3 Ways To Increase Coaching Client Commitment Through Structuring Your Payment Options

I mentioned in my recent free training “4 Keys to Enrolling High-Paying Clients” that having a payment plan option is a great way to accommodate those who really want to work with you but don’t have a big chunk of cash sitting around. However, I have seen many coaches offering payment plan options in a way that discourages client commitment.

We talk about “getting clients” all the time, but when you get the clients, how do you inspire commitment so your clients put in the work and get results? Having clients who achieve great results is the best way to a sustainable coaching business – they will send you referrals and give you glowing testimonials!

A poorly structured payment plan actually decreases a client’s commitment to doing the work and getting the results because it encourages the mindset of having an “out” along the process.

Before we talk payment plan structure, banish the concept of “$xxx PER MONTH”. You DO NOT charge for your time. You charge for the results you deliver. The amount your clients invest in themselves through you represents the value these results are to them.

A payment plan represents installments to complete financial obligation to a COMMITMENT, which means your clients do not have the option to evaluate whether they want to continue from month to month.

Here is what you can do to structure a payment plan so your clients have more “skin in the game”, do the work and get results!

#1 Ask For a Non-Refundable Deposit

Instead of dividing up your program investment into equal chunks by the number of months in your program, ask for an initial non-refundable deposit before you start work. This deposit can be 1/4 to 1/3 of the total program investment. E.g. If the investment is $3,000 for your 6-month program, you can ask for a $1,000 non-refundable deposit, and then divide the $2,000 balance into 5 payments.

#2 Encourage “Pay In Full” With a Discount

A client who pays in full is much less likely to bail – because they don’t have to go through the “mental process” of seeing the credit card bill every month showing the money they are paying for their work with you. A client who has paid you in full is “all in”.

Again, it may be hard for someone to be sitting on a few thousand bucks ready to pay you, so you can ask for an initial non-refundable deposit to start work, then the balance to be paid in full within 30 days. To entice your clients to take this route, you can add a “Paid In Full” Discount. E.g. Your program investment is $3,000. You offer a “paid in full” discount of $250, so your client’s investment will be $2,750 if she pays in full. You will collect the $1,000 non-refundable deposit before you start the sessions, then the $1,750 balance within the next 30 days.

#3 Sign an Agreement To Set Expectation

Have a simple coaching agreement that all clients need to sign before starting work with you. The agreement will clearly indicate any payment terms and guarantee (if you offer any). It should be clear that the client agrees to pay the full amount of the program investment, regardless of payment option chosen, even if she wants to bail halfway. It is also a good place to reiterate the fact that in “coaching”, clients are solely responsible for the results of the work you do together – having them read and sign such agreement immediately raise their awareness of the fact that they need to put in the work and take responsibility of the outcome.

Pricing and payment plan is a tricky thing, I know. But it is also an essential part – “the last mile” – when it comes to getting awesome clients who are willing to pay a premium fee for your service. Want to get more clients? Download this exclusive invitation to the complimentary More Clients Please Strategy Session.

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