Customers who don’t pay are not customers
Parasite – definition: 1. An animal or plant that lives in or on another (the host) from which it obtains nourishment. 2. A person who habitually lives at the expense of others; a sponger.
Customers/clients who don’t pay you are not customers/clients. They are parasites. They will use you until you finally ask for payment, then they will move on to their next victim, leaving you with bad debts.
They have very likely done the same thing to other small businesses just like you.
You know who I’m talking about.
They, likely, squeezed you to get the lowest price. Then didn’t pay you.
Also, they think nothing of contacting you day or night, evenings or weekends. And want their work to be given priority and completed straight away.
Chase those debts
So, chase your debts and get the cash in. You did the work. You earned the income. Don’t be fobbed off with excuses.
Give them a final deadline then, if they don’t pay, pass the debt to a professional to recover it. They will charge a commission but you will likely receive more than you would have otherwise.
Then you can focus on your good customers/clients. The ones who do pay you.
Your time is precious. Spend it wisely
You don’t have time to work for customers/clients who don’t pay.
You can’t afford to work for customers/clients who don’t pay.
If you have too many customers/clients who don’t pay, you will eventually run out of cash, and you won’t understand it as you have never been busier.
Watch for the tricks
Unfortunately, the people who don’t pay, often, know all the tricks to delay and/or avoid paying.
There was something wrong with the job/order
That wasn’t the price that was agreed
Those weren’t the payment terms agreed
Some of this, no doubt, will be familiar to you.
Make sure your terms and conditions are clearly explained and agreed from the outset, before you start any work for a new customer/client.
It won’t stop all the spongers, but it could well help you identify the ones who are, sooner rather than later.
Good luck with your business.
Thanks for reading