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Recently I was asked by another graphic designer how much he should charge one of his customers for a logo design. Below is an edited version of what I told him.

I have three (3) different rates based on small, medium and large scale businesses with the last two (2) coming with perks like a ‘stationery package’.

For start-ups or small businesses I currently charge a reasonable rate that does three (3) things:

1) It is a good and fair price for a new graphic designer and

2) It makes people see the value-added of having a logo design and

3) It communicates to people that a logo is not a mere ‘commodity’.

You have to evaluate each client and what they say their budget is because you stand the risk of being “low-balled” since people will always try to negotiate the lowest possible price. You need to establish your price and let them know what that figure is. If they ask for a “discount” let them know you do not give discounts, but you might be willing to “not include” a specific charge in the overall cost for let’s says “online research” or “development of concepts”. This makes the client see the value of your work.

In this particular instance, as you said, you might get ongoing work from this client so that’s something you can factor in when you think about charging him. But establish a fair price and if anything you can offer this client a lower price if he says to you it’s too much. You will have to look at how low you’ll be prepared to go. Sometimes a little bartering is good where he can give you something else of value for you taking off a specific cost off the overall price.

In the end, you have to know what payment you would be comfortable with.

Fun Fact: The price for logo design is not just for labour, but more for IDEAS.

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What Should You Charge for a Logo Design?
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5 thoughts on “What Should You Charge for a Logo Design?

  • July 25, 2013 at 05:59 AM
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    I agree – a good designer can capture the idea of the subject. I have learned to focus on specialty or allow the SME (subject matter expert) to handle the topic. Many small businesses fail for this exact reason on a larger scale.The owner tries to market, do accounting, inventory, and lead. It is better to allow focus in areas – and the small business owner needs to work on adapting to demands not burying him or herself in the other details – but taking action on the data provided by others.

  • July 25, 2013 at 12:16 PM
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    Phil that’s sound business advice. Entrepreneurs must be fair in their pricing, but must also be smart in doing so. If the price is too high the client may not wish to use your company and the reverse is true too; if it is too cheap they will not value your work. Totally agree with you on the point of not being hasty to give discounts. Clients who want the best will be willing to pay for the best. Therefore entrepreneurs in what every field should let their work speak its value. Keep up the good work and congrats on your successes so far and many more to come!

  • July 25, 2013 at 02:16 PM
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    Agreed with all your points Joe. This is something I’ve come to learn as well and it makes the entire process so much smoother.

    Some graphic designers forget that their role is to sometimes give the client what they need and not always want they want.

  • July 25, 2013 at 02:17 PM
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    Thanks Camille. You definitely get what I was saying about creating ‘value’. Thanks for your comment on this blog entry as well 🙂

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