If you read my report The 10 Biggest Mistakes Contractors Make, you should remember that Mistake No. 9 was pricing your work too cheap.

Today, I'm going to show you how to systematically determine the price your prospect is willing to pay based on the service you are offering, the characteristics of the project, and the type of client you are pitching to.

Most contractors are CONVINCED they know what their market is willing to pay. Yet, when I get the opportunity to analyze their data collection systems, I discover there is a glaring hole in their information. There is no possible way they could really know the best price to offer a prospect.

I see the same problem when looking into contractors'job costing systems. Most simply do not collect enough data to know how their costs vary by project type and size (Mistake No. 6).

Raising Prices is the Fastest Way to Juice Your Bottom Line
The two main reasons contractors offer low prices are:

1. They are afraid they will lose the job.
2. They don't have hard data to guide their pricing decisions.

Fixing the second problem usually eliminates the first.