Value-Based Billing
Quickly setup fixed price quotes based on your standard
templates. Agree internally on how long the job is likely to take,
then fix price the work based on the value to the client, rather
than how long it is going to take. Quoting up front allows you to
generate your write ups before you even begin the work.
Value based billing:
- The value of the work you do for your clients shouldn't be
measured purely based on time
- Billing based only on time builds inefficiencies into the
workflow and results in the practice undercharging for the work
done
- Value based billing means taking a look at the work and
determining the value to the client based on your contribution
- When preparing a quote identify how long it will take in terms
of hours, this is so that you can measure internal performance
against your estimated time, then fix price the quote by over
writing the calculated price (hours x rate) with the value of the
work being done
- By putting a value against the work you can add your write ups
to the job before you even begin
- Internally measure your team against the agreed time
budget
- Externally the client is happier because they have a fixed
price they are comfortable with and they understand the value of
your contribution to their business
