How Do I Handle Price Increases the Right Way?
Question:
“With all the price increases hitting the industry, I’m nervous about damaging relationships with my builders. How do I handle this the right way?”
Answer:
When the industry gets shaken up—whether it’s price increases, supply chain issues, or unexpected delays—builders are under massive pressure. And how you respond in those moments determines whether they see you as an ally or just another subcontractor.
Panic costs you jobs. Staying grounded keeps you in the game.
Here’s the reality: Your ability to stay calm and composed is one of your most underrated skills as a subcontractor.
✔ It keeps relationships strong when others are burning bridges.
✔ It gives you an edge in negotiations.
✔ It positions you as someone builders want to work with—long-term.
What Most Subcontractors Get Wrong in Tough Situations
When price increases hit, most subcontractors react in one of two ways:
❌ Avoiders: They wait until the last possible moment, unintentionally blindsiding the builder and unknowingly hurting trust. (This was me!)
❌ Defenders: They send abrupt, blanket increase emails, under-explaining or over-explaining their challenges, and accidentally make the situation all about themselves instead of the builder’s needs. They come off as inconsiderate, insensitive or indifferent.
Neither of these reactions positions you as the go-to subcontractor.
My Story (And Why You Can’t Wait Until the Last Minute)
Early in my sales career, price increases terrified me. I was scared to death that delivering any bad news would damage my relationships or make builders angry. In my mind, I was lucky to have their work—I owed them everything.
So I avoided. I delayed. I hesitated. I remember the day clearly when my boss asked me, “Michelle, why are you setting up another phase with the old pricing? We can’t do that phase unless you get a price increase.”
Because I’d waited so long, I put myself and my builder in an unnecessarily stressful situation. Ironically, by trying to avoid damaging the relationship, I strained it even more. The exact scenario I feared the most is exactly what I created.
But here's the real lesson I learned:
👉 Builders don’t expect you to control the market, tariffs, or material costs. But they DO expect you to control yourself.
When I started viewing myself as a partner—a savvy businesswoman working with my builder rather than “just a sub” working for them—everything changed. I began proactively addressing tough issues, calmly and clearly. And builders didn’t get angry. They appreciated my honesty, clarity, and confidence. It added massive value to them. That’s when I finally became the calm in their storm—and my sales grew rapidly because of it.
Be the Calm in Their Storm
Here’s what I learned the hard way (so you don’t have to):
✅ Builders value composure, transparency and partnership.
✅ Builders remember who stepped up to help find solutions—not who panicked, got defensive, or avoided the tough talks.
If you’re reactionary, builders sense it immediately. They become defensive too, and your relationship takes a hit. But if you’re calm, proactive, and prepared, builders trust you—even when you’re bringing challenging news.
Here’s How You Do It:
Don’t wait. Waiting creates unnecessary stress and erodes trust.
Be proactive. Start conversations early, even if they're uncomfortable.
Be clear, composed, and professional. Do your homework, know the facts, and present solutions.
Listen more than you speak. Understand your builder’s concerns deeply.
Seek win-win solutions. Your builder isn’t your opponent—they’re your partner.
Final Thought: The Calm One Wins
Your ability to stay calm, steady, and solutions-focused is a massive advantage. It costs nothing, but it changes everything.
Ready to become the calm your builders need right now?
Join me and former builder Mike D. on April 16th for a 1-hour online training, Navigating Price Increases.
You’ll learn how to confidently handle tough conversations, build stronger relationships, and position yourself as an ally builders trust—especially when things get challenging.
Register today for $47 (price goes up April 2nd). ➡️ Register Here