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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

To tell the client it’s not my job to subsidise his business ?

145 replies

RunningSME · 16/08/2022 21:44

I had somebody approach me today about providing him with a service so we started to discuss what I could do for him and they really like the sound of it until we got to the stage where we were negotiating fees.

I told him what I would charge everybody else and that is the truth I have 60 clients who will pay the same amount, some pay in advance upfront, mostly they pay on completion of the deal.
he’s replied that they work on tight margins despite having previously told me that one employee generates £6000 a week in profit.

Apparently my competitors charge 25% less.

I won’t say this of course but I really want to reply I’m a bloody single mum from Warrington why is it my job to subsidise your business ?

you wouldn’t walk into Marks And Spencers and ask them to supply you with a sandwich and then tell them that you want to pay 25% less because you can’t afford it they’d laugh in your face.

OP posts:
Hopeandlove · 16/08/2022 23:16

Don't ghost him -that's bad PR.

Email

Dear X

Nice to meet with you today. However, just to reiterate that the fee is not open to further negotiation. I come highly recommended and sought after, like yourselves, I pride myself on my tight margins. You know my skills and what I am offering.

If you wish you proceed, I can issue an invoice that must be settled in advance.

Kind regards
x

Summerfun54321 · 16/08/2022 23:20

Clients who want something for nothing are just massive time wasters and you don’t want to work for them. You’ve been professional and dismissed him but try not to get wound up by it, it’s not personal it’s just how some people are.

DaSilvaP · 16/08/2022 23:34

Anyone trying that kind of negotiating tactics with me would be requested to remove my contact details from their phonebook.
You have to learn to cut timewasting at an early stage.

Starseeking · 16/08/2022 23:34

OnTheVergeOfABreakdown · 16/08/2022 22:26

I'd reply to his 'can't afford it' message with 'thank you for your interest in our business/service. All the best for the future'. That kind of thing

Absolutely this is your reply. You never know who he may discuss your business with, so it's a good idea to leave a professional impression, even though he's not getting the requested discount.

SwedeCarrotLime · 16/08/2022 23:36

You’re going to have to grow a thicker skin, OP. It’s irrelevant that you’re a single parent. He wants to pay as little as possible. Your response was perfect. Now consider what several pp have said about putting your prices up if this is the first time anyone has ever tried to negotiate!

5zeds · 16/08/2022 23:37

Just reiterate your rates and say you’d be happy to work with him on those terms otherwise you wish him well. It’s not personal. If he has been offered 25% less and would rather you did it but can’t justify the step up he has to ask.

Siepie · 16/08/2022 23:38

It's not your job to subsidise his business. But equally, it's not his job to subsidise a single mum or your small business. Professional negotiations aren't that personal. It's fine for him to negotiate, and it's fine for you to say no.

Supersimkin2 · 16/08/2022 23:46

He’s trying it on. Not personal. Say no. Not personal.

MaChienEstUnDick · 16/08/2022 23:46

If this is the first time someone's queried your rates, then your rates are too low. Honestly. Get them up by 10%.

Some clients just can't sleep unless they feel they've haggled, I have that already built into my rates.

EscapeRoomToTheSun · 16/08/2022 23:49

RunningSME · 16/08/2022 21:59

that’s reassuring as I say it’s just the first time anybody said anything other than how marvellous that would be lovely, when will we receive your invoice 🤣

Show quote history

If this is the first time maybe you're charging too little!

AshTrees · 16/08/2022 23:59

I agree you are clearly too cheap now. I'd also add on 5% to your prices which is there to be negotiated away. It gives the hagglers something to play with and for work you really want you can say something like "I'm really excited to work with you on this project so I am willing to offer you a 5% discount if you are able to pay in advance" which earns you goodwill.

Justwantanicepeacfulholiday · 17/08/2022 00:05

Can’t believe you’ve never had clients try to negotiate before. I run a business and I’ve had a few who’ve tried to negotiate. Generally they’ve not been the right clients for me if they’ve pushed hard - I have tight margins and try to keep my upfront prices wysiwyg.

I’ve worked for businesses in the past where everything was negotiable, and you’d have been daft not to ask, but totally different sector.

Nothing to get offended about, just don’t take the contract if you don’t want it.

Justwantanicepeacfulholiday · 17/08/2022 00:05

MaChienEstUnDick · 16/08/2022 23:46

If this is the first time someone's queried your rates, then your rates are too low. Honestly. Get them up by 10%.

