{"id":12412,"date":"2018-06-21T07:00:30","date_gmt":"2018-06-21T07:00:30","guid":{"rendered":"https:\/\/blog.qcdesignschool.com\/?p=12412"},"modified":"2018-06-21T07:00:30","modified_gmt":"2018-06-21T07:00:30","slug":"design-services-charging-guide","status":"publish","type":"post","link":"https:\/\/www.qcdesignschool.com\/blog\/2018\/06\/design-services-charging-guide","title":{"rendered":"From Contract to Project: A Guide to Charging For Your Design Services"},"content":{"rendered":"[vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]<em>Tammy Hart, I.D.D.P, CAPS is a graduate and tutor of Q.C. Design School and is a Certified Aging in Place Specialist from the National Association of Home Builders.\u00a0 She is the Senior Designer for the Designer Chick Co. (www.dznrchik.com) and is the Past Director on the National Board for DDA (formerly CDECA).\u00a0\u00a0 She is a professional speaker, speaking at venues like IIDEXCanada and Heart of Networking.\u00a0 She\u2019s been featured as a guest spot on Daytime Durham, Rogers TV and works to empower young women to become successful future leaders and supports ocean clean-up efforts.<\/em>[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]One commonality exists between all individuals working in the design field. Whether you are a designer, decorator, organizer, stylist, color consultant or feng shui practitioner, as a \u201cCreative Expert\u201d you are ultimately in a sales role.\u00a0 You are selling your design concepts.\u00a0\u00a0 You are selling your services.\u00a0 You are selling <strong>you<\/strong>.\u00a0 Through countless hours of working, partnering, and networking beside some of the most creative individuals I\u2019ve ever had the opportunity to meet, there is another commonality that exists between \u201cCreatives\u201d \u2013 we don\u2019t ever know what to charge for our service.\n\nSometimes undervaluing our EXPERTISE as what we do comes second nature to us \u2013 so how do you put a price on your \u201cCreative Expertise\u201d? The first step to selling your design concepts, your design services, and ultimately you, is to know how to strategically set your pricing structure.\n\nI understand the struggle.\u00a0 I lived the struggle even though QC Design School\u2019s Interior Decorating program prepared me for starting my business and drove me to start thinking about pricing structures through their units. However, when I graduated and entered the field, I was confused.\u00a0 And the more research I did about how to structure my pricing, the more confused I became.\u00a0 There\u2019s no one commonly accepted way to charge for your service and there\u2019s not a common price to charge for your service.\u00a0 What I did learn was that my research was important and I had to rely on that research, my target market and the services I offer to help guide how and how much I would charge for my creative expertise.\n\nSome commonly used methods of charging are:\n<ol>\n \t<li>Set Flat Rate Packages<\/li>\n \t<li>Hourly Consultation Fee<\/li>\n \t<li>Percentage of Project Budget<\/li>\n \t<li>Custom Pricing<\/li>\n<\/ol>\n[\/vc_column_text][divider line_type=&#8221;No Line&#8221; custom_height=&#8221;50&#8243;][image_with_animation image_url=&#8221;12423&#8243; alignment=&#8221;&#8221; animation=&#8221;Fade In&#8221; box_shadow=&#8221;none&#8221; max_width=&#8221;100%&#8221;][\/vc_column][\/vc_row][vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]\n<h3>Set Flat Rate Packages<\/h3>\nClients like <strong>Set Flat Rate Packages<\/strong> as they know exactly what they will pay provided the project stays within the scope of the package outline.\u00a0\u00a0\u00a0 You, as the consultant, need to carefully design the package and have a very good understanding of how many hours you anticipate dedicating to said package and the service(s) you are willing to offer for that flat fee.\n\nIt\u2019s recommended that you asterisks the package and state that if there is a service that falls outside of the package or if the project extends beyond the hours included, you have an additional fee for that.\u00a0 Great services to use this structure would be for color consultations or rendering services. \u00a0\u00a0You know approximately how many hours a color consult will take between the home visit, palette selection and presentation, so create an attractive package price for this.\u00a0 A package price for rendering a floorplan will take into account the hours a rendering will take, time on site (if needed), the number of revisions allotted, printing costs and presentation.[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]\n<h3>Hourly Consultation Fee<\/h3>\nOn the other hand, the <strong>Hourly Consultation Fee<\/strong>, can benefit both parties.\u00a0\u00a0 The client pays for no more and no less of the services provided by the consultant.\u00a0 The consultant charges the client exactly what they worked.\u00a0 Hourly consultation fee structuring is great.\u00a0 I find I use this structure for my initial consultations, for consultations with DIYers who are looking for guidance and reassurance, and for shopping with\/for my clients.\u00a0 I carefully log my time and provide the client with a very close estimate of the number of hours I foresee the service taking.[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]\n<h3>Percentage of Project Budget<\/h3>\nOn larger projects, a <strong>Percentage of Project Budget<\/strong> may be an ideal method of charging.\u00a0 For instance, I recently quoted a large exterior redesign project.\u00a0 The project involved project management, renderings with two revisions, initial consultation, shopping with the client for exterior lighting, vendor\/trade management, and color consultation.\u00a0 Total labor hours on my team\u2019s end would be about 20 hours.