The freelance pricing trap: why cheap clients cost you the most

I think most freelancers don’t have a pricing problem — they have a confidence problem; they set low rates to “get experience,” hoping clients will eventually pay more. 

Spoiler: they rarely do. 

Once you start out cheap, you’re perceived as cheap.

And cheap clients? They’re not your stepping stone. They’re your anchor.

The bargain bin effect

You know those discount bins by the checkout — the ones overflowing with old DVDs nobody wanted ten years ago? They promise a bargain, but you don’t expect to find anything good in there. That’s the thing about cheap offers: they rarely inspire confidence.

It’s the same with your business. When you price low, you don’t look affordable — you look uncertain.

It’s the same with your business: when you price low, you don’t look affordable—you look uncertain. 

The clients you attract will mirror that energy. They’ll question every line of your invoice, message you on weekends, and expect miracles on a shoestring budget. 

You might think you’re being generous, but they might think you’re desperate and you need their business.

The irony is that these clients often turn out to be the hardest to please. 

You can deliver great work, but because they never really trusted your expertise, they’ll still nitpick. 

When you charge more, people assume you know what you’re doing — and they treat you accordingly.

Busy doesn’t mean successful

Low rates fill your calendar, not your bank account. 

You end up working twice as much for half the pay, burning out while your best work gets buried under “urgent” requests from clients who don’t value it.

It’s the classic freelancer trap: you start freelancing for freedom, but end up chained to low-paying work that gives you less time and energy than your old job did.

You tell yourself it’s temporary — but unless you change your pricing, it isn’t.

High prices scare away the right people

You want to scare off the bargain hunters. 

Serious clients aren’t looking for the cheapest option — they’re looking for certainty. When you state your price clearly and stand by it, you send a signal: “I’m the expert here, not a commodity.” 

That quiet confidence is what gets you hired by people who actually value your input.

And when you finally work with clients like that, you’ll notice something: the work feels easier. Not because the projects are simpler, but because respect replaces resistance. 

You’re trusted to do what you do best.

Raise your price or lower your standards

That’s really the choice. You can either charge more and work with people who trust you, or keep undercharging and spend your days firefighting. 

Both paths are valid, but only one leads to a business that lasts. 

The sooner you realise that “no” is not rejection but redirection, the faster your freelance career grows.

Every freelancer has to decide who they want to be: the discount option or the trusted expert.

Reflect on this: are your prices reflecting your skill, or your fear?

How to land your first freelance clients (without begging or undercutting)

Most freelancers start out the same way — applying for every job they see, lowering their rates, and hoping someone says yes. It’s a frustrating cycle that makes you feel invisible. 

The truth is, good clients don’t hire based on who’s the cheapest. They hire the person who seems easiest to trust.

Here’s how to become that person.

1. Narrow your focus

Instead of being a “freelancer who does everything,” pick one clear problem you solve: 

“I help small businesses set up their first email marketing system” is far more memorable than “I do marketing.” 

When people can describe what you do in a sentence, they can recommend you.

2. Build visible proof

You don’t need a fancy portfolio — just a few clear examples that show you can deliver results. 

That might include screenshots, testimonials from volunteer work, or a brief case study on LinkedIn.

Clients don’t care about your years of experience; they care about whether you can solve their problem.

3. Make it easy to say yes

Your first projects should remove friction for the buyer. 

Offer a clear, limited package: a fixed price, a defined outcome, and a short turnaround. 

The less a client has to think, the faster they’ll hire you.

4. Talk to people, not platforms

Referrals and personal contacts often lead to the best early clients. 

Message past colleagues, friends, or business owners in your network. 

Tell them what kind of project you’re looking for — not that you’re “looking for work.”

People like helping when it’s clear how they can.

5. Keep your standards

Saying no to the wrong client is part of building the right business. 

Low-paying or pushy clients drain the energy that could be invested in better ones. 

Remember: every “no” frees time for a “yes” that moves you forward.

Stop Thinking Like an Employee, Start Acting Like a Business

Identity Shift: Stop Thinking Like an Employee

Most new freelancers keep one foot in their old identity — still thinking, planning, and even acting like employees. They chase stability instead of opportunity. They wait for direction instead of setting it. And that’s why they struggle.

The moment you go freelance, your title changes—but your mindset must change too. You’re no longer a worker in someone else’s system. You are the system.

How is the mindset of an employee different from that of a freelancer?

An employee craves stability; they wait for things to happen. 

A freelancer hunts for opportunities; they make things happen.

That’s the fundamental shift.

Employees are trained to think in terms of benefits and security — a fixed salary, predictable hours, paid time off. 

Freelancers know none of that is guaranteed. The best ones treat every advantage as a bonus, not a right.

Freelancers should not worry about uncertainty. They know that no one is coming to manage, promote, or protect them. You stand for yourself — or you fall behind. 

That’s both the risk and the reward of independence.

What was the hardest “employee habit” you had to unlearn?

For me, it was the clock. Employees are often bound by rigid time schedules, working 9 to 5, attending daily meetings, and submitting reports by Friday. 

Freelancing breaks that rhythm completely.

At first, I kept forcing myself into the same structure, because it felt familiar. But soon I realised the real advantage of freelancing: control over when I work best.

Now I follow my energy, not the hours. Sometimes I dive in early and finish by lunch. At other times, I take a break and then return to work later. On some days, I don’t take meetings at all. 

That flexibility is freedom — but it takes discipline to use it well.

Why is pricing often the biggest identity challenge for new freelancers?

Because pricing exposes what you really believe about your value.

As an employee, your salary is decided for you. As a freelancer, you name your price — and that’s terrifying at first. 

You question whether you’re worth it. You think, Will anyone pay this much?

