The Perfect RIA A Primer for Determining Your Fee Schedule [Episode 6]
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As the title states, this episode is all about determining a fee schedule for clients—that is, what a fair rate to charge clients for services rendered should be. Instead of making it complicated, both Matt and Micah stress over and over again that simplicity is key when it comes to your fee.
Also, just as important as simplicity, is the cost-value structure that you set up. This isn't as complicated as it seems. What is meant by cost-value structure is determined by what your goals are. If you have ambitions to keep growing your firm's revenue or assets, then keeping your prices high enough to meet that goal means that your cost-value structure has been correctly formulated.
Lastly, Matt and Micah talk about raising rates and how much the process varies over time. But one should never negotiate prices. Staying fixed, usually only rising and never falling in price, conveys that you will only keep growing. Not having a business plan and negotiating too much means that people will not take you as seriously. And that hurts your reputation and potential revenue. Do not let this happen.