Price Increase Email Template for Freelancers: Avoid Losing Money on Invoicing and Payments
Learn how to create a price increase email template that gets approved by clients and avoid losing money on invoicing and payments as a freelancer
You've spent hours working on a project for a client, only to have them request a price increase that's not approved. This can lead to delayed payments or even losing the client entirely. In this post, we'll show you how to create a price increase email template that gets approved by clients and helps you avoid losing money on invoicing and payments.
Why this keeps happening
One of the main reasons freelancers struggle with price increases is the lack of clear communication and agreements with clients. Without a clear contract or agreement, clients may feel entitled to negotiate the price or request a refund. Additionally, freelancers often wait too long to send invoices or follow up on payments, leading to delayed or lost revenue.
Real example
Meet Sarah, a freelance writer who spent 20 hours working on a project for a client. However, when she sent the invoice, the client responded with a request to reduce the price by 20%. Sarah was forced to negotiate and eventually accepted a lower price, losing out on $200 in revenue.
The habits that fix this permanently
These are the non-negotiables for getting paid reliably in your profession:
How to implement this step by step
Step 1: Create a Clear Contract or Agreement
Start by creating a clear contract or agreement with clients that outlines the scope of work, payment terms, and price increase policies. This will help you avoid misunderstandings and ensure that clients understand the expectations. For example, Sarah could have included a clause in her contract that stated 'any price increases will be communicated to the client in writing 30 days prior to the increase'.
Step 2: Use a Tiered Pricing System
Use a tiered pricing system to make it easy for clients to understand the price increase and to avoid confusion. This can be done by creating different levels of service or packages with corresponding price points. For example, Sarah could offer a basic package for $500, a premium package for $1,000, and a deluxe package for $1,500.
Step 3: Send Invoices Promptly
Send invoices promptly and follow up on payments to avoid delayed or lost revenue. This can be done by sending invoices on a regular schedule, such as weekly or bi-weekly, and following up with clients who have not paid within a certain timeframe. For example, Sarah could send an invoice every Monday morning and follow up with clients who have not paid by the end of the week.
Step 4: Use a Price Increase Email Template
Use a price increase email template that clearly communicates the reasons for the increase and the benefits it brings to the client. This can be done by creating a template that includes a clear explanation of the price increase, the benefits it brings to the client, and any evidence to support the increase. For example, Sarah could use a template that says 'Dear [Client], I am writing to inform you that our price for writing services will be increasing from $50 to $75 per hour effective [date]. This increase is due to the rising cost of living and the need to maintain a competitive rate in the market.'
Step 5: Be Transparent and Open
Be transparent and open with clients about the price increase and provide evidence to support the increase. This can be done by providing data or research that supports the price increase, such as an increase in the cost of living or a change in market rates. For example, Sarah could provide a report that shows the increase in the cost of living and explain how it affects her business.
The Becflow solution
Becflow helps freelancers like Sarah create a price increase email template that gets approved by clients and avoids losing money on invoicing and payments. With our AI-powered contracts and payment links, you can create clear and transparent agreements with clients and send invoices and reminders automatically. Sign up for a free trial today and start reducing the risk of price increases and delayed payments!
Get paid faster, automatically
AI contracts, invoices with payment links, and automatic reminders. All in one place. Free for 7 days.
Start free trial