But once someone does, everything changes. You stop seeing yourself as a worker selling time and start seeing yourself as a professional delivering outcomes. 

That’s when the freelancer mindset truly clicks.

How can someone begin to see themselves as a business owner, rather than just a worker?

For me, it’s all about planning and execution.

When I brainstorm, map out ideas, and strategise what to do next, I feel like a general manager — steering the business forward. 

When I sit down and execute those plans, I become the CEO, making it happen.

You don’t need a team, an office, or a logo to think like a business. You need intention. 

The shift happens the moment you stop waiting for instructions and start making your own decisions.

That’s when freelancing stops feeling like survival — and starts feeling like ownership.

Top Mistakes New Freelancers Make in Their First 100 Days

The first 100 days of freelancing feel like standing on the edge of freedom (and maybe panic). You’re finally your own boss, but suddenly everything depends on you. 

The next few months will make or break your business.

Most people don’t fail because they lack skill — they fail because they bring the wrong habits from employment into freelancing. 

I’ve made those mistakes myself, and I see them repeated every day.

What mistakes did you make in your own first 100 days?

I didn’t offer service packages soon enough. Every project I pitched for required a custom quote. I thought I was being flexible — tailoring every proposal to each client — but in reality, I was wasting hours reinventing the wheel.

Packages make you predictable. They save time, signal professionalism, and give clients clarity. The earlier you define what you sell, the faster you’ll start making consistent money.

Which mistakes do you see repeated most often in communities or forums?

The same five, over and over:

  1. Pricing too low out of fear of rejection.
  2. Overinvesting in branding (fancy logos, perfect websites) before testing the market.
  3. Taking every client, even those with red flags, “for experience.”
  4. Skipping systems like CRMs, time trackers, and invoicing tools.
  5. And of course, confusing activity with progress.

Freelancing is a business, not a hobby. The earlier you treat it like one, the smoother your growth will be.

Why do new freelancers tend to undervalue themselves at the start?

Because freelancing strips away the psychological safety of a salary. When no one tells you what you’re worth, it’s tempting to charge whatever feels “safe.”

There’s also a myth that low prices make clients say yes faster. They don’t — they attract clients who don’t respect your time.

What most new freelancers forget is that they’re not just selling their skills. They’re taking on risk, taxes, administration, and accountability — things a regular employee never has to worry about. 

Those responsibilities deserve higher compensation, not less.

How can someone avoid being “busy but broke” in the early months?

Stop glorifying busyness. You’re not paid for effort; you’re paid for outcomes.

Focus only on revenue-driving work — anything that helps you find, serve, or retain clients. Everything else can wait.

Create a minimum viable offer — one thing you can sell easily and deliver well. Don’t build an empire; build momentum.

And start tracking your numbers from the very beginning. Know what you earn, how long things take, and which projects actually profit you. That data will become your compass.

If you could give one “do this, not that” rule for the first 100 days, what would it be?

Do this: Build one repeatable offer you can sell confidently. 

Don’t waste your first 100 days “building a business.”

Your primary task early on is to build your ability to attract and retain clients. 

Everything else — systems, branding, automation — comes later.

The freelancers who survive aren’t the busiest — they’re the ones who focus, price fairly, and think like business owners from day one.

How to Leave Your Employer Professionally (and Keep Them as a Client)

Don’t Burn the Bridge: How to Leave Your Employer Professionally

Most freelancers think freedom starts with a resignation letter. It doesn’t. It begins with how you leave. Because if you walk out the wrong way, you’re not just quitting a job – you’re cutting off your first (and often easiest) client.

Leaving your employer professionally isn’t just about courtesy; it’s also about maintaining a positive reputation. It’s about strategy. It’s your opportunity to turn your past employer into your first paying customer, reference, or long-term ally.

What does it mean to “leave professionally” in the context of freelancing?

Leaving professionally means being transparent, respectful, and forward-thinking.

Discuss your plans openly with your manager. Don’t vanish behind vague excuses about “new opportunities.” Instead, make it clear that your decision isn’t about dissatisfaction — it’s about direction. You want to explore something the current path doesn’t allow.

Frame it as growth, not escape. When you position your transition as part of your personal development, most leaders respect that. They might even support it.

How can someone position their departure so their employer sees potential for collaboration instead of betrayal?

Start by removing emotion from the equation. Never speak negatively about colleagues, leadership, or company policies — not during the notice period, and not afterwards. Nothing kills trust faster than gossip.

Show that it’s not personal. If possible, highlight a limitation that freelancing can solve. It could be the flexibility your role couldn’t offer or the type of work that didn’t align with company priorities.

For example, I once faced rigid working hours that clashed with my preferred day structure. Instead of framing it as frustration, I positioned it as a logistical issue. With my new freelance flexibility, I’d be happy to stay in touch and support them on future projects. That turned a “goodbye” into an open door.

Do you have an example of an employee-turned-freelancer who kept their old company as a client?

Yes — myself. When I left my former employer, I made sure to keep good relationships across teams. They already knew my work ethic and trusted my expertise. So when they later needed extra hands for a project, I was often their first call.

Another smart move is to look into partner programs or official collaboration structures. Many companies offer them, and they serve as a perfect bridge from “employee” to “trusted ally.”

What are the biggest mistakes people make when resigning that hurt future opportunities?

The worst mistake is going silent. Too many people “exit quietly,” offering no explanation and disappearing overnight. That leaves confusion and kills potential future collaboration.

The second mistake is not to stay in touch. If your former colleagues don’t know what you’re doing now, they won’t think to reach out. Share updates, send a note, stay visible. LinkedIn is a good place to do this if you don’t want to send people direct messages. 

Because leaving a company doesn’t have to mean leaving relationships behind, handled well, your old employer can become your first customer or partner on the road ahead.