Ten Benefits of Fixed Price Agreements

Source: Solutions for CPA Firm Leaders

The following includes excerpts, reproduced with permission, from a blog entry by Rita Keller.

I still meet many CPA firm owners who have never heard Ron Baker speak, nor read any of his books, blogs or articles. If you fit into that category and want to learn a whole lot in a very short time, read Baker's guest blog post on the Xero blog site.

Baker explains the concept of Fixed Price Agreements (FPAs). If you are caught in the we-can-only-bill-by-the-hour trap, it's time to broaden your horizons. Take a few moments to read his brief explanations of each of the following advantages of the FPA:

• Pre-qualifies the customer
• Opportunity to cross-sell
• Value pricing gains “ego investment” from the customer
• Quoting fixed prices projects confidence and experience
• Increases a customer's switching costs
• Forces your firm to be effective
• Overcomes buyer's emotions
• The firm maintains the pricing leverage
• Prices can be increased each year
• Provides a competitive differentiation

For the original entry, read “Try It, You Just Might Like It – Fixed Price Agreements.”

From Solutions for CPA Firm Leaders, the blog of Rita Keller, March 26, 2013, http://ritakeller.com/blog/.