What’s Your Budget?
There may be no more polarizing question I have to ask of a potential client than, what’s your budget? So why do I ask? Simple…..time. What is worth more than the materials needed to build your table, bench, live edge bar, cutting board or anything else that comes out of our shop? Time. So you may be wondering, what does time have to do with the question, “what’s your budget?”. Let me explain.
Here’s how an initial conversation with a potential client would go in the past before asking, what’s your budget?
Client: How much is a dining room table?
Me: What size table are you looking for?
Client: 6 foot
Me: What species of wood?
Client: I don’t know
Me: Ok, what style of table are you looking for?
Client: I’m not sure
Me: Ok, do you want the table to be left to show the natural wood color and just sealed? Do you want it stained and sealed? Do you want the base painted?
Client: I don’t know. Can I see some options?
Me: Sure. What I’ll do is put together a few quotes for you that will show how the price can vary depending on species of wood, style of the table and the different finishing techniques. Additionally, I’ll create a 3D rendering for each so you get a real life idea of what your finished piece will look like. I’ll be in touch by the end of the week.
Client: Sounds great!
What happens next? I contact my supplier. Get the board foot cost on multiple species such as Ash, White Oak & Walnut. I then do some rough calculations to get a general idea how many board feet of material will be needed for this project. (If you’re wondering what a board foot is, that’s a conversation for another day) Next comes figuring out how long it will take to mill all the rough lumber, gluing and clamping the top together, flattening the top, sanding and finish work. The same will need to calculated for the base. Shop overhead and all the supplies needed for the job are then added to the quote. Finally, I’ll then create 3D renderings for the client. 3 to 4 days later I’ll contact the client and here’s the conversation. (prices chosen randomly)
Me: I sent over the quotes for your table. For Ash it will be $1750.00, White Oak, $2500.00 & Walnut $3250.00
Client: Oh, that’s way over my budget. I can only spend $500.00
Me: I’m sorry, I’m not able to build you a table for that. We only use quality hardwoods. My cost on materials far exceeds your budget. (Then I may or may not take the TIME to explain why they should not build with box store lumber etc)
So…..here we are 3-4 days later. Hours and hours of time lost because the simple question, “what is your budget?”, wasn’t asked. Now, does asking the question solve everything? No. Generally, it stops the conversation. I think in general, people hesitate to answer the question because they think I want to max out their budget. That couldn’t be further from the truth. All I want is to know if we’re on the same page. So here’s how the conversation goes now:
Client: How much is a dining room table?
Me: What size table are you looking for?
Client: 6 foot
Me: What is your budget?
Client: I don’t know. I don’t know what it should cost. I’m just getting prices.
Me: I understand but the species of wood, style & finish can greatly change the cost of a table. So if I can understand what your budget it, then I can offer you the best option within your budget.
Client: Yeah I just don’t know what my budget is
Me: I apologize but I can’t proceed without a budget. Or, if you would like me to proceed with the quoting process, there will be a $250.00 non refundable consultation fee. If you choose to accept the quote, the consultation fee will be deducted from the quote.
Sometimes the client will then give me their budget. Sometimes not. They may say their budget is $500.00 and I can tell them on the spot that I don’t have any dining room table options for them. They may say $1500.00 and at least I know at that point that I may be able to offer them something. It may not be under their budget but at least close to it and I know they are serious. No matter what, if you’re asked, “what’s your budget?”, please know it’s not so I can take advantage of you. It’s so we can both save TIME.
KC
