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As a web design business owner, your company’s primary responsibility is to ensure the client’s website is visually pleasing. Depending upon the customer’s needs, the designer will either use a site template or create the design and develop the site.

What are the costs involved in opening a web design business?

Many web design entrepreneurs choose to start out operating from a home office. Without the startup and operating costs associated with renting or purchasing office space, you’ll save a significant amount of money. With this portion of your budget freed up, you can re-invest in your business through education, web design tools, and marketing.

Below is a list of basics you’ll need to get started:

Marketing materials – website, brochures, and business cards
Attorney and/or CPA to help ensure you have a solid business plan and that it’s carried out smoothly

What are the ongoing expenses for a web design business?

As a web design business owner, your overhead expenses will be fairly minimal. Below are a few items you’ll want to budget for in your monthly expenses:

Rent/mortgage on office space
Travel and fees associated with continuing education and conferences
Computer maintenance and repair
Payroll expenses – you could combat this expense by keeping your core team small and hiring independent contractors to help out with larger jobs.

Who is the target market?

You’ll most likely have numerous clients whom you never hear from again, once their website is built. While there is nothing wrong here, it does cause a bit of instability and requires constant marketing to maintain a profitable workload. Therefore, your most valuable clients will be the ones that realize the benefit of having a website that is continuously maintained and upgraded. With each customer retained, work diligently to build a strong and trusted relationship. With this foundation built, they’ll consider you an extension of their workforce, looking to you for guidance for many years to come.

How does a web design business make money?

Your web design business will generate revenue through each website designed and/or service provided. Most designers require new clients to pay a retainer, with the balance due once services are complete.

How much can you charge customers?

Your fees depend upon the specifics of the project and your client’s individual needs. Projects can range anywhere from $3,500 to over $40,000.

How much profit can a web design business make?

The average profit of a freelance web designer is almost $75,000 annually. Imagine the possibilities if you had a team of talent and were able to offer a diverse set of services.

How can you make your business more profitable?

The following are a few strategies other web design business owners have implemented to ensure a more profitable business:

Web designers are responsible for the visual layout of a page or site, whereas web developers are more responsible for the coding and building of a site. By offering both services to potential clients, you make yourself a more desirable candidate for a project.
In addition to web design and development, offer additional services such as: graphic design, content writing, content marketing, inbound marketing, and web hosting.
Consider joining affiliate programs for tools you use to complete projects. This is a great way to earn extra money for referrals.
Design ecards.
Design and sell templates.
Offer holiday specials such as redesign services. For example, Google changes their logo every day. You could design unique holiday logos and landing pages for existing clients. This is a great way to increase your profits and remind clients of all you have to offer.
Host webinars and create tutorials – the number of topics to choose from is endless.

What will you name your business?

Choosing the right name is very important. Read our detailed guide on how to name your business. We recommend checking if the business name you choose is available as a web domain and securing it early so no one else can take it.


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