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How do I set prices for both clients and my tutors?

More specifically, how do I set a price that pays my employees fairly yet still earns a profit for the organization?

My rule of thumb is 60% to the business, 40% to the tutor. Given that structure, you need to charge enough to pay a competitive wage. You may want to start at $120 an hour (with new clients) which would allow you to pay $48 an hour to a tutor. You can slowly (or quickly) build your rates as you establish more expertise in your niche.

You can always adjust your ratios to compensate a more skilled employee more, while paying a less experienced employee less. The 60/40 idea is just a starting place to make sure you are staying profitable.

You also need to make a budget for how much it will cost to run your organization. What tools do you need to manage your business? Here are some common ones:

A Zoom subscription

Tutorbird subscription

Wi Fi

Consider ongoing costs verse annual or one time costs. Make a list of things you need to pay for monthly, yearly and one time.

Does social media matter? Should I have a website?

Social media can bring in clients. You will want to develop a social media strategy eventually that is able to attract clients. To start, most importantly, you need a website where people can sign up for your services, reschedule if needed and where you can process payments so you are not chasing money down. See the video I made in the online b-school for a more detailed explanation.

What does your employee application look like?

I use Bamboo to track my applicants. This is an extra cost you don’t need at first. You can see what that looks like her:

To start, use these questions as examples to creating ones that work for your business:

Please provide an example of a student you worked with who had executive function challenges, and how you supported them.

Please provide an example of how you remained student-focused when a student and/or parent challenged your approach or expertise.

How do you stay organized to ensure you do not miss appointments, deadlines and other time sensitive deliverables?

How do you build positive relationships with colleagues?

How have you dealt with a difficult conflict with a coworker in the past?

How do you model professionalism for students who struggle to learn that soft skill?

Describe your availability for this position:

Describe a challenge you experienced at work and how you dealt with it:

Professionally, where do you see yourself in three years?

Our services are remote. Do you have reliable access to the internet, video software, a webcam, a computer, and a phone with call and texting capabilities?

How many hours of work are you looking for per week?

Do you consent to a background check?

Do you have other engagements with another employer that may surface and interfere with your ability to perform your work with us?

If hired, can you commit to a minimum of a full school semester?

What is the highest level of math you are comfortable supporting a student with?

Describe your experience supporting students with executive function challenges:

Are you ok with us connecting with a parent whose child you have supported? If so, please provide their name and contact information:

When someone inquires about your services, what's your FIRST response?

Hello (their name),

Thank you so much for reaching out. I am excited about the prospect of helping your family with (challenges they expressed). The next step is to book a free, 15 minute inquiry call by using this link (set up a Calendly or scheduling tool that makes booking a call easy). Please let me know if you have any questions and I look forward to connecting with you.

Warmly, (Your name)

Then, make a note to follow up with them in a week if you do not hear back from them or they do not book a meeting.

Also, make sure you scheduling link is only open for 2-5 days in the future. You want to address their urgent request and not let them delay it for months.

Want more? Subscribe to my free online business school by visiting this link.

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