\u00a0 The project budget is about $84,000. I allotted 5% for my design\/project management service in that budget.[\/vc_column_text][divider line_type=&#8221;No Line&#8221; custom_height=&#8221;50&#8243;][image_with_animation image_url=&#8221;12427&#8243; alignment=&#8221;&#8221; animation=&#8221;Fade In&#8221; box_shadow=&#8221;none&#8221; max_width=&#8221;100%&#8221;][\/vc_column][\/vc_row][vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]\n<h3>Custom Pricing<\/h3>\nSometimes, there are projects that don\u2019t fit into the above three structures or perhaps you feel, as a value-add to your clients, <strong>Custom Pricing<\/strong> would be best as each project is unique in its own way.\u00a0 A great example of an opportunity to use custom pricing would be when, on initial consultation through your discovery, you learn the client would like you to 1) Color Consult 2) Space Plan 3) Shop with them for D\u00e9cor Accessories.\n\nInstead of charging for all three separate services, if two of those are packages and the other is hourly, custom price it \u2013 or in other words, \u201cCreate Special Pricing\u201d.\u00a0 Present this to your client as \u201cI wanted to create a custom price specifically tailored to the services you\u2019re looking to receive and wanted to provide you with pricing that made the most sense financially.\u201d\u00a0 Your clients will appreciate this as you\u2019re not taking advantage of them, but thinking about their best interests.[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]\n<h3>How Do I Charge?<\/h3>\nSo the big question next, which I know you\u2019re all wondering about is, \u201cBut Tammy, how much do I charge?\u201d\u00a0 Great question!\u00a0 And one I can\u2019t answer for you.\u00a0 But I\u2019ll guide you. \u00a0My best advice is to research what other \u201cCreative Experts\u201d in your area are already charging because a market standard currently exists.\u00a0 By charging too much, you will drive clients to shop elsewhere and by charging too little you will undervalue yourself and do an injustice to the market that already exists.\n\nI was on Facebook a few weeks ago on a marketplace site and I saw a consultant advertising color consultations for $40.\u00a0 I died.\u00a0 I considered this a teachable moment, as did some others, to help her understand that most consultants\/stylists\/designers\/decorators charge upwards of easily $400 for this service.\u00a0 She\u2019s undervaluing her expertise and because you need to build partnerships, undercutting \u201cthe competition\u201d is not advisable.\u00a0 Not even when you\u2019re building your portfolio.[\/vc_column_text][divider line_type=&#8221;No Line&#8221; custom_height=&#8221;50&#8243;][image_with_animation image_url=&#8221;12421&#8243; alignment=&#8221;&#8221; animation=&#8221;Fade In&#8221; box_shadow=&#8221;none&#8221; max_width=&#8221;100%&#8221;][\/vc_column][\/vc_row][vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]Consider it this way, I allot three hours for a color consultation from beginning to end.\u00a0 By charging $40 for a color consult, I\u2019d be grossing $13.33\/hour.\u00a0 The hourly rate in Toronto for a designer\/stylist\/decorator ranges between $70 to $150\/hour.\u00a0 I\u2019ll let you do the math to figure out the difference.\u00a0 But by charging so little, she\u2019s undervalued her expertise. To increase her value, later on, will be an upward struggle as she has set the standard for her \u201cworth\u201d.\n\nUltimately, you need to set your fee structure by researching your existing market space against your target market and services.\u00a0 You may feel comfortable charging by the hour, setting a flat rate, charging by percentage or like me, using a combination of all of the above. Whatever you deem appropriate, remember, you are selling your design concepts, you are selling your services, you are selling you, and so you need to be comfortable with your fee structure. Always remember, people buy from who they know, like, and trust, so always exude passion, confidence, and approachability.[\/vc_column_text][\/vc_column][\/vc_row][vc_row type=&#8221;full_width_content&#8221; full_screen_row_position=&#8221;middle&#8221; scene_position=&#8221;center&#8221; text_color=&#8221;dark&#8221; text_align=&#8221;left&#8221; top_padding=&#8221;2%&#8221; bottom_padding=&#8221;2%&#8221; overlay_strength=&#8221;0.3&#8243;][vc_column enable_animation=&#8221;true&#8221; animation=&#8221;fade-in&#8221; column_padding=&#8221;no-extra-padding&#8221; column_padding_position=&#8221;all&#8221; background_color_opacity=&#8221;1&#8243; background_hover_color_opacity=&#8221;1&#8243; column_shadow=&#8221;none&#8221; width=&#8221;1\/1&#8243; tablet_text_alignment=&#8221;default&#8221; phone_text_alignment=&#8221;default&#8221; column_border_width=&#8221;none&#8221; column_border_style=&#8221;solid&#8221; delay=&#8221;250&#8243;][vc_column_text]\n<h3 align=\"center\"><em>Check out this Facebook Webinar Tammy hosted on\u00a0fee structuring and \u201c<a href=\"https:\/\/www.facebook.com\/QCDesign\/videos\/10156649253373958\/?hc_location=ufi\" target=\"_blank\" rel=\"noopener\">How to Turn your Design Passion into Profit<\/a>\u201d!<\/em><\/h3>\n[\/vc_column_text][\/vc_column][\/vc_row]","protected":false},"excerpt":{"rendered":"Get expert advice from Tammy Hart on &#8216;the commonality that exists between \u201cCreatives\u201d&#8217; \u2013 not knowing what to charge for your design services.","protected":false},"author":24,"featured_media":12420,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[36,4],"tags":[],"ppma_author":[523],"class_list":{"0":"post-12412","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-from-the-experts","8":"category-your-design-career"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.7 (Yoast SEO v26.7) - 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