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Axel Freeman
Axel Freeman

Posted on Originally published at axelfreeman.github.io

How to price your first client when you have no case studies

The first client is always priced wrong, and the direction of the mistake is predictable: too low. Not because founders are shy, but because they price the work instead of the decision the client is buying.

Price the alternative, not the hours

Every B2B purchase is compared against the client's alternative: another agency at 3x, a freelancer at 0.5x, or doing nothing. When you have no case studies, the only lever you have is risk transfer. So the offer should be built as a small paid pilot with a defined output, not as "a full engagement at a discount".

Three floors I use:

  • The pilot floor. Never price the first project below the cost of the client's own time spent managing you. Below that, the project is not a business, it is an audition.
  • The outcome floor. Write one sentence the client can repeat to their boss: "we will cut X cost / add Y leads in Z weeks". If you can't write it, you don't understand the job yet and any price is a guess.
  • The exit price. Decide the price of the next project before the pilot starts, and quote it during the pilot. Signing a second project at 3x the pilot price is normal; failing to quote it at all is how agencies stay small.

What to do instead of discounting

Discounting signals that the first price was fiction. A better move when the client pushes back: hold the price and remove scope — fewer channels, fewer deliverables, shorter window. The price becomes credible, the client gets less, and your rate anchor survives.

If they still say no, that is fine information. A no on price is cheap. A yes at a price you can't sustain is a two-month loss you pay in full.

Put a number on the guess

Whatever number you pick, write your assumption next to it: "this assumes 2 hours of work per deliverable and a 30% revision rate." Then when the project runs long, you know whether the price was wrong or the assumption was. That is the whole difference between a rate you can raise and a rate you keep apologizing for.

This is one of the decision rules from an open agent skill — marketing-mindset, decision rules instead of templates: https://axelfreeman.github.io/marketing-mindset/ (install: npx marketing-mindset).

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