I've done a ton of work for smaller outfits, and the fact is that whatever you're billing is coming directly out of their own wallet, or close to it. Imagine the shock when the mechanic says you need to spend $2,500 on a new transmission. That's what your clients feel.
That's also why I've turned away smaller projects for the past year. Everything becomes a never-ending, underpaying project from hell where you end up doing little tweaks for free because you're a nice guy/gal. You also end up competing with joker developers with lower rates who will probably do a hack job (the fight of "doing it cheap" vs "doing it right" is timeless on the small business front).
My point: If your clients are shocked and opting not to do work with you, find bigger clients. If bigger clients won't work with you, lower your rate and find smaller clients.