Pricing Your Product or Service for Profitability

One of the greatest causes of small business failure is improperly pricing its product or service to achieve adequate profitability. Pricing involves determining “what the traffic will bear,” knowing how your competition prices their products, matching your pricing strategy to your business image, and making sure that your prices cover all direct costs AND fixed and variable overhead costs.

Each of these topics, and more, are covered in our “Marketing Your Idea” workshop and in even greater depth in our more advanced workshops, “Profitability for Contractors & Service Organizations” and “Profitability for Retailers”. You can register to attend these workshops by clicking on the links above. If you are a contractor or service provider, check out the spreadsheet “Bidding Sheet for Contractors”.

In addition, because of the significance of adequate pricing to your business success, we also recommend you sign up for a SCORE Management Counselor at “How to Request Counseling”. Let SCORE help you develop a successful pricing technique!