I get excited when I hear someone wants to start a service business.
I love when people:
- Recognize that they possess specific skills that can help others
- Invest in training that will help them become self-employed
- Offer their expertise and problem-solving abilities in exchange for money
But I don’t love when these driven individuals make a certain mistake that invites unnecessary frustrations into their workdays. It’s a mistake that weakens their reputations.
What’s a huge service business mistake?
I understand that it’s exciting when a work offer sounds good.
So, when a potential client proposes a project to Joe Service Business, he’ll immediately respond with, “Sure! I can do that!” (or another phrase with a similar sentiment) before he finds out everything he needs to know about the project.
For example, more information about the project may reveal that he’s not the best person for the job or it’s not actually an assignment he’d like to work on.
When you respond to an inquiry and move ahead with a project too quickly, you operate under the assumption that you’ll figure out the details later, as issues arise.
These casual discussions about contract work run rampant in freelance culture. But your service business can only become respected in your industry and a long-term source of income if you stop having them.
If you want to have an exceptional service business, you cannot casually respond to any form of business communication or informally agree to any business transaction.
To be exceptional, you must become a master of assessing, communicating, and managing expectations.
How to start a service business
Competition can be distracting and paralyzing.
When you worry about all the other people who provide similar offerings and how they might charge less expensive rates than you do, it can be difficult to make progress with your service business.
You may even feel pressure to lower your rates to look more “reasonable” or meet the “industry standard.”
There are always going to be service providers who charge less than you do. The trick is realizing that those businesses do not provide the same quality — and they are not your competition.
Ignore “reasonable” and the “industry standard,” and instead play to your strengths. Focus on creating an experience for your clients that they won’t find anywhere else — that is the winning difference that will make them choose to work with you.
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The service business as “go-to collaborator” model
Being yourself in business is important. You don’t want to abandon your personality and become bland.
But you need to overcome the tendency I mentioned above where you impulsively respond to a prospective client as if he is your friend.
Instead, you want your prospective client to view you as a business peer.
In order to achieve that, you must:
- Demonstrate you’re dedicated to producing the best-possible final product
- Outline the details you consider when evaluating a new project
- Communicate that clients must agree to your terms of service
Those three actions allow plenty of room for passion and enthusiasm, but they also reveal that you:
- Take your business seriously
- Offer a premium service
- Enforce a clear contract or work agreement
This model attracts prospects who respect you.
For example, if you’re a real estate photographer, your realtor clients will see you as their “go-to collaborator.” When they have a new property that needs photos or a 3D virtual tour, your service business will naturally help them sell that property faster.
Initiate a project assessment that communicates professionalism
While gathering information about a project helps you decide if it’s the right fit for your business, it also allows you to tailor your service — before a client has given you any money — in a way that justifies the premium you will charge in exchange for your ongoing exceptional work.
You’ll convey that you’re highly focused on your client’s business goals — and that you may have even given those goals more consideration than he has.
I’m going to give specific examples of factors a content marketer — let’s call her Penelope — might consider when assessing a potential writing project. But these questions can be adapted to any type of service business:
- Does the client have a budget for this project? If so, what is it?
- What’s the client’s business goal?
- How does this project fit into the client’s marketing strategy?
- Has the client produced or commissioned similar projects in the past? Did the projects meet his goals? If not, what does he wish would have happened instead?
- Does the client have examples he likes?
- Will the client supply any materials needed to complete the project?
- What’s the client’s desired length or word count? Does it matter for this project? If not, what aspects are more important?
- Does the client intend to make any alterations to the completed project (i.e., edits to the text)? Or, is there any subsequent work the client or other service providers will perform related to this project (i.e., formatting, graphic design)?
- Is this a project that could lead to regular work (daily, weekly, monthly), or is this a one-time task?
- When is the project due — what’s the client’s desired deadline?
A note about deadlines
A client may say he has no deadline preference and then get angry at you when you don’t complete your project by a certain day and time.
