Comments on: Pitfalls & Pluses of a Rural Business http://samhowat.com/pitfalls-pluses-of-a-rural-business/ I'm a partner at Avelient.com, an entrepreneur, adventurer and husband. Posting thoughts on web, tech and life since 2000. Wed, 26 Oct 2011 21:29:00 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Adrienne Adams http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2350 Adrienne Adams Fri, 01 Jan 2010 02:21:29 +0000 http://samhowat.com/?p=757#comment-2350 Sam, thanks for this article. I'm a one-woman web shop on Lopez Island and I've had very similar experiences to yours, working here in the San Juans. You are so right about how important word-of-mouth is in rural areas. I have had to do very little advertising, as most of my work comes from referrals or just general awareness of what I do. Getting work through "the grapevine" is definitely an advantage from working in a small town! I'm currently dealing with the issue surrounding raising my rates. Right now I have decided to maintain a two-tier approach to charging clients: the lower tier is a bit higher than what I charged when I first started out four years ago. I still have most of my clients from that time, and they are "grandfathered" in to the lower rate. New clients are being charged a rate that is higher, but still below the going rate for local metro firms. I have found that my oldest clients have accepted small, incremental rate increases. This fall I landed my first good-sized Seattle job. It was a nice change to be able to work with a metro-level budget! Because I have been used to working on very thin margins, it wasn't difficult to bid the job at a high enough rate that I could spend the time and create a really high-quality product. The clients were very happy with my work and they felt that my rates were very reasonable. Working for several years with very low budgets, I've become very efficient. I've developed a workflow that let me create standards-compliant, high-quality websites for a reasonable cost to the client. However, after working with the Seattle firm I see the benefit of building a metro client list! It's a high priority for me in the coming year. Thanks again for sharing your perspective on working in the "boonies." Best of luck for your business in 2010. Sam, thanks for this article. I’m a one-woman web shop on Lopez Island and I’ve had very similar experiences to yours, working here in the San Juans.

You are so right about how important word-of-mouth is in rural areas. I have had to do very little advertising, as most of my work comes from referrals or just general awareness of what I do. Getting work through “the grapevine” is definitely an advantage from working in a small town!

I’m currently dealing with the issue surrounding raising my rates. Right now I have decided to maintain a two-tier approach to charging clients: the lower tier is a bit higher than what I charged when I first started out four years ago. I still have most of my clients from that time, and they are “grandfathered” in to the lower rate. New clients are being charged a rate that is higher, but still below the going rate for local metro firms. I have found that my oldest clients have accepted small, incremental rate increases.

This fall I landed my first good-sized Seattle job. It was a nice change to be able to work with a metro-level budget! Because I have been used to working on very thin margins, it wasn’t difficult to bid the job at a high enough rate that I could spend the time and create a really high-quality product. The clients were very happy with my work and they felt that my rates were very reasonable.

Working for several years with very low budgets, I’ve become very efficient. I’ve developed a workflow that let me create standards-compliant, high-quality websites for a reasonable cost to the client. However, after working with the Seattle firm I see the benefit of building a metro client list! It’s a high priority for me in the coming year.

Thanks again for sharing your perspective on working in the “boonies.” Best of luck for your business in 2010.

]]> By: Mariano http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2336 Mariano Wed, 30 Dec 2009 19:51:25 +0000 http://samhowat.com/?p=757#comment-2336 Sam, what a GREAT analysis. It's really hard to keep up that small business feel when you're trying to establish a professional organization that can handle the big projects. I definitely feel, however, knowing your work that you really know what you're talking about here, and that small businesses would definitely benefit from paying attention to your advice. Thanks for the info! Sam, what a GREAT analysis. It’s really hard to keep up that small business feel when you’re trying to establish a professional organization that can handle the big projects. I definitely feel, however, knowing your work that you really know what you’re talking about here, and that small businesses would definitely benefit from paying attention to your advice.

