As accounting professionals, from bookkeepers to accountants and CPAs, your training will lead you to go straight to the numbers when you want to introduce a new service to your clients.
But what if creating a profitable revenue stream requires you to go beyond the numbers?
Price definitely plays a part in attracting and keeping clients. It is true regardless of the industry. Let’s take retail for example. Walmart is the low-price competitor and markets themselves that way (their slogan is “Save Money. Live Better”). They need a large volume of transactions to be profitable. Nordstrom, on the other hand, sells higher priced items and does not compete on price. Nordstrom is known for its service rather than low prices. Anyone who shops at either Walmart or Nordstrom understands the different value they will receive by entering each store and are happy to pay the stated price in either circumstance.
At Finagraph, we strive to make cash flow forecasting and management a fundamental service for accounting professionals to provide their business clients. So how do you price these services (called ‘cash flow advisory’ services) either as part of a package or as a standalone service?
Start by going beyond the price you charge, and lead with the value you add.
Consider the following when developing your price for cash flow advisory services:
Earlier we used Walmart and Nordstrom as a pricing example. How about we give you an example a little closer to home? Another professional service.
Let’s say you want to protect your proprietary business process. Which attorney would your hire to research and register your intellectual property? Would you hire an attorney that provides everything from criminal litigation and business contract reviews to intellectual property to handle this task? Probably not. You would hire an individual attorney or a firm that specializes in intellectual property. Why? Because that person or firm has the depth of experience and expertise to navigate the challenges of the intellectual property landscape. That narrow focus of service commands a higher price because of the peace of mind and guidance they provided (value).
Your expertise and experience to provide cash flow advisory services is no different. And your price should be a reflection of that value.
Getting insights around pricing and being able to deliver a cash flow forecast in minutes are just some of the benefits of being a CashFlowTool Accountant Partner. Schedule a demo with our team to find out more.