Even though that sounds nonsensical, it happens.
If your client is vague about a deadline, set a precise one yourself based on the information you gather about the project. Then tell your client when the project will be completed.
Since meeting deadlines is non-negotiable for you, you’ll meet (or beat) the deadline.
Present terms of service that tip the scales in your favor
Continuing with the example from above, when Penelope Content Marketer presents her project fee, she’ll give her client a terms of service agreement with:
- A detailed description of her goals for the project
- How her service business will specifically meet each goal
- A word-count range or approximate length (i.e., an article that’s 1,000 to 1,500 words or a brochure that’s three-to-four pages)
- Her project deadline — the date and time she will return the completed project
- The number of revisions included in her price
- Payment method options and when payment is due
- The best way for the client to contact her if he has a question
- When and how the client will receive a payment transaction receipt
- What will happen if the client cancels the work requested after payment has been made but before the project has been completed
- The extra costs and consequences that will incur if the client has an additional request that goes beyond the terms outlined
Once your client agrees to your terms of service in writing, you have a work contract you can reference if confusion arises.
When you draft your first terms of service, you don’t have to cover every possible scenario related to content marketing for small businesses.
Rather, think of your terms of service as a “living” document you can update with:
- Rules to prevent common problems
- Additional details that help your clients understand your offerings
- Processes that will make your workflows easier
Your business and future clients will both benefit from these revisions to your standard terms of service.
Examples from a digital service business
Before I was Copyblogger’s Editor-in-Chief, I had my own editing and writing business that operated completely online — no in-person meetings, no phone calls.
When you focus on your needs as a service provider first, you help ensure that you can take care of your clients’ needs.
It’s like when flight attendants on an airplane instruct you to first put on your own oxygen mask before helping others.
Part of my terms of service and payment policy for editing work included:
- My business hours: when I would reply to emails, send invoices, and return completed projects
- A 24-hour time frame when payment needed to be made after I sent an invoice, which allowed me to begin all my work with confidence, rather than wondering if a client forgot about my invoice or when he would pay me
- The financial penalty that would incur if a writer wanted me to review a different version of a document after payment was made and I had already started working
Clients were thoroughly informed about doing business with me, and I had stress-free systems in place (such as a blog comment policy) that communicated my needs and boundaries as a service provider.
Looking for more great writing clients who respect your work?
While these tips will get you on the right track when corresponding with potential clients, you may be wondering how to attract more prospects in the first place.
Enter: prospecting.
It’s the proactive technique smart freelancers use to grow their businesses.
However, smart freelancers also don’t want to come across as aggressive or sleazy when promoting the services they offer.
That’s why we advocate for thoughtful prospecting inside Copyblogger Academy. It’s a habit that helps you continually get in front of new clients.
Resources that help your service business thrive, delivered directly to your inbox
If you’re looking to strengthen your writing skills in practical and effective ways, we’d love to guide you to the best resources each week.
Because when you get the exact right information, you can immediately begin to up your game as a content writer. And that’s what’s going to get you the results you want.
The written word drives the web. It always has, and it always will.
Even if you’re working with audio or video, the right words are still what make the difference.
Words drive:
- Engagement
- Customer experience
- Sales, growth, and profit
And if you want to master the art of using words to drive service business results, you’ve come to the perfect place. Copyblogger has helped accelerate the careers of writers just like you since 2006.
Reader Comments (40)
Amy Thiessen says
Stephanie, this is AWESOME information. As a social media manager with a design background, it is tempting to agree to take on all sorts of projects. I’ve realized that this a major disservice to myself (and to clients!), when I focus on what I’m really good at- my clients receive exceptional work, and everyone is happy!
Stefanie Flaxman says
Thanks, Amy!
It definitely takes time and experience to narrow down the work you really want to focus on. Sounds like you’re in the right groove now!
Jayne Bodell says
Sometimes I read information at the right time in my life, and this time is one of those times. Thank you.
