One of the biggest struggles that small business owners #businessowners

One of the biggest struggles that small business owners have is knowing when it is time to increase their prices, how much to do so by, and whether or not they should.
A lot of people fear that if they increase prices by even 50% per item, or if they're a restaurant, per dish, that it will mean people stop coming in. But we do run calculators for a lot of clients to show that even if there's a 25% reduction of people coming in, but you've increased your profit line by 25%, what's the break-even point there?
It's really just our fear as individuals that people will stop using our goods and services. But if you've got a great product or service, people are going to pay a premium price. Everybody knows that inflation is around, so even if it's a small increase in your product costs by inflation - so it might be 3% per year - or every few years putting out a letter to clients to say "it's been five years since we've done a price increase, but we do need to do this now to keep the doors open" everybody understands small business and is generally happy to pay.
General advice only. Amy Lehmann is an Authorised Representative (No. 1292710) of Consortium Private Wealth Pty Ltd (AFS Licence 495401).

#smallbusiness #businessgrowth #pricingstrategy #entrepreneurmindset #businesstips