When to Raise Your Prices—and How to Do It with Confidence

When to Raise Your Prices—and How to Do It with Confidence

Raising your prices can feel intimidating—like you’re about to scare off loyal customers or price yourself out of the market. But here’s the truth: raising your prices is often a necessary, healthy part of growing your business.

If you’re feeling the nudge but aren’t sure how (or when) to make the move, this post is for you.

Signs It Might Be Time to Raise Your Prices

✅ You’re Fully Booked or Have a Waitlist If demand is high and you can’t keep up, it may be time to increase your rates.

✅ Your Costs Have Gone Up If software, materials, or labor costs have risen, your pricing should reflect that.

✅ You're Overdelivering (and Undervaluing Yourself)If you’re offering premium service at bargain pricing, you're shortchanging yourself.

✅ You Haven’t Raised Prices in Over a Year Regular increases keep you aligned with inflation and business growth.

✅ You Feel Resentful or Burned Out This is often a sign you’re working too much for too little.

How to Raise Prices (Without Losing Clients or Confidence)

1. Start with a Pricing Audit

• Compare your prices to competitors

• Evaluate your expenses, profit margins, and value delivery

Know your worth and make sure the numbers support it.

2. Communicate Clearly and Professionally

• Give clients advance notice (30 days is standard)

• Explain the reason if appropriate (rising costs, expanded service, etc.)

• Stay positive and confident—you’re not apologizing; you’re informing

Pro tip: Frame it as an enhancement in value, not just a price bump.

3. Offer Loyalty or Transition Options

• For long-time clients, consider a gradual increase or grandfathered pricing for a set period

• You can also bundle added value to help the new pricing feel like a win

Transparency + value = better client retention

4. Practice Your Confidence (Yes, Really)

• Say your new price out loud until it feels natural

• Roleplay how you’ll respond to questions or hesitation

Confidence sells—and if you believe in your pricing, your clients will too.

5. Update Your Systems

• Update your contracts, website, invoices, and proposals

• Train your team to explain the new rates if needed

Final Thoughts

Raising your prices isn’t greedy—it’s strategic. It protects your energy, honors your growth, and ensures your business is sustainable.

And remember: you don’t have to be the cheapest to be the best—you just have to deliver real value.

Need help analyzing your pricing, costs, and profit margins? KB2 Bookkeeping & Tax can help you price confidently and profitably. Let’s make sure your numbers work as hard as you do.