The word “negotiations” often has a negative connotation and does not invoke the best emotions in many of us. However, knowing the process and being able to effectively negotiate is a vital skill for any freelancer. This process is not only about squeezing every penny from your client, but also about effectively communicating the shared value and seeking the most desirable solution for both parties. In this article, we provide five negotiation tactics and tips, which will at least give you a glimpse at what this process is all about. Know Your Bottom Line It is absolutely vital to determine the lowest rate that would be acceptable for you before starting to negotiate. This will allow you to feel more comfortable and know the certain boundaries of your pay. You can calculate it rather simply. Firstly, determine how long the project in question will take to complete. Then, determine your potential costs (excluding your time). Also, know how much you have to pay in taxes. Then, the calculation is simple: Your margin = (project costs/hours worked) + tax Also, you can factor in your living costs, which are not counted separately in this formula. Know What Value is for Your Customers Commonly, freelancers tend to think about value from their own perspective; yet that is a mistake, because the clients make the decisions based on their perception of value. When negotiating (or even analyzing) the project, keep in mind two things: what benefits do you create for the client, and what financial impact will your work have on their performance? Knowing answers to these questions are essential in determining your pricing. Business people are all about numbers, and if you manage to show that your work can substantially decrease their costs/increase profit, you should receive an adequate compensation. Allow Yourself a Degree of Freedom It is difficult to expect that you will be able to keep the same rate throughout the negotiation process. Therefore, start higher so that you could allow yourself some wiggle room. This way, you will receive a satisfactory rate even if the client will successfully manage to lower it. Also, the client will feel they have won something through the process. Everyone Must Win At the end of the day, the most important thing is to agree on conditions that will satisfy both parties. Trying to squeeze every dime from the client by far is not the best strategy if you think of freelancing as a long-term career. Most importantly, the client should be able to get what they want, for a price that you are willing to accept (and be happy about). What Works for You? If you have methods that have proven to work for you, please share them with me and our readers! Every story that you share is a valuable lesson for all of us!

1. 4 Negotiation Tactics for Freelancers

2. 4 Negotiation Tactics for Freelancers
• The word “negotiations” often has a negative
connotation and does not invoke the best emotions in
many of us. However, knowing the process and being
able to effectively negotiate is a vital skill for any
freelancer. This process is not only about squeezing
every penny from your client, but also about effectively
communicating the shared value and seeking the most
desirable solution for both parties.
• In this article, we provide five negotiation tactics and
tips, which will at least give you a glimpse at what this
process is all about.

3. Know Your Bottom Line
• It is absolutely vital to determine the lowest rate that
would be acceptable for you before starting to
negotiate. This will allow you to feel more comfortable
and know the certain boundaries of your pay.
• You can calculate it rather simply. Firstly, determine how
long the project in question will take to complete. Then,
determine your potential costs (excluding your time).
Also, know how much you have to pay in taxes. Then,
the calculation is simple:
• Your margin = (project costs/hours worked) + tax
• Also, you can factor in your living costs, which are not
counted separately in this formula.
www.mworker.com

4. Know What Value is for Your
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Customers
• Commonly, freelancers tend to think about value from
their own perspective; yet that is a mistake, because
the clients make the decisions based on their
perception of value. When negotiating (or even
analyzing) the project, keep in mind two things: what
benefits do you create for the client, and what
financial impact will your work have on their
performance?
• Knowing answers to these questions are essential in
determining your pricing. Business people are all about
numbers, and if you manage to show that your work
can substantially decrease their costs/increase profit,
you should receive an adequate compensation.

5. Everyone Must Win
• At the end of the day, the most important
thing is to agree on conditions that will satisfy
both parties. Trying to squeeze every dime
from the client by far is not the best strategy if
you think of freelancing as a long-term career.
Most importantly, the client should be able to
get what they want, for a price that you are
willing to accept (and be happy about).
www.mworker.com

6. What Works for You?
• If you have methods that have proven to
work for you, please share them with me and
our readers! Every story that you share is a
valuable lesson for all of us!
www.mworker.com

7. 4 Negotiation Tactics for Freelancers
www.mworker.com