A Guide for Ethical Entrepreneurs, Community Businesses & Service Providers

Pricing your services shouldn’t feel like a race to the bottom—or a guessing game. For many small business owners, especially those committed to ethical sales, community-based economies, and alternatives to capitalism, pricing is one of the hardest parts of running a business.

How do you charge enough to sustain your work, while keeping your services accessible to the people who need them most? How do you avoid the pressure of undercutting yourself just to stay competitive in a system that prioritizes profit over people?

If you’ve ever struggled with these questions, you’re in the right place. This guide will help you align your pricing with your values, create a sustainable business model, and set up a fair and ethical sales strategy that doesn’t rely on predatory marketing tactics or social media ads.

The Problem With Traditional Pricing Models

Many small business owners are told to "charge what you’re worth"—but what does that even mean? This advice comes from a profit-driven, capitalist model that often ignores the realities of cooperative economics, mutual aid, and community-based businesses.

The Three Biggest Pricing Traps

❌ The “Charge What You’re Worth” Myth
Your worth isn’t tied to money. Your pricing should reflect the true cost of your work, not an arbitrary market standard.

❌ The Race to the Bottom
Pricing too low to compete often leads to burnout and unsustainable business practices—especially for ethical entrepreneurs who don’t exploit workers or rely on mass production.

❌ Overpricing Just to Keep Up
Many digital marketing and business coaches push premium pricing as the only solution. But charging high prices just to match an industry trend can make your work inaccessible to those who need it most.

How to Calculate Sustainable Pricing (Without Exploitation or Burnout)

Instead of guessing your rates, start with what YOU actually need to sustain your business.

💡 Key Elements of Pricing for Sustainability:
✅ Cover your personal and business expenses
✅ Pay yourself a living wage (not just “getting by”)
✅ Factor in time, skill level, emotional labor, and overhead costs

📝 Quick Exercise: Calculate Your Baseline Rate

1️⃣ List all your personal + business expenses per month
2️⃣ Divide by the realistic number of working hours per month
3️⃣ That’s your baseline hourly rate (before factoring in profit, taxes, and savings)

📌 If the number seems too high for your clients, it’s time to look at your entire revenue model—not just your prices.

Sliding Scale Pricing: What Works & What Doesn’t

Sliding scales can make your services more accessible while ensuring your business stays sustainable.

✅ What Works in a Sliding Scale Model:

• Clear pricing tiers (e.g., Full Price, Community Rate, Equity Rate)
• Transparency about why you offer it (accessibility, not charity)
• A limited number of sliding scale spots to maintain financial balance
• Payment plans that allow flexibility without undervaluing your work

🚫 What Doesn’t Work in Sliding Scale Pricing:

• Letting people self-select with no guidance (some underpay out of guilt, others take advantage)
• Uncapped discount spots that leave you struggling to pay bills
• Using sliding scales as a substitute for a sustainable pricing model

🛠 Example: How an Ethical Business Consultant Uses Sliding Scales
Many ethical business consulting services operate with a sliding scale model. For example, they may:

• Offer cooperative consulting rates for community organizations
• Use grant funding or sponsorships to cover reduced-fee spots
• Charge full-price to larger businesses to subsidize accessibility for small community businesses

The Big Picture: What If One Offer Can’t Sustain Your Business?

If adjusting your pricing for sustainability makes your services too expensive for your audience, that’s a sign to look at your entire revenue model.

📌 Most businesses need multiple income streams to be sustainable.

✅ Not every offer has to carry your full income
✅ You may need 2–3 revenue streams to balance affordability + sustainability
✅ It’s okay to take on part-time work while growing your client base

💡 Example: How I Built a Sustainable Revenue Mix
I work primarily with early-stage businesses, many of whom aren’t generating much income yet. If I only relied on 1:1 coaching at a sustainable rate, most of my audience wouldn’t be able to afford me.

Instead, I built a revenue mix that allows me to keep my pricing fair while staying financially stable:
1️⃣ Sliding scale coaching spots (knowing some clients will pay full price)
2️⃣ Teaching marketing courses through grant-funded programs (e.g., VSAC grants)
3️⃣ Partnering with cooperative consulting groups that provide stable income streams

How to Raise Your Prices (Without Guilt or Backlash)

Many small business owners struggle with raising their prices, even when it’s necessary.

Signs It’s Time to Raise Your Prices:

• You’re fully booked but still not making enough money
• Your experience and expertise have increased
• Your business expenses have gone up

How to Communicate a Price Increase (Without Losing Clients)

💬 Simple Email Script for Raising Prices:
"As of [date], my rates will be increasing to [new price]. This change reflects the sustainability of my work. For current clients, I’m offering a transition period where you can continue at your current rate for [X months]. Let me know if you have any questions!"

Handling Pushback on a Price Increase

💬 Client: "I can’t afford your new rates."
💡 Your Response: "I totally understand! I offer [payment plans/sliding scale options] that might work for you. Let me know what feels doable."

Final Thoughts: Pricing for a Post-Capitalist Society

The way we price our services can either uphold exploitative systems or help build a more just, cooperative economy.

💡 Key Takeaways:
✅ Your pricing should be sustainable for YOU and your clients
✅ Sliding scales + multiple revenue streams can balance accessibility + income stability
✅ Raising prices isn’t greedy—it’s necessary for long-term sustainability
✅ Ethical sales + community-based economics go hand-in-hand

🚀 Want to learn more about ethical business practices? Check out my marketing course video on digital marketing without social media for more sustainable business strategies.

And download the workbook that goes with this blog post, here!