Careful territory.
WHERE IT HELPS
Structuring the calculation Identifying costs you may have omitted Explaining pricing approaches Modelling scenarios you specify
WHERE IT DOES NOT
Telling you what to charge Knowing your market Knowing what customers will pay
THE COST QUESTION
"What costs should I include when pricing [service]? What do people typically forget?"
Genuinely useful. Most underpricing comes from omitted costs.
WHAT PEOPLE FORGET
Their own time Travel Administration and invoicing Non-billable time Payment fees Rework
MODELLING
"If my costs are X and I want a margin of Y, what price is needed?"
Check the arithmetic yourself.
WHAT NEVER TO ACCEPT
A price the model suggested Market rate figures it produced
Those are invented.
WHAT TO DO INSTEAD
Calculate your costs properly. Look at what competitors actually charge, from their sites.
Decide deliberately.
THE HONEST ADVICE
Most small businesses underprice. AI can help you see why.
