How did you come up with this price?

Sent by Jonathan Stark on March 10th, 2020

If you’re new to value pricing for project work, you might wonder what to say if a prospective client asks:

“How did you come up with this price?”

For the record, clients almost never ask this. But if one does, here’s what to say:

“Based on past experience.”

If they follow up by asking:

“How many hours they think it’ll take?”

You say:

“I don’t know, which is why I don’t bill by the hour.”

Yours,

—J