New to the business a client asked about how to charge for digitizing.  

There are a couple of ways people address it depending on they way they want to run their business. One is to build it into your cost and figure if they order over a certain amount you will eat it. The other way is to charge a set up fee. If you plan on giving the client the digitizing after the work is done, you can bill it as digitizing but if you want to remain the proprietor it needs to be on the invoice as a set up charge. That way they do not see it as a direct expense of digitizing and feel they have the right to demand a copy.

Some people charge a mark up on the digitizing figuring they spend time organizing for the digitizing or doing it, others figure it is part of the normal expenses of doing embroidery like thread and do not add extra to it. It really depends on how you view it and what your client base is like.

The only strong advice I would say is DO NOT GIVE IT AWAY. There is a value to doing a custom design just like when you go to print something that is custom the customer should expect to pay for artwork set charges. If you explain that it is something that is done specifically for them and will never be used again unless they order more, it helps them understand.

Another strong advice I would give is if it is the first time you are dealing with someone be sure and get some cash up front. It will be a hard earned lesson if you do not heed these words. Sometimes the most agreeable customer can become very fussy and changeable and if you have no money up front you can end up in the hole. The customer that volunteers a credit card number is usually the one to hang onto. They understand business and ready to deal professionally.

The Embroidery Dinosaur

Beverley Field