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  • Writer's pictureJoel White

100 Thoughts on Pricing: #76

Moving on from pricing tools to T&Ms (hourly contracts)...

Optimizing for T&Ms: If you're going to charge by the hour, at least bill for it on a retainer basis so you're paid in advance (law firms do this well). Invoice the first 1-2 month's estimated hours on signature and don't start work until that's paid. Invoice the replenishment hours well in advance of your hours being exhausted.

You want to be in the position where, if a client runs into financial issues or your counterpart moves on and their replacement decides they don't like you, you are in a position of issuing a refund for unused hours, instead of chasing payment for work already performed.



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