) which provide similar services and employ the same kind of retired professionals, but they offer their services for free?