Some clients just can't sleep unless they feel they've haggled, I have that already built into my rates.

Also this!

Dancingwithhyenas · 17/08/2022 00:06

Don’t take someone negotiating personally. It’s very normal in business and just him doing his job as you are doing yours. It’s perfectly okay to say no, just as it’s okay for him to ask.

Cloverforever · 17/08/2022 00:10

Please don't play the single mum card again OP, it's irrelevant and embarrassing.

Goawayangryman · 17/08/2022 00:13

Arf at the idea that you should try and sell to him by stating your selling points. Absolutely not. Do not do the business equivalent of the pick me dance...

What you replied is perfect. When you get the reflex female urge to appease and please, picture this pillock reclining on a pool lounger whilst you are working all hours to finish his order. And then mentally puncture his pool lounger...m

expat101 · 17/08/2022 00:21

We run a small business too, and back up any discussions with written quotes and confirmation letters which contain our terms of trade. If people don't like the quote or our terms, then they do not need to use our business.

Likewise, if there is a cheaper alternative for the client, thank them for the opportunity to discuss their needs and wish them all the best and move on. You don't need to justify your business costings to anyone else apart from your accountant and bank manager (when required).

Yes you will always get someone who wants to try it on. Haggling is accepted in some aspects, it just doesn't have to be in your line of work.

ps just a tip, we have recently been increasing the detail of what we write in our terms of trade through experience. It pays to look at what your suppliers terms of trade are to get an idea of what you could include in yours. One of ours is debt collection costs for any outstanding amounts because unless you state it from the get go, where we live you cannot charge it afterwards if it wasn't contained in the orginal terms of trade...

Itsfridaynightok · 17/08/2022 00:24

He can't afford you but others can. Simple

SkiingIsHeaven · 17/08/2022 00:26

You need to say that you are sorry but that is the price.

Then if they accept, get the money before you release the information or send the goods. They will try again and if you have given what they ask for they have nothing to lose. They will know that it is not worth your time chasing the last bit. They will drag it out in the hope that you will give up.

I speak for experience. Although I never stop chasing the money until it is paid.

Know your worth.

TongueTwistr · 17/08/2022 00:30

Everyone's cost of doing business is different, the price you charge is based upon the value you bring. Some people deliberately quote very high 10% of the time, just to test the market - a friend is a van driver and when diesel prices rocketed some customers accepted an increase and other expected him to cover the cost.
Anyone who prides themself on always winning the business, will end up with some loss-making contracts.
If you have plenty of satisfied customers, then I wouldn't waste time on those who can't understand a non-negotiable quote.

MsMcGonagall · 17/08/2022 00:34

I definitely wouldn't mention being a single mum. It's just about the value of your time/expertise.

I was freelance once, I turned down a few clients including one that suggested a cheeky price. No sorry nice to meet you.

I actually had 2 rates, both expensive but the slightly lower one for clients I knew had less money but I liked them. So those clients knew that other clients were paying the higher rate, I guess they might have felt gratified/ sense of relative bargain.

WrongWayApricot · 17/08/2022 00:42

you wouldn’t walk into Marks And Spencers and ask them to supply you with a sandwich and then tell them that you want to pay 25% less because you can’t afford it

🌸This isn't just begging, this is M&S begging 🌸

SuperCamp · 17/08/2022 00:45

You know your value so just stick to it.

Yes you do need a thicker skin, and it will serve you well. It is 100% normal to try and push a price down. You might want to do it yourself one day.

Just say ‘well I’d love to work with you but it doesn’t work for me to go lower on price. Have a think and let me know. If not, best wishes anyway’

It’s not personal. And for the love of god stop bringing your single mum status into it. Fantastic ad it is that you have 60 clients and a great reputation while running a single parent household, your clients are not there to subsidise your hardships. They are interested in a good service for the money, that’s it!

I hope he engages you and pays. He probably will if you don’t get huffy.

ihatebojo · 17/08/2022 00:51

WrongWayApricot · 17/08/2022 00:42

you wouldn’t walk into Marks And Spencers and ask them to supply you with a sandwich and then tell them that you want to pay 25% less because you can’t afford it

🌸This isn't just begging, this is M&S begging 🌸

GrinGrin

mjf981 · 17/08/2022 00:51

YABU, and I agree that ghosting him is poor form and reflects badly on you/your business. This is just a normal part of business. A short reply thanking him for his interest and saying to let you know if he wishes to proceed at the price quoted.