I think as starting out freelancers or single business owners, we tend to cut corners when mapping out our business agreements because we’re hungry for business.
This is a good reminder to act professional and remind yourself that you “belong at the table.”
Stefanie Flaxman says
Well put, Jayne!
Sarah Murphy says
Super helpful article. I can see lots of applications for this advice – I’m sure I’ll be referring to this article again and again. The information around deadlines was particularly useful. Thanks so much for sharing!
Kevin Katzenberg says
I think a lot of it really boils down to being honest and creating a position of preeminence; like Jay Abraham says. If you firm isn’t right for the job or you don’t have experience in a particular area, be up front and honest with the client.
Don’t try and fluff your way through a job you can’t handle.
They will respect you more for being honest.
I have gotten a few jobs by telling a client I may not be the guy for your project as you see it, but maybe this other avenue may be a better fit for your business; if it really is better for them.
And, I also can attest to the fact of setting a deadline even if the client says it doesn’t matter. I’ve been in too many projects where the client says it doesn’t matter and a couple weeks in they are wondering why you’re not done yet.
I always force myself to a time frame and have the client agree on it. It always saves headaches in the end.
Kevin
Stefanie Flaxman says
Thanks for the insights, Kevin!
Don Mead says
Offering any professional service benefits from the professional having at least some basic sales skills. You can offer quality service but if you don’t have the ability to sell yourself as the consummate professional, no one will know how good you are. Everyone thinks they offer the best service and can document this but often it is hard to set yourself apart just based on documentation (work examples.) In today’s gig economy competition is fierce, and the people who stay busy, no matter what service they provide, learned how to market and sell their service. You should always endeavor to provide quality service, but as Stefanie says, you have to craft a winning pitch. I wish she could have shared a few examples of her winning pitches to prospective clients.
For whatever its worth here is one suggestion – listen carefully to understand your prospective clients’ needs and expectations; ask questions that genuinely show interest and comprehension of what those needs and expectations are; and, then close the sale by explaining how you are uniquely qualified to meet those needs and expectations. If you can’t close the sale, then immediately go back and ask more questions to find out what need or expectation you failed to satisfy in your initial closing pitch, address it and then try to close again. Often you have to deal with gatekeepers and it is challenging to get past them to talk to the decision maker. Again, maybe Stefanie has some suggestions or tactics she has used. Good luck everyone!
Can anyone point me in the right direction to find a terms of service and/or work agreement that can be imported into Microsoft Word? I prefer to start with a basic framework that I can customize as needed. I also prefer not to hire an attorney to draft a document that needs to be customized each time. Thanks!
Stefanie Flaxman says
Don,
Thanks for highlighting that successful service providers need to excel at selling their services in addition to performing excellent work.
Jody Sabo says
AWAI has an inexpensive set of docs and templates you can use for contracts, etc. I think it’s around $30. I’ve bought their stuff before and been happy with it. They have a full refund policy if you’re not. Might be worth a look for you.
Don Mead says
I found it. Thanks Jody!
Larry Maguire says
Hi Stefanie
Some good advice there. I think the biggest problem small service business owners face is themselves. Setting oneself up as a professional respected and valuable provider is often down to setting the right frame of mind. We often believe that being the cheapest is the best policy, and we also often believe the terms and conditions turn buyers off. Both are flawed ideas.
Like you said, offering a clear and enforceable work agreement and deciding that lower priced offerings are not your competition are two critical components.
I listened to an awesome audio book a couple years ago that I love to tell people about, it’s called “Selling The Invisible” by Harry Beckwith and it details how to market and sell services. Have you read/listened to it?
– Larry
Stefanie Flaxman says
Larry,
I’ve never read “Selling the Invisible” — thanks for the recommendation! Great title. 🙂
Christopher P Johnson says
This is a very good article.
