I have several clients who are notoriously bad at paying me. I know, I know – I should look for better clients – but do you have any tips on how to get these ones to pay up? It causes me massive stress every month. M
Chasing up late payments and fighting over who said what about the financial terms is, to my mind, one of the most soul destroying parts of freelancing. Because, like most creatives, I hate discussing money especially when I’ve worked hard, delivered on brief and on time only to find there’s now a delay their end.
It was only the arrival of single parenthood, and a previous stint of freelancing killed dead by cash flow issues, that forced me to grow up and get on top of this Achilles heel. And yet, earlier this week I found myself yet again chiding a client for her almost predictable tardy payments.
Of course, like most clients I deal with she has an accounts department and a CFO to blame. I also know ultimately that she’s good for the $2K which is why it wasn’t until the council rates collided with my daughter’s field trip, an expensive trip to a paediatrician and the annual school fete with its ‘donations’ and ride tickets that I was finally motivated enough to chase her.
For clients I don’t have a long-standing relationship with, with I have a two-stage reminder script that I use in my designated invoice-chasing time – a half-hour every Monday:
Dear [person has not paid,
I’m calling / emailing as a friendly reminder that my invoice for the X piece / photograph / video is now due.
I’d really appreciate if if you’d settle this as soon as possible. Do you need me to resend the invoice?
I look forward to hearing from you,
[Mildly concerned freelancer]
If I’m still being fobbed off, I’ll follow up with a forwarded email of my initial delivery of said product / service – that I always accompany with the invoice. I’ll also CC it to the accounts department.
Dear [person who will not / has not paid],
Further to my voicemail / phone call / email of the [date], here is a third copy of my overdue invoice.
Please note that if I do not receive payment by [date – 30 days hence] I reserve the right to add late payment charges to your account, as detailed in my terms at the bottom of my invoice.
Should you or your accounts department have any queries in relation to this matter please get in touch either by calling me on [phone no] or replying to this email address.
Yours sincerely,
[Stressed out freelancer worried she’ll not make rent this month].
To save you having to send these at all, though, try my tips to avoid late or non-payment in the first place:
1. Check out the company. The only flake I like is with chips. So take a gander at their website. If the job’s worth big bucks it makes sense to invest in a quick background check.
2. Ask for a deposit. With big jobs, I ask for anything from 25-50 percent up front. That way, no matter what happens, you have something to show for the sweat of your brow.
3. Remember freelancing is a business. Keep track of your incoming and outgoings with either an automated email system that reminds clients, or a post it in your diary to call anyone who still owes you money past the due date.
4. Offer something off the top. Neither Rach or I offer this 5 percent sweetener, whereby clients who pay within 48 hours get a discount, but I do know of other freelancers who swear by it.
5. Save yourself some heartache. Have a realistic expectation of when you’re going to be paid in the first place by checking at the time of commission if they require the article to be published before the money lands, or they have 90-day terms etc.
If it’s a late payment you’re still chasing and your fingernails are now down to the quick, check out our blog on how to get a late invoice paid, my previous blog on dealing with late payments – or Rachel’s preventative piece about how to keep track of your incoming and outgoings.
Do you have clients who are bad payers? How do you deal with it?
