5 Money Mistakes Even Smart Coaches Make
5 Money Mistakes Even Smart Coaches Make
Coaching is one of the most transformative services on the planet. So, why the heck are so many coaches making less than $50,000/year?
Coaches (and healers, and consultants, and trainers, and many other experts) often make money mistakes that don’t just hurt them, but hurt their potential clients as well.
Coaches (even smart ones!) make these top 5 money mistakes, and transforming these will allow you to elevate your business. (Hint: This works for healers, consultants, and trainers too!)
Money Mistake #1: YOU Pricing
I remember many years ago, a friend of mine applied to work in a high-end clothing store. She was a hard worker, and willing to do what it takes. However, she had had numerous struggles in her life, and was used to ‘just getting by.’ What happened when she applied?
She didn’t get the job. The manager told her (gently) ‘I don’t think you can convince someone that they should spend $100 on a shirt.’ The manager was right.
Her values didn’t include $100 for a piece of clothing, so for her to invite someone to spend that much would have been out of character.
If you’re used to spending money on transformation (and you probably are!) good for you. However, you may not be used to spending money on yourself. And that will impact your ability to invite others to spend money on your services.
If you price based on how you expect them to feel about YOU, you will almost certainly underprice.
Money Mistake #2: Selling Time
When you think about making a high-ticket offer – something that has you very well-paid for your time – do you feel like you’re afraid to commit? Perhaps you feel like you can’t guarantee results.When you think about making a high-ticket offer – something that has you very well-paid for your time – do you feel like you’re afraid to commit? Perhaps you feel like you can’t guarantee results.
Or are you afraid that your potential clients won’t commit to a high-ticket offer until they ‘see what you can do.’ So you start out by selling a single session.
The problem is that most people can’t recognize good coaching. They aren’t coaches themselves (or healers or trainers) so they can’t tell from one session how good you are. So they are hesitant to commit to a long-term program based on a session, and you’re still selling sessions (time) for peanuts.
That means that you’re always underpricing the transformation you provide because the value of that transformation will always be greater than the sum of the parts (the time you spend).
Money Mistake #3: Discounting
There are good reasons to offer discounts in your business. There are good reasons to offer discounts in your business.
A reason that’s NOT good is because you’re in a sales conversation and get scared. You choke when it comes time to quote your fees, so you discount.
When you’re not clear on the value you provide, or you have money mindset issues, you WILL be tempted to discount. If you don’t discount, your potential client may pick up on your energy and be hesitant. If you do offer a discount, you’ve lost money.
Either way, the money mindset issues HAVE to go. If you want to get rid of your money mindset issues, join me in the Million-Dollar Mindset Challenge. You’ll get step-by-step guidance to upgrade your Money Mindset in just 5 days so that you can get high-paying clients more easily.
Money Mistake #4: Freelancer Pricing
Pricing and charging, while there are strategic ways to talk about them, still remain big emotional issues for most coaches and healers.
When you think about how much you should receive for working with a client – for an hour, or a month, or through a process… how much do you think you should receive?
Most people think in terms of dollars-per-hour, even if they are selling systems where they deliver 5 or 10 hours of time total.
If you’re pricing to cover just your time working with the client, you’re not giving the business money to handle admin time, marketing time, and the other expenses that business owners incur.
That’s common for freelancers and employees – they figure hourly wages because they don’t have other expenses. But you’re not just a coach or healer, you’re a business owner. That means that pricing needs to be ‘pricing for the business.’
Money Mistake #5: A Hidden Ceiling
You may have an amount of money you really want to make in the next month or the next year. However, you may also have a hidden ceiling.You may have an amount of money you really want to make in the next month or the next year. However, you may also have a hidden ceiling.
I’ve heard things like:
“I can’t imagine charging more than $$$ for my services.”
“I don’t know what it would be like to make more than $5K/month.”
“I’d feel wrong if I made more than _____.”
These hidden ceilings stop the flow of money into your business, and they stop the amount of good you can do in the world.
The way to remove them is to upgrade your money mindset.