What is a fair price?
Let me start with the premise that if the consultant and client are satisfied with the agreed price, it is probably fair. Like any value decision, fair pricing involves many calculations, but is determined by two or more people who will often use emotion to make price judgment, not logic.
If you spend $ X and get at least double that value on your business, the fee is most likely a good return on your investment.
How to determine a consulting fee
I will ignore the fact that many consultants set fees based on perceived quality of their brand and have little to do with the results delivered.
I have spoken with consultants who charged clients over $ 12,000 and did not produce any notable results, blaming the client for not getting returns. Personally, I believe that this style of consulting can be further improved to ensure that results are possible.
Start with this method
To calculate an average hourly rate for the consultant, you can use this general 平價到會. Note that you may find the new rate much more than what you were offered in the first place.
Select the key skill or knowledge you need
If you need a rating for this skill / knowledge, divide the cost of the rating by 5 to estimate the value of that knowledge.
Estimate how long it would have taken to complete that qualification in days lost out of business. You will have an estimated total of 6 to 12 months of days lost for each grade.
If you need to have other skills, such as advanced computer skills or use of computers, before you have completed the qualification above, add this cost and time to the amounts above.
Now to include a value for your practical work experience. During the first two years, it would have cost you approximately $ 70,000 to use them. Between 2 and 8 years of experience, training someone with this experience would cost more than $ 200,000.
As you can see, what you are really paying for is the commitment of the consultants in time and formal training for many years so that you can access part of that knowledge in a session of one or two hours.
To gain the same knowledge, you would have spent 2 to 4 years studying, working in industry for 2 to 8 years before becoming a consultant.
So the question is how much would you pay to employ someone with those qualities, between $ 75,000 and $ 120,000 per year or more than $ 100 per hour.
That rate is based on being employees who do not run their own overhead business. A general rule of thumb in business is that you need three times the average hourly rate to cover the costs of running a business, bringing the rate up to $ 300- $ 450 per hour for a standard consultant.
Remember that you and your company will benefit from the advice or help of consultants for many years after they are gone. Your rate should consider the additional benefits you get each year and take them into account as well.
How consultants see the price is different
They value the service as fair based on the performance your company gets from applying their knowledge. I heard that a consultant was paid more than $ 1 million for a prayer that helped put the organization in the # 1 position in its industry nationwide.
So the real question is "what is the value of your knowledge and skills in solving your current problem?"
Around 5-10% of revenue generated or saved is a fair price accepted by the industry, as they only get paid if your solution works, and you get more effort from the consultant, as you really work hard to get great results for both of them.
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It form of collateral for the two parties (particularly the party who lends money to someone if it comes to a dispute with the borrower).
The loan agreement must to find information:
accurate data of persons, that is, data of the creditor and the borrower (you need to put passport numbers),
the subject of the contract - specify that the parties themselves loan if you have money, then enter amount of the loan,
the period of time within which to return the credit install it on a particular day, if such a term niezostanie installed, in accordance with the civil code, the credit must be returned within 6 weeks from the date of termination of the agreement by the lender,
repayment method - select a single way of repayment or in installments,
