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Weekly Tip From Margo: Making Money As An Interior Designer

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by Margo DeGange

There is much talk nowadays about how to make money as a furniture retailer, but even more talk and confusion among those professionals who run design oriented businesses. 

So I thought I would define most common ways which can bring you money.  In no uncertain terms.  Without commentary or opinion.  Just straight up list – clear, succinct, and to the point.
1. Hourly rate only.  National rates usually fall within the $75-195 range.  The rates usually differ based on the service rendered:  design work, architectural work, shopping, project management, construction management.
2. Product – cost plus, where the designer adds 30%-100% to the cost supplied by the manufacturer, supplier, or subcontractor.
3. Product – discount off of retail, where the designer takes 10%-50% off the retail prices supplied by  manufacturer, supplier, or subcontractor.
4. Flat, project-based fee.  Designer charges one fee for the entire project.  This requires clear identification of the scope, previous knowledge and experience for accurate calculations,  and tight management of time.
5. Tiered pricing.  Viewed by some as a subset of project-based fee, I break it out here because these are predetermined packages based on time, complexity, and attention involved.
6. Per square foot.
7.Combination of all of the above.
While on the surface all of these ways seem straight-forward, like anything in design, the devil is in the detail.  Some the ways are complex, fraught with pitfalls, and are potentially costly if not done right. And in this lies the confusion, frustration, and anxiety mentioned by me earlier in the article.
If you’re tired of feeling frustrated, confused, and anxious, you must get ALL the knowledge you can get in the subject of pricing.  And your first step is the Business of Design: Smart Pricing Strategies in the New Economy – a 3-hour virtual tele-panel of experts speaking about this very subject.  Get more information here

I think this should be a TOP priority for YOU or for any Interior Designer or Interior Decorator who is SERIOUS about making the money they KNOW they deserve (and you do)!

Keep Pluggin' Away to Wild Success!

Margarett (Margo) DeGange, M.Ed. is a Business and Design Coach in the Home Fashions Industry. She creates and delivers custom training programs for managed businesses and their sales consultants to help them communicate better with customers and increase sales and profits. Margarett is a Writer and Professional Speaker, and the President of The DeGangi Group and The DeGangi School of Interior Decoration, with both on sight and on-line courses in Interior Decorating, Marketing, and Redesign. For almost 20 years she has helped individuals and managed business owners in the interior fashions and decorating industries to earn more while fully enjoying the process.

Two of Margo’s popular products for furniture store owners and their sales professionals are The Decorating School Crash Course Power-Ed Pack (9 design lessons on video/audio with 12 hours of content), and the matching Decorating School Crash Course Learner Files to measure learning, provide added interactivity, and motivate sales consultants to own their opportunities for growth.

Visit Margo DeGange’s website at www.DecoratingForProfits.com  for more information. Send email and questions to her at Margarett@furninfo.com.

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