Ask the Cubicle Expat: Any tips for negotiating price?

January 24th, 2007

OK, time for a new site feature: Ask the Cubicle Expat. Since friends, family, and former students call and write me all the time asking all sorts of questions about self-employment — from paying their taxes to nixing procrastination to firing nightmare clients — I thought I’d start sharing my answers with you. If you want to get in on the asking action, drop me a note with your question.

Today’s question recently appeared in my inbox from a friend who’s brand new to freelancing. It went something like this:

Freelance friend in distress: I’m about to negotiate freelance rates for the first time. I was hoping to make $[insert decent pay here] per each of the articles I agreed to write for this rinky-dink publication, which is what my friend, who also freelances for said rinky-dink publication, makes. But now the editor is talking about paying me a third of that amount, which is way below what anyone else in town pays for this sort of work. Help me Obi-Wan, you’re my only hope.

Cubicle Expat to the rescue: First breathe, then pick up the phone and dial. Then tell the editor you normally make however much you want per article, which you know the publication can pay, as your friend is getting that amount. (Subtext: By comparison, Dear Editor, you’re offering me peanuts, and clearly the other editors that I work with think I’m worth far more.) Dear Editor doesn’t need to know that s/he is your freelance first.

I wouldn’t say, “I know you pay so-and-so this much,” because that might ruffle Dear Editor’s feathers. Plus, there are laws against price fixing (i.e., conspiring with other businesspeople to charge a predetermined rate). And don’t bother mentioning how you need the money for your electric bill because Dear Editor won’t give a whit. It’s unprofessional to cry poverty. The only way Dear Editor is going to pay you more is if s/he feels you bring some value to the table, and I’m not talking about your paid utility bill.

In the future, don’t agree to the assignment or project (which it sounds like you you may have accidentally done) until you’ve agreed to a price. I mean, you can make it sound like you’re game for the proposed project by saying “Yes, I’m interested in that…” (which most editors or managers will want to hear). But don’t agree to get into bed with them until the money’s worked out.

If Dear Editor won’t come up in price and you haven’t already promised you’d do the job, you can always turn down the project. Nothing wrong with that. Happens all the time.

If you, too, have a question you want the Cubicle Expat to answer, send it my way. Let me know if you want me to use your name and link to your site, or if you want to remain anon. I’ll try to answer at least a question a week.

Entry Filed under: Ask the Cubicle Expat