I’d add a couple of things:
-we give a strict deadline to accept an offer. We warn clients first and let them know. We can’t work with clients that can’t make decisions and don’t think we’re the obvious choice. If the time expires, we don’t work with them for a minimum of a year., and I’m disinclined to work with them anyway.
-We have some commitments to understanding that a delay in feedback on their part isn’t a 1:1 situation on our part. Meaning if they don’t get out of pre-production on Friday then it may be an entire 2 weeks before we can get them into production. This has to be signed off on before we work with them (or else our model fails).
Anyway, fantastic article.
Stefanie Flaxman says
Thanks for sharing, Christopher!
Arooj says
Wonderful information! However, I just wanted to add on to the conversation that at networking events, you only have a few minutes to explain what you do and what your business does. I think an elevator pitch is appropriate at that time, and that it’s very important to know. An elevator pitch should only be 30 seconds to a minute long, and should cover the basics of what you do and how it can help the person you are talking to.
Stefanie Flaxman says
Absolutely, Arooj!
Abhyudaya Tripathi says
Thanks Stefanie for sharing your perspectives. Being engaged in business, I realized that keeping eyes on your competitors is pretty crucial, but when it comes to dealing with prospects, we must strive to create an experience that they can’t get from anywhere else. If we do this for them, rates won’t matter.
Matthew Rose says
I absolutely love the “are you cheap, or are you exceptional” portion. I had to fight a little bit with my business partner on this one in getting the “exceptional” mindset. We actually do offer exceptional service, but at times, your brain will fight with that idea if you have any subconscious limiting beliefs. Lucky for me, I’ve been blessed with great coaching 🙂 Great article Stefanie!
Walter says
What a great article Stefanie. I always strive for exceptional as it pays off much better in the end!
Christopher Treder says
This information appears very useful for me, as I will soon be starting a music lessons business.
Thank you for your knowledge and expertise!
Sherene Strahan says
This is me – this is ME! It happened again in a meeting this week. I got so excited hearing about a potential client’s ambitions for using brand storytelling in a website makeover that I just focused on the stories and how we might tell them. And as much as I enjoyed our discussions, I came away from it feeling terrified because I knew there was no clear brief, no discussion of scope and no agreement on fees. And worst of all? I didn’t know how to bring the project to the start line with those parameters established.
As a newcomer to marketing (ex TV journalist) I’ve been driven by the story opportunities I see, and I didn’t know how to incorporate the necessities of business. This helps A LOT. Thanks.
Stefanie Flaxman says
Thanks for the detailed example, Sherene! It’s so easy to get carried away with the creative aspects of a project.
I’m sorry that had to happen, but it’s great that you recognize your opportunity to fine-tune your approach going forward. 🙂
Rana says
I love this series of articles, really!
Being in the service business as a wellness practitioner and life coach, it’s hard work to differentiate yourself from the masses.
I agree with don mead, everybody promotes himself through a website and they can write whatever so that making it for a prospect even harder to choose.
Even how clients dictate price because that’s what they know and pay everywhere.
To grow your exceptional niche business takes time, perseverance and client loyalty.
Dan says
Generally, I don’t try to check all day long what the others are doing in my niche, I like to do this from time to time, but not very often.
My work needs to surface above the others by simply providing the best services to my clients.
It took me about six months to truly start gaining a good portfolio of clients, but now after reaching some good results with my first clients, my business works by itself.
Gidget Hall says
This! All of this. Having such tools as discovery questionnaires at the ready has saved me endless grief. The moment a prospect tells me something like, “I can’t answer any of these questions on my marketing goals, we were hoping you could do that,” that one tool and practice has paid for itself in the time and effort to set it up.
It doesn’t always mean the end of the conversation, but it’s a big red flag. If they realize that creating a series of articles with no clear purpose for what those articles are meant to gain them, I can instead propose helping them develop their strategy to start.
But if they insist that they can get “any writer” to write their articles who “don’t need to worry about my strategy,” then they are not the client for me, and I am not the writer for them.
