Well, I have to admit that I started out with lower rates to get clients and once I had a group of families who were very happy with my care I raised my rates. Then I had that first group of 5 families who served as great references and recommended me to others. My contract still renews annually so that if I learn a lesson I can add a policy for the next year. After raising my rates in my second year in business, then in the 3rd year I added 3 paid personal days and Christmas Eve Day and Easter Monday instead of raising rates so I still kind of got a raise. Then I just raised rates again in my 5th year. I'm being fair to my clients and to myself but it was completely worth it to me to undercharge when I started out because it worked out great for me. I'm sure the same wouldn't be said for everyone. You still have to be very careful about the families you sign on.