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Listening Time:

39 min

Episode 40: Why and How to Get Out of the Trap of Billing Hourly—with Jonathan Stark

In this Craft of Consulting podcast episode, I interview Jonathan Stark. He is a former software developer and consultant who is now on a mission to rid the world of hourly billing. In his first year as a solo consultant, Jonathan doubled his income by replacing hourly billing with value pricing. Now he coaches independent professionals as they transition from hourly billing to value-based and other pricing models. In addition to hosting the Ditching Hourly weekly podcast, Jonathan is the author of Hourly Billing is Nuts and writes a daily newsletter on pricing for independent professionals. In today’s episode, Jonathan explains how value pricing can dramatically increase your profits; decrease your labor; and, most importantly, increase your clients’ satisfaction.


Jonathan Stark

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Episode Details

Jonathan shares over a decade of real-world experience successfully applying value pricing to his own consulting work and coaching hundreds of independent professionals on alternatives to hourly billing. In this podcast, we talk about:

  • Eliminating the pitfalls of hourly billing for you and your clients

  • Increasing your profit and your clients’ satisfaction with value pricing

  • Focusing sales conversations on the value of business outcomes vs. negotiating rates

  • Figuring out what clients really need vs. what they think they need

  • Setting clients’ expectations about how you’ll interact with them

  • Calculating value pricing for big consulting projects

  • Earning more without working more

  • Eliminating concerns about project changes, scope creep, and budget overruns

  • Transitioning your consulting business from hourly billing to other pricing models

More about Jonathan:

More about Ditching Hourly:

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