Hard to hit a target your client doesn’t have, and gigs like that quickly turn into nothing but misery. Nope!
Stefanie Flaxman says
Thanks for sharing, Gidget!
I love that you highlight how running a writing business requires much more savvy than just being a good writer. 🙂
Tom Randal says
Thanks, Stefanie, for the in-depth article. One point that struck home is that one ought to fight the natural urge to respond to the prospective client as if s/he were your friend. Responding professionally and setting your terms of service is far likely to bear better fruit than dealing with the client casually. Nice work. Excellent piece.
Stefanie Flaxman says
Thanks, Tom!
Exactly. The small mindset shift sets you up for better, long-term client relationships. 🙂
Alex says
Thanks a lot Stefanie! Impressing and scoring your next client is essential for building a successful business. By understanding their needs and exceeding their expectations, you can create a lasting impression and secure long-term partnerships. Remember, it’s not just about the initial sale, it’s about building a strong relationship with your clients that will lead to repeat business and positive word-of-mouth advertising. I loved the way you have explained this blog!
sandini says
As a starting freelancer or small business owner, it can be tempting to skimp on formalizing agreements in the pursuit of acquiring clients. However, it’s important to remember to maintain a professional demeanor and approach, and to recognize that your business is just as valid and worthy as any established enterprise. By approaching all interactions and negotiations with confidence and integrity, you can ensure that you are viewed as a valued and respected member of the industry.
rashmi sharma says
Stephanie, this is some great info right here. As a social media manager with a design background, it can be tough to say no to all kinds of projects. But I’ve learned that it’s important to focus on what I’m really good at, cause that way both my clients and I are happy! I mean, when I do what I’m good at, the work I deliver is top-notch and everyone walks away happy.
Rodney Sykes says
Great post, Stefanie! I particularly appreciated your emphasis on assessing and managing expectations before agreeing to a project. As a service business owner, it’s easy to get caught up in the excitement of a new opportunity, but it’s important to take the time to fully understand the project requirements and ensure that it aligns with your business goals and capabilities. Your tips on focusing on creating a unique experience for clients and being a “go-to collaborator” are also spot on. Thanks for sharing your insights!
Joshua Rodenburg says
Thank you for your article. The section that spoke best to me was where you mentioned the three characteristics that make me stand out:
Take your business seriously
Offer a premium service
Enforce a clear contract or work agreement
That 2nd one is where I have been speaking to a lot of people and asking friends in business what they think. I am pricing my website at a premium price because I already work a full-time job and digital marketing is a side income. I guess time will tell if I am going to get too much volume and not get paid enough for it.
Jay Tinker says
Great insights on starting a successful service business! One mistake I see many entrepreneurs make is jumping into projects without fully understanding the scope and requirements. It’s crucial to assess, communicate, and manage expectations to avoid frustration and maintain a strong reputation. Competition should not be a factor in setting rates, instead focus on providing a unique and high-quality experience for your clients.
Raza says
Insightful writing piece that accurately tells how to create something that engages clients.
Fateh says
Great article! The tips you shared on how to create a winning service business pitch are spot-on. Your focus on understanding the client’s needs and tailoring the pitch accordingly is especially insightful. I will definitely be incorporating these strategies into my own business pitches. Thanks for sharing!
Charlotte Ana says
What a great article Stefanie. I always strive for exceptional as it pays off much better in the end!
Brian Weathers says
Stephanie, this article is spot on… But now it seems that the market is being flooded with newbies in SEO, Marketing and Content Writing especially with all of the AI writing software available… How do you see AI impacting the market?
Thanks Again!
Stefanie Flaxman says
Great question, Brian! AWAI is holding a special briefing on this topic on Friday, February 3.
It’s called “Is AI About to Replace Human Writers?”
If you have a chance, I’d check it out! Link below …
https://www.awai.com/signup/special-briefing/
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