One of the hardest parts of building your consulting business isn’t the work itself—it’s figuring out what to charge.

Price too low, and you’re running yourself into the ground.
Price too high, and you’re worried clients will walk away.

So most new consultants do what we did at first: guess.
Ask around.
Charge what “feels fair.”
And hope it works out.

Spoiler: it doesn’t.

Pricing isn’t just about numbers - it’s about protecting your time, your energy, and your freedom to build a business that actually lasts.

In our recent live training on pricing strategy, we asked consultants in the room where they’re struggling most. The results? 75% said sales was their #1 challenge. And when it came to pricing, most admitted they were either “searching for answers” or in what one person called a “hot mess”.

If that’s you - you’re in the right place.

The Pricing Traps That Keep Consultants Stuck

Most nonprofit consultants fall into the same traps when they’re starting out:

1. Gut pricing – throwing out a number that “feels fair” in the moment.
2. Discounting for small orgs – same work, less money, more resentment.
3. Volunteering disguised as consulting – great intentions, zero sustainability.
4. Undercharging out of fear or guilt – because saying a bigger number feels “selfish.”
   

In our webinar poll, over half of attendees said they’re still searching for their price—literally guessing instead of calculating.

No wonder so many feel stuck. Guesswork isn’t a strategy.

Why Getting Pricing Right Actually Matters

Pricing isn’t just about making more money. It’s about:

• Protecting your time – your hours are your only asset.
• Focusing on quality over quantity – you don’t need 20 clients, you might just need 3 good ones.
• Signaling your value – confident pricing tells clients you know what you’re doing.
• Funding your freedom – the right rate lets you pay yourself well, say no to misaligned projects, and actually take weekends off.
  

And here’s the kicker: clients don’t necessarily want the cheapest option. Just like you probably wouldn’t trust a $14.97 pair of “designer shoes” from a sketchy website, nonprofits don’t equate low price with high value.

The Real Reason Most Consultants Get Pricing Wrong

It’s not lack of talent.
It’s not lack of demand.

It’s this: most consultants don’t know their costs.

When you don’t know your:

• Business costs (software, insurance, taxes, admin),
• Time capacity (billable vs. non-billable hours), and
• Income goals (what it actually takes to support your life)…
  

You can’t set a sustainable rate. You’ll always be undercharging and wondering why you’re burned out.

The Three Pricing Models (and Where Most Consultants Are Today)

When we asked consultants what models they use, here’s what we found:

• Project-based fees (33%) were the most common.
• A few were charging hourly (22%).
• Only one person was using retainers.
• A single consultant said they’re experimenting with value-based pricing.
• Several admitted they weren’t sure yet.
  

Here’s what that tells us: most people are stuck in beginner pricing models—and leaving money on the table.

1. Hourly Rate

• Pros: Simple to start, flexible when scope is unclear
• Cons:Caps your income, punishes efficiency
  
  

2. Project-Based

• Pros: Flat fee for a clear deliverable, nonprofits love it
• Cons: Risk of underestimating (and resenting the work later)
  
  

3. Retainer Model

• Pros: Steady income, builds long-term trust
• Cons: Can creep into endless tasks if boundaries aren’t clear
  
  

Our recommendation? Move toward project-based and retainer models ASAP. They reward efficiency, not just hours, and they let you build a business that supports your life.

How to Find Your Baseline Rate

Here’s the formula we teach:

Annual Income Goal + Business Costs + Profit Margin ÷ Realistic Billable Hours = Your Minimum Hourly Rate

Let’s break it down:

1. Income Goal: What do you actually need (or want) to earn? Don’t forget to factor in healthcare, taxes, and retirement.
2. Business Costs: Software, insurance, accountant, website, subscriptions.
3. Profit Margin: 10–20% is healthy.
4. Billable Hours: How many hours can you realistically devote to client work after accounting for marketing, admin, and time off?
   

That’s your floor. If you charge less than this, you’re literally paying to work.

The Early Stage Reality (and Why Pricing Matters So Much)

Our final poll asked how long people had been consulting—and what they were earning.

• 70% of attendees were early stage (0–2 years in business).
• Only one person reported earning more than $150K/year.
• The majority were earning less than $50K/year.

That’s not failure - it’s just proof that most consultants never got a roadmap for pricing.

The good news? Getting it right early can change everything. Because the difference between a $50K consulting business and a $150K+ one often comes down to pricing confidently, packaging well, and learning to say no.

Mindset Shift: Charging More Isn’t Greed

Nonprofit culture has trained us to believe that wanting more means we don’t care enough.
That’s a lie.

Financial well-being isn’t extra. It’s essential.
It’s how you stay in this work long enough to make real change.

You’re not selling out by charging sustainable rates.
You’re building a business that lets you serve well and live well.

Next Steps: Price with Confidence

Pricing doesn’t have to feel like a guessing game.

We built the Pricing Audit Bootcamp to help you reverse-engineer your rates based on your goals, costs, and capacity - so you can start pricing like a business owner, not a volunteer.

Enroll in the Pricing Audit Bootcamp Today →

And if you want to go deeper, that’s exactly what we do inside our 12-month mentorship program: teaching nonprofit pros how to build consulting businesses that are profitable, sustainable, and mission-aligned.

Because you didn’t survive all those years in nonprofits just to stay stuck.

It’s time to get paid what you’re worth.

Watch 'How To Price Your Consulting Services With Confidence' Now: