I've finally decided to make the jump to requiring a minimum number of hours per month from each client. So now I'm trying to figure out how to word it to my current clients.

I'm planning on telling them that they will only be billed once a month (I bill every two weeks now) and they will have the peace of mind of knowing exactly how much they will be spending every month (unless, of course, they go over).

I want them to feel that both of us benefit from the decision - and I truly believe that. My clients are so busy that any process I can streamline for them will help make their lives easier.

Anything I'm missing?

What a bold move! Who will decide what the minimum number of hours will be? Will it be the same requirement for every client? I understand the advantages of such a policy but I have some good clients who would throw a fit if I tried it. My business is still in it's infancy and most of my clients use my services *as needed*. It sounds like you must have a full roster of regulars. Good for you. Let us know how they receive your new policy.

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Karen Cole, MBA
www.aveonservices.com

Sounds like this would work well if you have clients who consistently use the same number of hours every month or if you are mostly gaining new clients who pretty much know how many hours they want or need every month.

I've mostly found that my clients appreciate the flexibility of knowing that whatever hours they purchase whenever they purchase them, they have those hours to use regardless of the time period it takes them to use those hours. I think it really depends on the client, the services you are providing and how you prefer or need to set your own policies. I think currently with Virtual Assistance still being a fairly new industry and with the current economic climate, that many small biz owners and entrepreneurs might be a little less inclined to want to be locked into a minimum number of hours.

I also subscribe to the belief that if a client pays for the hours then should get the hours they paid for regardless of whether that happens in 30 days or 60 days. One of my best clients pays for 40 hours at a time. Sometimes she uses that in 30 days when she's really busy and sometimes when she's not as busy it can take 45-60 days. I believe she appreciates my flexibility and the convenience that I offer as an alternative to hiring an employee. If she felt she was locked into a certain number of hours each month then perhaps she might choose fewer hours overall in the long run just to be sure she wasn't paying for hours that she did not use.

As virtual assistants we often promote ourselves as the flexible or convenient option to hiring an employee, however I feel that requiring my clients to use a minimum number of hours in 30 days is somewhat contrary to that. Again, this is just my own personal belief and it works well for me. I completely understand and support other business models that work well for other VAs and for their own personal situation. As VAs, we each have different types of clients and our businesses are set up to support different industries so it only makes sense that what might work for one, may or may not work for another.

I guess my point here is that if you are considering implementing a minimum number of hours then to carefully consider the ramifications this may have with your current clients as well as future clients. Please post back and let us know how your clients reacted to your approach.

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Kimberly
Social Media Specialist

I agree with Kimberly, with today's economy and the mindset of the small business owner you may be shooting yourself in the foot. I have a one hour minimum but that is the only stipulation. I have several pay as you go clients and would loose them if I set a minimum which would make me loose some great clients.

I too am curious how this goes for you.

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Lee Drozak
My Office Assistant

I agree with everyone's comments. I also have a one hour minimum like Lee does but that is all. I want to make my terms/conditions work for me but they also have to work for my clients or they will just be looking for another VA.
Please keep us posted to the outcome, thanks.

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JoCarole
http://www.shoreofficeservices.com

I'm planning to require a minimum of 10 hours per month. I know I am going to lose one or two clients over my decision. But I'm finding that some clients who pay for the least number of hours tend to be the most high maintenance in the long run. They're the ones who always seem to want something for nothing. So I'm shooting for quality over quantity.

I'm giving myself a few more months to firm up my plan, but I'm pretty sure I'm not going to change my mind. My goal is to have a small number of quality clients rather than 100 clients who pay me for one or two hours a month.

It may be a tough lesson learned, but I'm at least going to give it a try.

I'll be really interested to hear how your clients react to this change. At my last job we worked with a number of contractors who were always paid for a minimum number of hours, but these folks had very specific knowledge in their field and would not have been easily replaced. I can see where this would be the case with you, too, if you have a great reputation with your clients!

Also, if most of your clients already meet your minimum # of hours without trouble, then this may not bother them very much. They won't expect that they'll ever need to pay you for un-used hours. It will probably be an issue for those who usually use fewer than 10 hours, but it sounds like those may be the ones you're trying to weed out.

On the other hand, if you want to keep some of the clients who come in under 10 hours every month, then perhaps Kimberly's suggestion would work better, where they pay for a specific number of hours up front and you use all of the hours up before they buy more?

Keep us updated! and Good Luck!

I've been using the "pay as you use me" method. I do require a 2 hour minimum and then bill by the hour.

All of the clients I work for were comfortable with this. I think I would have lost two of them if I had required a 5 or 10 or higher "buy hours up front" method.

But, as several have said, it depends on your current clients, how much work you do for them each month, and if you think they will buy time "up front".

Keep us posted.

Carol
CJ's Virtual Business Solutions

I am retainer based only, although I have 2 clients that are PAYG for at least 3 years. My minimum is 10 hours per month. My reasoning is that I certainly cannot really get to know my clients or their businesses in less hours. It then becomes a project-based practice, which is not what I want.

If a potential client does not want to work on retainer, perfectly fine - as I can't work with everyone. :-) It just leaves room for that perfect client to walk through the door. Also, by working on retainer, it absolutely makes my work easier because I guarantee them the time, block out the time, and don't have to stress if a client sends me something that I really don't have time to do in a quick time frame.

All things said - a retainer-based practice helps me really develop the relationships that I want, the business model I want, and I work with really great clients who get it that a VA-client relationship is just that - a relationship.

That is what is nice about this industry - you build what you want! :-)

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Kyle Sheldon-Chandler
KSC Virtual Assistant Services