Value-Based Fees: How to Charge—and Get—What You're Worth: A Guide for Consultants, Second Edition

6.3. ORGANIZING THE SCOPE AND MANAGING PROJECTS WITHIN THE RETAINER

One of the most common problems with retainer assignments is that more traditional consulting projects "crop up" in their midst, like mushrooms after a thunderstorm. One day you're on retainer, and the next you're surrounded by projects.

Consultants generally worry that their retainer has become a "catch-all" for projects that in and of themselves would represent more lucrative assignments if taken on in a value-based billing system. And they're right.

You have to make clear to the client that any discrete projects that may arise during the retainer's time frame are not included in the fee for the retainer itself, and this is easier said than done. The major problems and challenges follow, and they shouldn't be taken lightly because they impinge on your effectiveness for the client and, quite realistically, your income.

The client will tend to view you as a resource—almost as an employee—who can be "assigned" as the client sees fit, if you don't counter that notion early in your retainer education. That's why I've stressed that access is the value you are selling (the ability to "pick your brain"), not projects. The client must not be allowed to think that the retainer is showing a return on investment only if you are actively engaged in some activity. You have to draw a clear line in the sand from the outset. For example, if you choose to take on an early project within the retainer at no additional fee "just ...