4. Niching Down and Building Authority

Before we get ahead of ourselves, let's start where everyone does... the beginning.

The top 20 questions I first get from people when they first start out

20. Should I name my business my own name, or should I create a separate company name for it?

The short answer is, will this company be intertwined (and reliant on) your own identity, or can it live outside of you. Also, will you ever sell your company. I can't answer this for you, but this will help you come to a more solid conclusion.

4:32 -- 19. Incorporate vs. Sole Prop etc...

Depends on the business structure, but basically stay as a sole prop until you earn more money than you need to live. That way, when you are making more money, you can incorporate, but you can start as a sole prop TODAY.

The caveat is that if it's a highly-liable company, you may consider incorporating earlier to cover yourself from a legal perspective.

We'll dive into this in 2 later episodes, one focussed around Canadian companies and taxes, and the second around American.

6:16 -- 18. Do I need a website with a portfolio.

Not necessarily. Most of your first clients will come from word of mouth, so they will hire you for you. Don't let lack of portfolio stop you from looking for new clients. The reality is, people make decisions from feeling, not necessarily from an intellectual place so instilling confidence in your clients, that you are right for the job is much more important than your portfolio when first starting out.

7:38 -- 17. Do I charge my client tax right away?

This will depend on the region you live in, so be sure to check with your local tax laws. In general, if it's optional in your region, I would suggest registering a tax number right away and charging clients. It adds to your professionalism, will allow you more "write offs" (which we'll cover in another episode), and you can claim that to get back anyways.

9:12 -- 16. Do I need a contract and what should it say?

Legally, the answer is yes. However, you can get some contracts online that will cover you until you until you start diving into deeper waters.

I would say, it's worth investing in a lawyer to draw you up a contract after you've made your first 20K or so. That's not a rule, but let's just say if you're making 90K per year, you should probably be seeking some legal counsel to make sure your business is protected.

10:35 -- 15. What does a proposal look like, and what should it include?

Use a PDF or Google Doc to stat. Include the following

-- Intro to project

-- Breakdown of phases

-- Cost breakdown

-- Social Proof (optional)

-- Payment schedule

12:47 -- 14. Do I need project management softwares?

There are sooo many! If you're just starting out, I would suggest a simple setup of Google docs and folders to get you started with a folder for client to upload image assets, and website copy.

Keep a Google sheet of timeline and payment schedule in there for bonus points.

13:44 -- 13. What do I charge?

There are soooo many answers to this question, but here are some initial steps.

1. Find out what your competitors are charging to get a ballpark

2. Decide on an hourly rate, and price projects using the estimated hours x 30% buffer. You don't need to show clients that calculation, but you can use it for your own references as a starting place.

3. Value pricing: it's very difficult to value price from day 1, so we'll get into that at a later date.

16:24 -- 12. How do I get referrals and testimonials for my future clients?

Ask them!

This might seem very awkward at first, but here's a quick script to help you along. Also, make sure to ask the verbally first towards the end of their agreement.

When you start the conversation, ask...

How was everything for you?

How was it paced out?

How was my communication?

then follow up with,

Hey _______,

That's amazing! I would love other people to have the same experience as you, do you mind putting ________ in writing, I'd love to feature you on my site.

Take the feedback, both good and bad and either turn it into a testimonial, or implement the improvements in your process.

It's important to take the negative feedback as well as the positive to make changes and grow as a company.

17:53 -- 11. What happens when a project goes south?

Sometimes this happens. Sometimes it's your fault, and sometimes it's the clients fault. Without placing blame, it's in your best interest to go back to the contracts and proposals to gain clarification.

I always give the client the benefit of the doubt, so if there was something in my contract that could be mis-interpreted, I take the hit, make the c...