doctorhandshakeWhat Being Ripped Off Taught Me
Be paid or don't work.
I am so deadly serious - do not continue working if your invoices are late.
You don't have to be a jerk about it, just explain to your primary contact that you need to be paid and you pick up tools again when the money has arrived.
BUT it is on YOU to properly negotiate reasonable payment terms. And if you don;t know or don't trust the client then require payment in advance until a stronger commercial relationship can be settled in. Do not be a baby - go research business contracts and payment terms.
Do not be afraid to lose business from companies that are squeamish about paying you - in fact actively avoid such companies.
> Do not be afraid to lose business from companies that are squeamish about paying you - in fact actively avoid such companies.
My boss said that the ones who have negotiated the best deals are the ones that are late paying, complain about just about every bill and will write angry letters when my boss index adjust pricing.
He said it taught him to never offer a really good deal for a regular customer (ie where the upside isn't very obvious).
A professional knows what they're worth and what they need to deliver. On-time payment according on an agreed-upon schedule is table stakes. That's the most fundamental requirement. Nothing happens without that.
Sadly this is true and lesson anyone who has worked freelance has probably learned - either that or I'd wager they no longer do freelance.
Its easy to say don't be afraid to lose business, but when you're starting out, the economy is rough or all you have are the one or two clients, that's a different matter entirely.
One thing I've learned is that you always have to do the leg work, you can't assume someone will do the right thing or keep their word.
Develop a system where even bad clients, can't do too much damage i.e. upfront deposits, milestone-based payments. You have to control cash flow risks, if you are gonna take risks know what risks you're taking and when to get out.
> Sadly this is true and lesson anyone who has worked freelance has probably learned - either that or I'd wager they no longer do freelance.
Sadly, while this is true, there are plenty of folks still doing freelance who have not learned this, and there always will be. It's just one of those lessons that quite a lot of people have to learn from experience, even after reading posts like this. The exact same reason why companies will continue to get away with taking advantage of freelance work.
>>companies will continue to get away with taking advantage of freelance work.
Think of ¡all the exposure! doing this free labor for us will give you! /s
or:
I'll cook you dinner if you do this days of work for me /serious?!
There are also bad suppliers who don't do their leg work. I've "fired" some companies who did great work for me because they couldn't be bothered to send a bill - I know I owe someone some money, but I don't know how much as despite begging they won't tell me how much or where to send it (I only have a phone number) - this bill could get larger, and they can come after me at any time for it...
Please don't be them. If you do good work make sure that you get your bills sent on time.
Agreed. Another important lesson I learned when delivering code to a non-profit org, and them asking me to convert my final invoices into "donations" to the org.
So true. And I'll add, no matter how trustworthy you believe the other party to be based on reptutation, relationships, or otherwise-- they should understand requiring assurances. The worst backstabs are from the people you know and who should know better. And a lot of people will justify it to themselves if they get in trouble. They will continue telling themselves that they are fundamentally good people and it just didn't work out as they rip you off for a lot of money. If they say the equivalent of "why don't you trust me?" that's a red flag.