The biggest business challenges designers face (and how to fix them)
Your business challenges probably boil down to one thing: not knowing how to run a business properly.
Design school doesn’t teach you pricing, marketing, client management or how to scale - so it’s no surprise that many designers struggle with growing their business.
Here are some of the most common challenges interior designers face and (more importantly!) how to fix them.
1. Pricing and profitability (undercharging)
Most designers undervalue their work and undercharge. If your pricing is too low, you attract the wrong clients, burn yourself out and make it nearly impossible to build a sustainable business.
The problem:
No formal training in business or pricing
Fear of charging too much and scaring off clients
A lack of understanding of how to price profitably (hint: you should not be charging by the hour!)
The fix:
Stop guessing and start tracking. Your rates should account for expertise, time and overhead. But the first step to being able to do this is to understand how long things are tacking you now. For the next week track your time in 15 minute increments. It will be a boring process for the week, but it will start to give you an idea of exactly how long things are taking you. Make sure to track time spent on client work in particular. Understanding how long you spend on the design process will help you improve your pricing.
Use value based pricing, not just hourly rates. Clients pay for the result, not how many hours you put in. Learn about value based pricing and start to implement this model. See THIS POST for info on value based pricing.
Have minimum project fees and turn away clients if they don’t meet them. If a client’s budget doesn’t align with your fees, they’re not your client.
A profitable business starts with profitable pricing. If you don’t fix this, everything else will always feel like an uphill battle.
2. Finding a steady flow of clients
Here’s a common scenario - a designer panics because they don’t have any clients, so they do some proactive lead generation for a while (e.g. get serious about IG posting or reaching out to partners to collaborate) and they then get some clients. They then get busy fulfilling their client load that they stop posting on IG or they stop nurturing the partner relationships, so the pipeline of client work dries up and they then find themselves without clients again.
I call this the ‘feast or famine’ scenario.
The problem:
Not using Instagram as a strategic marketing tool
No partnership/collaboration strategy in place
No lead generation or sales funnel (aka, a predictable way to bring in new clients)
No clear differentiation - your brand looks like everyone else’s
The fix:
Stop wasting time on generic social media advice. You need targeted marketing that speaks directly to high-quality clients. If you don’t know how to do this you need to learn.
Start sharing your Spiky POV in your content - stop being generic and sharing the same stuff as everyone else (see my LinkedIn post below about this)
Partner with other businesses who are already working with your ideal clients - these relationships take time and effort to build and nurture.
Have a predictable sales funnel: E.g. Content → Inquiry → Paid initial design consultation→ Booked project
If you don’t have a system you use to attract and convert clients predictably, your revenue will always be inconsistent.
3. Working too much for not enough money
Interior design is a time intensive job and without proper systems designers end up working 60+ hours a week, struggling to take on more clients without burning out.
The problem:
No delegation - trying to do everything alone
Not making use of AI tools (e.g. ChatGPT/Claude) to speed up aspects of their workflow
Every project feels like reinventing the wheel - despite the fact that most projects have the potential for repeatable systems (i.e. the workflow of most projects are the same)
Too much time spent on admin and back-and-forth emails
The fix:
Build systems into your workflow - e.g. create standard operating procedures (SOPs) for every stage of your projects (or get the ones I’ve already written for you HERE).
Use AI to speed up aspects of your workflow - e.g. responses for email queries you get regularly, help writing a scope of work, summarise meeting recordings, do research
Batch your work and use templates. Stop starting from scratch - have templates for every aspect of your work - e.g. fee proposals, client welcome packs, design concepts - don’t start from scratch each time you start a new project. If you want to save time with this - get my templates for designers here
Time is your most valuable asset as a service based business owner. Find ways to make the most of it.
4. Chaotic business systems
Many designers run their businesses on gut instinct rather than clear processes and systems.
The problem:
No step by step process for client onboarding or project workflow
Handling procurement and orders manually
Lack of automation - e.g. spending hours on tasks that could be streamlined
The fix:
Use a project management system (like my client project tracker or others on the market) to stay on top of every detail of your projects
Map out your client journey from inquiry to final install - understand what it’s like to be one of your clients throughout every stage of working with you
Automate wherever possible. If you start a task and know you will do the exact same task again at some point in the future then turn it into a template or system. It will take you a bit longer the first time as you set it up - but after you’ve set up the system you will save yourself time when you next need to repeat that same task.
A business with strong processes is scalable. A business without them is a constant source of stress.
5. Poor client management, scope creep, late payments
Managing clients can be one of the hardest parts of this industry. Designers constantly deal with unrealistic expectations and client demands. Solving this all comes down to strong client leadership.
But you need to remember that you are working with clients on their largest financial asset - their home. But it’s not only a financial asset, it’s also a place that has deep connections for most people. As a result they can have a lot of emotion around it.
The problem:
Clients don’t understand what’s involved in the design process (or how long it actually takes)
Clients don’t trust their designer (because they think they are doing shady things behind their backs - which many are!)
Scope creep
Clients argue about pricing or trade discounts
Delayed payments which impact your cash flow
The fix:
Set clear boundaries from day one. Have a solid client agreement/contract in place AND send out a client welcome pack as the project starts. This sets expectations and tone for the entire project.
Get paid upfront. Never start work without at least a 50% deposit on the phase of work you are starting. Get balance payments prior to delivery of work for that phase.
Send a Friday Email - this is a weekly email that keeps them in the loop of exactly what is happening in the project and where things are up to. If they feel like you are on top of things they will be less inclined to try and micro-manage you.
Be ethical and transparent about how you work and how you price. Clients won’t trust you if they think you are hiding something. Be honest about the way you work and make sure clients agree to this before starting work with you. Building trust with your client will lead to them leaving you alone during the project.
Also - once you’ve set your rules and expectations make sure you stick to them. For example if you tell clients you don’t answer texts after hours or weekends then make sure you don’t! The first time you deviate from your own expectations/rules will be the last time your client respects them.
6. Staying on top of trends, marketing, AI
The design industry moves fast and the rise of AI can make it hard to keep up.
The problem:
Feeling pressure to keep up with all the changes happening with AI
Struggling to adapt to digital tools
Overwhelmed by social media and content creation
The fix:
Be proactive about your professional development - join communities or programs that help you stay on top of what’s happening and changing in the industry. The Little Design Corner Community is a great place to join for example!
3D renderings and being able to use technical drawing software isn’t optional anymore. You have to be able to use these in order to be competitive. SketchUp is a great tool if you need to learn one.
Simplify your marketing strategy. You don’t need to be everywhere - just pick one platform and take the time to learn how to create the best possible content you can on that platform.
Professional development is something you need to build into your week. I use Friday afternoons as my time to take online courses, listen to talks or learn more about a topic. If you don’t set time aside for this each week you will fall behind.
TL;DR - Running a profitable business is 80% about business strategy and 20% about being a good designer - you need to get good at business!
Thanks for reading and catch you in my next post :)
Clare x
Dr Clare Le Roy
Courses and Templates for Designers and Architects
DO YOU WANT TO….
Find more clients?
Bring in more revenue?
Create better systems and processes?
Then check out my business courses and templates for designers and architects.
These courses and templates leave you with work done - not just a long list of things you need to do next. We have a really strong focus on taking action and getting things created that improve your business.
