'Mates rates'

[caulioccolii]

Have recently started a small business making bits and selling online.
You can probably guess what.
Friends, family, as well as people in the local area interested which is great- actually I'm a bit snowed under already!
So AIBU to charge family the same rate as people ordering online? Friends are okay to pay, I really think they wouldn't have asked if they didn't want to pay- though do I charge full price?
Family on the other hand- they are so generous and lovely and give us hand me down bits when they can. To ask them for any payment atall would make me feel super awkward but I've spent a day keeping up with family orders and without getting a return - it's just not viable.
Need new resources tomorrow and will therefore be in negative profit without getting some income.
What's reasonable?

None of my friends and family have ever asked me for discount, but then I have never advertised my business to friends and family. For example, the only business post I have ever shared on my personal account was when I was recruiting, and even then I was clear I wouldn't employ anyone I know, but people could share it if they knew of anyone suitable. Don't set a precedent now that you can't keep and keep business and friendship/family as completely separate things. They don't mix well. It always leads to "but I'm your mate/family so I should get x, y, z".

Get your costings right for the ones you sell online, and as well as including materials, remember such things as petrol, utilities, phone & internet charges etc. In theory you should also cost in your time in making each item as well. If each one takes an hour, then add on a reasonable sum for your input.

Work out your cost price and decide on your selling price. The difference is your profit. Then when people want mates rates, you can start at the cost price and add a bit more. But make it plain to them that if you are busy making full-price items, they will have to wait for theirs.

If you can’t afford to make as gifts, then tell people “sorry, I’ve loads of paying orders that I can’t afford to turn away just now. I’d be delighted to make you one but would have to charge you, but if you’d rather not then I’ll not be offended”.

You’re pricing should reflect what people are prepared to pay. You need to work our profit margin to check its worth your while, though!

I think the opposite - friends and family should support your business, not expect freebies. I'd just explain that you can't do freebies or special rates while you're establishing yourself but promise them 'one day' when it's feasible for you! Then also let them pass on small discounts to their friends.

I refused to take money for the masks I made for the extended family but my circumstances were different. 1)its not my business 2) I have a large stash of materials so no cost to me and 3) two of them had just spent a week landscaping my garden for free including supplying the bricks etc. If I were you I'd go for a small discount.

I'd probably charge for the cost of materials, but if it were very labour intensive, I'd probably just knock 10% to 20% off the price.

"mates rates" should be full price - because real mates want to support you and see you succeed! I have a small business and I have friends that refuse to use discount codes I give them because they think it's worth full price and are happy to spend that and keep my little business going. I tried to give my sister a discount yesterday and instead of knocking the money off, she added it back on and gave me even more! It probably helps that I donated 20% of profits to charity though but still. I have offered and even given freebies but I would be really surprised if someone asked for a freebie (apart from my mum, who asked for a cheeky wee sample when I had first opened)

Even mates rates won’t tempt me to buy my neighbours online tat.

For family just charge materials, specially if they have helped you out with stuff.
You will look like a tight fucker if you charge them.

Mates rates might be okay if you haven't got many orders and you want to get your product out there and seen, but if you are getting loads of orders from customers paying the correct full price, why on earth would you spend your precious time making them and selling them at a massive discount, or worse, giving them away for free? The whole point is to make money, not give stuff away.

I would not expect to get a discount or a freebie. A relative of mine made me some masks from her stash and posted them to me and didn't want any sort of payment. But I will remember next time she does a fun run and donate to her chosen charity.

I'd say it's more down to what sort of 'business' it is, is it a hobby you're making a bit of pocket money from or is it your way of earning a living? If it's pocket money I'd not ask family and friends to pay for a one off but if this is a business venture you're hoping to be able live off without any other main job then I'd hope my family and friends would understand why I'd ask for full payment like everyone else.

I always charge the same. And treat friends and family exactly the same as I treat my customers. They are still expected to pay their 50% deposits and send through their images within 48 hours of their order.

@MrsWombat, you're a decent person, who doesn't have a talented relative making something you want.

Grabby fuckers are always grabby fuckers and will grab what they csn for free regardless of what the item cost the maker.

If it’s making masks then just give them to your family. They don’t cost that much to make. I’ve been making them too and haven’t sold any but given away whatever my family have shown an interest in. I’d like to actually sell some but there’s a lot of competition right now.

I’d be really embarrassed to knock a £1 off or whatever for family or friends.