This varies from project to project, but usually the agency (2 co-founders) first signs a rate with the client and then comes to me and asks if I want to take on the project. They do not charge the customer based on my rate. How much they charge a client depends on how big the project is (does it include development, does it include branding, page number etc.) and of course the client’s budget.
I recently learned that they usually pay me 30% of the client’s total project cost… For example, they charged the client 9500 USD, they pay me 3000 USD to do all the work (web design 5 pages, web developer and branding holy shit). At the moment, some of the sites I’ve worked on are also large companies (revenues ranging from 5 million to 12 million), but of course on a white label basis.
I do not have to talk to the customer during the entire process. I enjoy working with them and they consistently give me projects.
I plan to increase my rates next New Year. How should I do that? Is this normal in the agency world, where the client gets signed first and comes to me with it? Is it common for them to pay only 30% of the project rate?
For context clients they are usually located in NA, I am located in a major city in NA. I would appreciate some guidance, thanks!
submitted by /u/Nice_Manufacturer874
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#learned #agency #charging #client