Thanks for the info!

]]> By: James Thigpen http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2330 James Thigpen Wed, 30 Dec 2009 12:28:49 +0000 http://samhowat.com/?p=757#comment-2330 Great info, Sam. Great info, Sam.

]]> By: Chip http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2323 Chip Tue, 29 Dec 2009 17:20:41 +0000 http://samhowat.com/?p=757#comment-2323 They have another article specific to web design in general, but again its a good example for most business types: http://buildinternet.com/2009/12/a-discussion-on-hourly-rates-in-web-design/ I love reading good articles and it's the only useful thing i can contribute to the discussion :P They have another article specific to web design in general, but again its a good example for most business types:

http://buildinternet.com/2009/12/a-discussion-on-hourly-rates-in-web-design/

I love reading good articles and it’s the only useful thing i can contribute to the discussion :P

]]> By: Scott http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2322 Scott Tue, 29 Dec 2009 17:03:06 +0000 http://samhowat.com/?p=757#comment-2322 Great read Sam. Great read Sam.

]]> By: Sam Howat http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2321 Sam Howat Tue, 29 Dec 2009 16:58:12 +0000 http://samhowat.com/?p=757#comment-2321 Chip! That's an absolutely goldmine! Awesome link! Chip! That’s an absolutely goldmine! Awesome link!

]]> By: Chip http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2320 Chip Tue, 29 Dec 2009 16:00:19 +0000 http://samhowat.com/?p=757#comment-2320 I came across this set of articles this morning and I think it supports your post very well. http://buildinternet.com/pricing-bootcamp/ I came across this set of articles this morning and I think it supports your post very well.

http://buildinternet.com/pricing-bootcamp/

]]> By: Pitfalls & Pluses of a Rural Business : Twenty6Red Media http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2313 Pitfalls & Pluses of a Rural Business : Twenty6Red Media Tue, 29 Dec 2009 01:56:10 +0000 http://samhowat.com/?p=757#comment-2313 [...] Go here to read the rest: Pitfalls & Pluses of a Rural Business [...] [...] Go here to read the rest: Pitfalls & Pluses of a Rural Business [...]

]]> By: Sam Howat http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2312 Sam Howat Tue, 29 Dec 2009 00:58:48 +0000 http://samhowat.com/?p=757#comment-2312 Agreed. Charge rates that are fair to your industry and represent the quality of your work. It's a huge mistake to undervalue your work. Agreed. Charge rates that are fair to your industry and represent the quality of your work. It’s a huge mistake to undervalue your work.

]]> By: Chip http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2311 Chip Tue, 29 Dec 2009 00:52:33 +0000 http://samhowat.com/?p=757#comment-2311 And I've done the whole marketing myself at "a-lower-price-with-far-better-quality-of-service" thing, only to find it a pain when my rates changed....luckily Quickbooks allows me to set different prices and rates for different customers. Nevertheless, it's naive and you're only undercutting yourself in the end by saying your work and quality isn't that valuable. And I’ve done the whole marketing myself at “a-lower-price-with-far-better-quality-of-service” thing, only to find it a pain when my rates changed….luckily Quickbooks allows me to set different prices and rates for different customers. Nevertheless, it’s naive and you’re only undercutting yourself in the end by saying your work and quality isn’t that valuable.

]]> By: Chip http://samhowat.com/pitfalls-pluses-of-a-rural-business/comment-page-1/#comment-2307 Chip Tue, 29 Dec 2009 00:00:24 +0000 http://samhowat.com/?p=757#comment-2307 Good advice and I can attest to most of that via the computer repair business...it's tough in rural areas like Sequim....all the more reason I'm looking to expand and relocate. We'll see how that goes ;) Good advice and I can attest to most of that via the computer repair business…it’s tough in rural areas like Sequim….all the more reason I’m looking to expand and relocate. We’ll see how that goes ;)

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