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I've raised my rates in the past, and it has both helped business and improved the quality of my clients, no doubt.

But in Israel, I've found that anything over $100/hour scares off everyone, including the very largest potential clients. They're used to paying $60/hour for top brass at a consulting firm, which makes it difficult to convince them that my higher rates are worthwhile.

I'm not saying that convincing them is impossible; I've made a living in this way for 15 years now, helped in part by my willingness to negotiate and discount my rates in exchange for long-term agreements. But whereas the US and Europe might have large, wealthy companies with technical needs who don't flinch at $150/hour or even $200/hour, such rates would get you tossed out on your ear in Israel.

That said, I haven't tried charging by the day, and will give it a shot at the next opportunity. I'm very curious to see what happens then.



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