2005Legal / Business Practices forum
How to handle inconsistent day rates when different clients pay different amounts for the same labor
21 years old. Gear and prices may have changed since.
What the thread found
- When clients offer higher rates than your standard asking price, accepting those rates without renegotiating downward is financially sound practice
- Producers will attempt to negotiate rates downward whenever given an opportunity, so revealing that previous clients paid more gives them leverage to push for lower fees
- If you need to shift income allocation between labor and equipment rates, cite new investments or equipment upgrades as justification rather than admitting previous rates were excessive
- Day rates for standard positions like grip, operator, or gaffer tend to be established within a local market, and clients are usually aware of prevailing rates in their region
- Underbidding on labor rates compared to market standards may indicate that your pricing was initially too low rather than that new clients are overpaying
Depends on
- Discussion occurred in 2005 and may not reflect current market conditions
- No specific examples or data provided to confirm whether the labor rates mentioned were actually above or below market standard
- The conversation assumes all clients are aware of standard market rates, which may not always be true