My New Business

Alright so I have decided to start working with web design to make some money. Ive come up with the idea that I am not going to be doing it online, but more local. Id like to design websites for local businesses around here that do not have one.

Ive come up with the basic design for my site to promote my business and plan to make flyers to give to local businesses.

I will do pretty much everything they would need for just $100. Web Design, Hosting, Domain, and monthly updates. The hosting will be done through a friend of mine using his standard plan at http://pceproductions.com He will be charging me $40 for the standard plan.

My question is this, is $40 a good price for the hosting and the domain? Is $100 a good price for a business to have a website for a year with 12 updates? and please, all of you are more experienced than I am please help me out with anything possible.

Once I launch the business and put my website online Ill be sure to post the link in here.

Just don't sell yourself short. There may come a time when you can't live on that little money anymore. It's good when you're young and just starting, but what happens next? If you are committed to that website, you can't exactly drop it to find a better job nor would that company want it's site to cost more later on when you need more money.

is that $40 for a year? if so, then yeah its a good price.

Im paying $40, they pay a total of $100. Is that a good price? I am only 16, so Im mostly worried about going to businesses and them not taking me seriously because of my age. Once again this is my first business, I dont plan on using it as my only income. Just a way to gain experience so maybe one day I can rely on my talent for my income. Please help.

That's pretty cheap. Most design stuff goes for about $500 (Canadian) for a basic business site. Remember, this will be the identity of the business itself. Customers will remember the logo as much as the name etc. It's not a desicion that any business takes likely. If they do take it lightly, actually, this is a bit of a warning sign.

Make the price triple your costs I guess would be a safe rule of thumb, so say $120 instead of $100. Hosting is a no-win game though, so you'll never have the best price or the cheapest. I wouldn't bother apologizing for the hosting costs. Also remember that if they want it hosted elsewhere, charge your time for that service setup. But make it optional, so that they can see what your design fees are. Maybe they just want your design alone?

You might think about becoming connected with a local internet service provider that can offer reseller services, as that might be one option in helping with your technical requirements, should your users require it.

I'd not bother with free updates, or limit them to 2 or 3 a year, instead of 12! or else you're going to be taken advantage of at some point. Some yahoo who can't make up his/her little mind will drive you nuts! Limit these kinds of desicions by the customer to 1 or 2, but never more than that. Again, if they want more, charge them. Also make a distinct note of saying that this charge is for one year only, and not an ongoing service. Maybe create an ongoing service fees as seperate components of your business. Write it down somewhere, map out what your service fees are and what your product designs are etc.

If your stuff is good, they have to pay for improvements. And that's good! This is what you want to happen. Don't settle for the cheap *** customers. You can't rely upon them for paying your bills.

Be confident in yourself, but never sell yourself short. Once you sell short, you can NEVER put the price up again for that particular customer. If you feel like apologizing to your customer, then you've sold yourself short.

Better to aim where your true costs point you. What about time? Generally you can only bill three-quarters (75%) of the time in any business. If the project gets really involved let's say, will the cost of doing that project really be worth it? Not with your current model. If the project is specialized, consider a contract based on time. (yet another service consideration)

You might also consider stock services that you sell as products. ie: designed business cards, website, brochures, all for $500. Plus 2 website updates for one year (not a year, as that isn't ..yikes ... what you want). Then update your "products" that you can do as you see fit. That way, any customer can pick and choose what products they want without you figuring out if you're making any money off of it.

Take your time. Describing all your service charges before hand will only make for a business with less headaches and more real **paying** customers.

Why not post back when you're done? I'm sure the devshed members here would be glad to help refine your business plan more?

Hope that helps
sf2k


(if this post was useful, consider hitting the scale at the top right. Thanks)

Just try not to rush. Start charging people when you feel you are ready to take responsibility about your work. Also you will need few projects for portfolio. Most of the customers will not hire you if they can't see some previous work.

Are you saying do work for free? I could do the designs, but I cant afford to do domain/hosting for them.

you could still do a lot of design work without hosting, if you work is in use elsewhere. (previous customers).

Even if you don't have any designs online yet, you could do a cdr burn of your portfolio so a customer can see what it looks like without needing hosting. Design and hosting will probably be two parts of your business, complimenting each other.

Hope you get that first customer. Then you have at least a design online somewhere for further sales references.

cheers
sf2k

I have my first customer, not a local business, but a porn website. They dont need hosting. Just need an index page, and 4 tour pages. How much would you recommend charging?

Since it sounds like it's not too complex, maybe $100-$125 total? I really couldn't say.

Instead, think about $per hour * hours * .75 . The .75 part refers to a "consultant constant" that you can only charge for 75% of the work you do. Let's call this a LOT.

Two ways to go. By the hour is easier to price, but may lead to complications with the customer. (Too much nit-picking, and unfortunately for you both easy and hard aspects of design are lumped together at the same price)

By a "lot-time" is only a bit harder to price as described above, but is more helpful to both you and the customer about the overall time and total cost. Also with a lot-time, you can price extras as seperate lots, for different skills or effects etc reflecting their difficulty.

Hope that helps

cheers
sf2k

Didn't you sya you where 16

Yes are there laws to this? Im not legally able to view porn am I? What if I have parental consent? Hold on, its not porn, just nude shots. I am legally able to view nudes right? There is no sex on the site... Hmm anyone know what to do?

The law states that anyone under 18 is not permitted to view pornographic material. This is not just limited to sex, but any material deemed pornographic (i.e. intent to arouse).

To be honest, I'd do the site. I do believe it is their responsibility to check that you're over 18. If anything ever happened, you can play the ignorance card and if they never asked if you were over 18 - I believe they'd take the heat for it, not you.

That's just my opinion. It's a little unethical, but when you're just starting out - money and experience is golden. Sure, it may not be something you can put in a portfolio (unless you stay in the porn industry) but you may teach yourself something in the process.

I'm 16 and I'd do it.

I got all worked up about this, and now I sent him an email saying the price would be $125 and he hasnt gotten back to me in the passed 3 days. Shucks, I was looking forward to my first sale.