Solved

For my IT Tech Support company, what rate should I charge for a junior partner?

Posted on 2014-02-13
3
129 Views
Last Modified: 2014-02-17
I have my own business doing IT technical support.  Recently I brought on a more junior partner.  

Does anybody have experience with this?  I have an hourly rate that's published on my website, along with discounts for customers that purchase blocks of hours of my time.  I'd rather not publish a whole new rate structure for my partner, although he clearly won't accomplish as much as I can in the same time.

Obviously, lawyers charge a certain rate even though some of the work is done by their secretary.  Auto repair shops charge a set rate, regardless of which mechanic is working on my car.  But in this case it's a bit different, because I have personal relationships with my customers and my partner will be establishing his own relationships and wants to grow his business.

Suggestions?  Thanks
0
Comment
Question by:Dwight Baer
  • 2
3 Comments
 
LVL 18

Accepted Solution

by:
Jerry Miller earned 500 total points
ID: 39856469
I do some freelance stuff for a buddy that is in a similar situation. He sometimes has work that either he isn't good at or doesn't have time to mess with it. In those cases, he charges the customers that same rate and I get a lower one that we agreed upon. He gets that difference as sort of 'finders fee' for passing me the business.

While it is taking him a little longer, you could always knock a little off of the price. For example if there is a task that normally takes you 3 hours and he does it in 4 you could mark it down some so the customer doesn't think that you are taking advantage of them. Explain to them why you are discounting the bill so they don't think it will be a permanent reduction.
0
 

Author Closing Comment

by:Dwight Baer
ID: 39864644
Thank you very much jmiller1979.  This was helpful.
0
 

Author Comment

by:Dwight Baer
ID: 39864646
Sorry I forgot to close this.
0

Featured Post

Problems using Powershell and Active Directory?

Managing Active Directory does not always have to be complicated.  If you are spending more time trying instead of doing, then it's time to look at something else. For nearly 20 years, AD admins around the world have used one tool for day-to-day AD management: Hyena. Discover why

Question has a verified solution.

If you are experiencing a similar issue, please ask a related question

Finding a job can be stressful - searches, resume tweaks, and networking events can be super boring. Luckily we're here to help you land your dream job!
EE introduced a new rating method known as Level, which displays in your avatar as LVL. The new Level is a numeric ranking that is based on your Points. This article discusses the rationale behind the new method and provides the mathematical formula…
The Bounty Board allows you to request an article or video on any technical topic, or fulfill a bounty request to earn points. Watch this video to learn how to use the Bounty Board to get the content you want, earn points, and browse submitted bount…
Articles on a wide range of technology and professional topics are available on Experts Exchange. These resources are written by members, for members, and can be written about any topic you feel passionate about. Learn how to best write an article t…

809 members asked questions and received personalized solutions in the past 7 days.

Join the community of 500,000 technology professionals and ask your questions.

Join & Ask a Question