Ghostwriting companies can be misleading about the quality and experience of their ghostwriters based on their price points

Many well known book writing companies that include ghostwriting services, like Forbes and Kevin & Anderson have price points starting anywhere from $30,000 to $100,000.

These companies boast top-quality writing because of the prices they charge their clients.

But is that really how the breakdown works?

Anyone looking to work with a ghostwriter or ghostwriting service should understand where their money is going and what they are actually paying for.

When you Pay for Ghostwriting, Do the Ghostwriters get Paid?

When you pay for a service, you expect that money to go to the service provider.

For example, if you get a massage, the massage therapist is usually getting a significant cut (if not the whole thing) because they provide the service.

When you pay for an online course, that money is going to the teacher or host.

Of course, within large companies, other expenses need to get covered and there is usually a bit of a shuffle around money getting allocated to different departments and all of that.

It is generally assumed that the bulk of what you’re paying for a service goes to the service provider.

And that tracks, because you’re paying for their time, knowledge, expertise, and skillset, right?

I’ve contracted with several ghostwriting companies and I’ve spoken to ghostwriters who have contracted with other well known services and sadly, that isn’t the case.

For a $100,000 price point with a ghostwriting service, the ghostwriter might see $10,000 to $12,000 of that.

For a $30,000 price point, the ghostwriter might see $8,000 to $10,000 of that.

Most of those companies contract freelance ghostwriters to do the writing and they get paid by project instead of a salary. Ghostwriters might see a third to a half (in the best cases) of what clients are paying for writing services.

Even if they have in house ghostwriters, an annual salary might be between $45,000 and $55,000 but in a year, they could be responsible for 3 or more $100,000 projects a year. Their salary is less than half what clients are paying for ghostwriting.

Where does the rest of the money go?

Well, sometimes it goes to covering salaries of company employees who have little or nothing to do with your book project. It might go to covering business expenses, or in other cases, it goes straight into the CEO’s pocket.

Now, businesses must pay expenses, there’s no getting around that. But if their company is built on writing services and the writers are being paid as minimally as possible so the rest of the company can thrive… is the money going to the right place?

If the Ghostwriter Doesn’t Get Paid, Your Book is the Casualty

Now, from a business standpoint, bringing in high revenue and minimizing overhead does seem like the best practice for creating a sustainable and profitable company.

The only problem is, with ghostwriting services, quality and experience generally dictate the price point and it is expected that for a $30,000+ price point, you’ll get writers with experience.

Again, that isn’t the case.

Experienced, proven ghostwriters won’t work for $12,000 or less per project.

That means these companies are freelancing to inexperienced ghostwriters. While they might be talented, they can lack book writing experience and be unproven for longform or long-term projects.

You’re paying premium ghostwriter prices but getting inexperienced writers.

These companies stress that their services are top-notch for their price points, but when you look at where the money is going, it doesn’t add up.

This can adversely impact your book because inexperienced ghostwriters can miss things, their process isn’t streamlined, and they might lack the skillset and knowledge to perform at a higher industry standard.

On top of that, freelancers who get paid so little burn out quickly. If they’ve been at it for a while, you may end up with a writer who isn’t putting their best work into it because they know they aren’t getting compensated appropriately.

There are many ghostwriting companies that freelance to people who write part time because they have full time jobs or other obligations. While they may be talented writers, ghostwriting isn’t a priority for them and isn’t their main skillset if they have other obligations and jobs to juggle.

So, whether it is due to a lack of experience and quality, burned out ghostwriters, or freelancers who have other obligations and primary skillsets, at the end of the day, it is your book that takes the hit.

You can end up paying a lot of money for services that are worth a lot less.

How to Make the Most of Your Money in Ghostwriting

If you want to make the most of your money and ensure you get the best quality service for your price point, I recommend working with an independent ghostwriter.

Most of them know their worth and have the experience to match their price range.

They’ve worked their way through the drudges of being inexperienced and working low-paying projects and once they realized their skillset was worth more, they ventured out on their own.

That’s what happened to me and several of my colleagues.                                                           

For a $30,000+ price point, you’ll be working with an experienced ghostwriter with a few books on their resume already. They’ve refined their process, personalize the work, are excellent writers and communicators, and are responsive.

At this level, you should expect professionalism and great quality writing.

That said, not all independent ghostwriters choose rates that reflect their experience level.

When you’re searching for a ghostwriter, through a service or an independent writer, it’s important to gauge their experience so you can determine if the price point matches their service.

Ask for writing samples. Ask how many books they’ve successfully ghostwritten. Check them out online for reviews. As the paying client, you do have the leeway to dig a bit and find out if you’re getting what you pay for.

If you’re going to pay someone to write your book, their skillset and expertise should be worth the money you’re bringing to the table and you should be getting the service and expertise associated with that price.

For a closer look at what to expect from a book ghostwriter at each price point, check out this infographic: