On Tuesday 03 April 2007 6:41 pm, Florin Iucha wrote:
> Guys,
>
> What are some good resources on consulting rates?  I'm talking to a
> small business owner about Linux support and consulting for their shop.
> Mainly remote troubleshooting, with bulk work during weekends, if
> need be.
>
> Thanks,
> florin

My advise, pick a number that you're comfortable with and be prepared to 
negotiate. The stated range of $25-$100 an hour isn't all that far off in my 
opinion. But I think in this market you can narrow it even further to 
$60-$75/hr. What I usually do (or did) is to have a couple of "official" 
rates. One for long term projects (ex. $65/hr), one for short term projects 
(ex. $100/hr) and usually I'll offer "non-profit" and "wholesale" discounts.  

For example if I'm doing some development or support work for a non-profit I 
might charge $50/hr instead of $65 depending on their budget. If I do a 
little sub-contracting I'll quote my higher rate but charge the main 
consultant the lower rate and let him pocket the difference.

Don't price yourself too cheap. If its a group with little or no money offer 
them a "special deal" if you want to do the work, but remember to value the 
time you'll spend doing it accurately. I remember a story a friend told me 
many years ago. He had a buddy who was charge $65/hr as a COBOL programmer. 
He had some work but not enough. He repackaged his resume and his services, 
doubled his rate to $125/hr and had more work then he could handle. At $65 he 
was just another COBOL programmer. At $125 he was a high powered Business 
Systems Analyst. You always want your high rate to be high enough to scare 
people off. If you've got somebody who wants you to take a gig you really 
don't want bid it outrageously high. If you're lucky they won't go with you 
because you're too expensive. If they do decide to use you then you know your 
making enough to "pay for the aggravation"  that will come with the job. 

Experience should be your determining factor. If you know the stuff inside and 
out and will be able to accomplish tasks quickly charge more. Let them know 
that your rate may be higher but you won't take as long as someone with a 
lower price and less experience. In the long run they will save money.

Okay I've rambled long enough on this. I hope people find it useful.

Jack

-- 
Jack Ungerleider
jack at jacku.com
http://www.jacku.com