Contracts for Entrepreneurs: Yes, You Need Them!
Freelancers and entrepreneurs wear many hats. By necessity, one of those hats must be “Contract Negotiator”. I, for one don’t want to trust my best interests to an outsider. In my past life with larger companies, the final say always remained with the person in charge; quite often the business owner, even if the bulk of the negotiations were managed by staff members who had earned their trust.
As I, like many entrepreneurs and freelancers, don’t employ a large, diverse staff, I’m grateful for the experiences I had as an accountant and a member of the proposal team which taught me how and where to find negotiable vs. non-negotiable aspects of a contract.
Recently, I had the opportunity to enter negotiations for what could have been a lucrative, long-term writing engagement. Unfortunately, they’d accepted my pricing under false assumptions, though those assumptions were no one’s fault. They simply expected my prices to include things which were time consuming, and not a part of my original calculations.
I set my prices based on writing the piece, a couple of edits, and a reasonable amount of research, assuming the project owner shares their own knowledge of the topic. I learned this time that a client might actually have a reasonable amount of knowledge on the topic (or why would they want me to write about it in the first place?) but instead of sharing what they know, wants the writer to do their own extensive research.
Pricing so You and Your Clients Get the Most for the Money
I don’t doubt they have valid reasons behind their expectations, but research is time, and time is
money, or at the very least, earning and learning potential. Developing search criteria, following leads, reading articles, gathering references and links: it all takes time. The experience made me realize perhaps I do need to think about creating a price list for clients who want me to do their research for them.
I’m learning every interaction with clients and potential clients teaches me something about contract negotiation. Every time I get burned by a client who expects more time and energy than I’d allowed for teaches me to add clauses to my contract. Every potential client who wants more for my rates than I’d counted on teaches me to look carefully at my rates once more to determine whether I have a little wiggle room (typically, I don’t) to accommodate their requirements.
I also learn how to recognize the red flags which warn me of a time suck or problem child. Though I sell my writing skills, the basis of those skills is my time, and I have a limited amount to sell. I have to ensure I am maximizing my time and making at least the hourly rate I have in my head. I know I have allotted a specific number of hours for writing, editing, and researching into my pricing. Recognizing when someone expects more than what I’m estimating is a key to maximizing my time and using it where it will yield the best results for both me and my clients.
In my mind, contract negotiation isn’t all about getting the most money for a job, or, as in my government contracting days, setting the price a little high so I have room to bring it down to win a contract. It’s about ensuring I’m providing the best possible service for my clients at a price that’s fair and reasonable to both parties. To do that, I’ve learned not to allow the expectations of others to make me question my own price structure.
The Value of Writing Depends on Who You Talk To
Writing is one of those commodities which is valued on a broad scale. Those who’ve learned and can quantify what consistent, relevant content does for their site traffic understand the value of allocating a certain share of their advertising and marketing budget to quality writers. Those who either haven’t published enough content to see the numbers, or who haven’t connected content to increases in traffic will be more likely to undervalue the contribution, as well as the amount of time spent writing, editing, and researching.
Which brings up what I consider an important aspect of my own marketing: knowing and understanding my target audience. Suddenly I realize contract negotiation doesn’t begin when someone thinks your prices are fair, and begins discussing the details of the project. It begins with attracting the right people for the time and effort you’re offering!
In my case, I realized after an unsuccessful negotiation that I want and need to work with people who do their own homework, know their own product, and need someone like me to do the writing and editing, with a small amount of research to find sources and check facts. I have no issue with those who want to toss a topic over the fence and have me do all the research, provided they’re willing to pay for my time.
The truth is, I really enjoy doing research, and am actually quite efficient. To be honest, anything is more interesting to research than tax law, if you ask me, and I spent a lot of time doing that, and doing it well.
Letting the Bad Experiences Become Lessons
Above all, every experience yields a lesson. Sometimes the lesson teaches me how to improve 
my focus, and others it teaches me how to weed out those who essentially expect more for less. In life, I know I don’t appeal to everyone, and have learned I’m OK with that. I don’t want to be a “one size fits all”. The same is true with my business. I want to work with people who appreciate quality work and are willing to pay for the time to get it.
I’m not going to appeal to everyone business-wise any more than every business who needs a writer is going to appeal to me. It’s important to remind myself there’s enough work for everyone, and each of us has their own areas of expertise. Why take a job if the only reason for taking it is because I need the money? In the long run, neither I or the client will be happy with the results. Doing a drastic 180 career-wise was inspired by a desire to do what makes me happy. I’m not going to reverse direction at this stage of the game.
About the Author
Sheri Conaway is a writer, blogger, ghostwriter, and an advocate for cats and mental health. Sheri 
believes in the Laws of Attraction, but only if you are a participant rather than just an observer. Her mission is to Make Vulnerable Beautiful and help entrepreneurs touch the souls of their readers and clients so they can increase their impact and their income. If you’d like to have her write for you, please visit her Hire Me page for more information. You can also find her on Facebook Sheri Levenstein-Conaway Author. And check out her new group, Putting Your Whole Heart Forward.
Be sure to watch this space for news of the upcoming release of ” Rebuilding After Suicide”.
