Doula Business Advisor: How to Set Your Rates

For doulas opening a business, an important early decision in setting up the business is “how much should I charge?” The answer is based on the composite answer to the following questions.

What are your expenses? Typically, expenses are minimal for service-oriented businesses. Rarely is it necessary to rent office space, invest in inventory, or buy expensive supplies. But that is not to say that there are no expenses. At a minimum, there is the cost of professional affiliations, continuing education expenses, mileage, marketing, some supplies, and, for some, child care.

Think of the ratio of expenses-to-income for self-employment in the same way that you might perform a calculation for choosing to work outside of the home. In order to work outside the home, one needs to factor in the cost of a suitable wardrobe, transportation to and from work, increased cost of eating more meals out and grabbing food on the go, and, last but not least, child care. Tax implications for the additional family income also need to be taken into consideration. If, after doing these calculations, you discover that the job will net $3 per hour for your efforts, you might just decide that the benefits of the income versus the downside of paying others to raise your children is not a ratio you can live with. Those of us who are self-employed also have a cost of doing business and must make similar calculations when setting our fees. Start by making a list of your anticipated expenses.

To be continued …

The Doula Business Advisor blog is designed to support the establishment and long-term sustainability of private doula businesses. Patty Brennan is the author of The Doula Business Guide: Creating a Successful MotherBaby Business.

Posted by Patty Brennan on February 15, 2011 • Filed under Doula Business Advisor
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