You know as a business owner that to raise prices is one of the most uncomfortable parts of running a service-based business. No one wants to surprise loyal clients with higher costs—and yet, with inflation, supply chain issues, and rising labor rates, it’s unavoidable.
So how do you communicate a price hike without losing trust—or clients?
Jeff Hudson, owner of RYMAC General Contracting and former U.S. Marine, built his business from the ground up after years of managing other people’s projects. Through trial, error, and integrity, he’s mastered the art of communicating price increases in a way that keeps his customers informed, respected, and coming back.
Here’s what every service-based business can learn from his approach.
1. Be Transparent—But Prepared
Hudson’s number one rule: never approach a client about money without a plan.
“I don’t like to approach an owner talking money without having an option A, option B, and option C,” he says.
When unexpected costs come up—a change order, material delay, or vendor price spike—Jeff doesn’t just drop a new bill on the client’s desk. Instead, he brings multiple solutions:
- A cost-effective alternative material
- A different supplier with a shorter lead time
- Or a phased approach to spread the cost
That preparation builds trust. Clients see he’s not just passing on costs—he’s actively protecting their budget.
Takeaway: Before you announce a price hike, anticipate your client’s concerns and prepare multiple paths forward. You’re not just delivering a new number—you’re offering a plan.
2. Frame the Conversation Around Value, Not Cost
Most clients don’t object to paying more—they object to not understanding why.
Jeff focuses on what clients gain by staying with RYMAC:
- Dependability
- Quality work
- Professional communication
In any business, value outweighs cost when customers trust that your work saves them time, frustration, and risk.
Takeaway: When announcing you will raises prices soon, connect it to the continued value you provide—whether it’s improved service, better quality, or greater reliability.
3. Communicate Early and Often
In construction, Jeff locks in prices with suppliers early to avoid spikes—but when prices do rise, he makes sure the client hears it from him first.
“It’s all about respect,” he says. “You can be direct without being aggressive.”
That respect builds long-term partnerships. Surprises kill relationships, but proactive communication strengthens them.
Takeaway: Give clients advance notice of upcoming increases. Explain when and why changes are happening—and assure them it’s part of maintaining the standards they already value.
4. Keep Relationships Front and Center
In both military service and business, Jeff learned that leadership is about people, not numbers.
“You can’t just slam a bill on their desk,” he says. “Find the solution first, then the price.”
When you treat clients like partners rather than paychecks, they’ll respond with loyalty. Even in challenging times—like rising material costs or tight schedules—clear communication and empathy win out.
Takeaway: See price conversations as an opportunity to reinforce relationships, not risk them.
5. Know Your Worth and Stand By It
The hardest part of a price hike isn’t what you say—it’s believing your work is worth it.
Jeff didn’t start his business until age 40, after realizing he was building someone else’s success. Once he stepped out on his own, he learned the power of valuing his time and expertise.
If your prices haven’t changed in years, or if you’re constantly overbooked and overwhelmed, that’s a sign your value has outgrown your current rates.
Takeaway: To raise prices isn’t greedy—it’s healthy. It allows you to keep delivering great service without burning out or cutting corners.
Final Thoughts
Price increases don’t have to mean losing clients. When handled with transparency, timing, and trust, they can actually strengthen your reputation.
As Jeff Hudson puts it, “Today might be tough, but there’s always tomorrow. Get through today—and come back stronger.”
Raising prices isn’t about what you lose—it’s about what you build: long-term stability, respect, and a business that lasts.
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