Standard small agency billing rate

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  • mydo0

    there are also a few clients i am happy to be rid of after 2 months, let a lone chasing them for money for 5 years.

  • monNom0

    as to the original question: you need to figure this out yourself based on your own unique circumstances. What's you overhead? what's your average billable hours? just because the company down the road can charge 100/hr and stay in business doesn't mean you can.

  • Boz0

    I strongly suggest to people to read the book "The Creativity Business - Guide To Running A Graphic Design Business".. throwing numbers just because it "seems right" is not professional nor good business.

    Sure, if you can sell your self for $200-$300 or $500 per hour go for it.. but there are proper ways to calculate your costs and hourly rates depending on the number of employees an agency has and quite a few other factors.

  • valentim0

    jez sounds high prices compared to this side of the world!

  • maikel0

    I believe that no model is wrong. It is down to how it is applied.

    If you want a stream of ongoing revenue instead of a project you shouldn't sell website but license the use of them. One example would be Mailchimp, or Basecamp, or even the 'premium online portfolios'.

    To bill a client most of the time is better knowing roughly how much they want to spend and explain to them what can be achieved. You can manage to change a client's budget in about a 20% but they won't spend an extra 5M, doesn't matter how good you are.

    Also, digital agencies do a lot of production work. I managed the production of digital campaigns (aka making shitloads of web banners based on concept/images/copy already provided). Would you say that you deserve more than a hourly rate for doing this? If your client makes money with it, good for them, but let's not be greedy.

    If you are good estimating, your clients will be happy. Being good is not necessarily being accurate. It goes down to understanding how much a project can vary and find a right price for that.

    Still, I must say that usually the ugliest and most ineffective/uninspiring sites are the better paid ones...

    • normally the more expensive the estimate, the more decision makers... and hence ugly, inneffectual schlock.Amicus