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notes from 13thirtyone: payment woes

10.08.2007

payment woes

While searching a few of HOW's designer forums over the weekend, I came across a very common designer woe - the challenge of getting paid. Some clients are fantastic at making their payments. They accept the terms of the estimate easily and make payment on time. However, there will always be a few who challenge every charge and avoid meeting their billing due dates.

Being that most designers have run into this issue, I was personally able to offer some advice to a fellow designer. In a nutshell, I had worked on several projects for a client. While they were beneficial to my business, in that I developed a lot of projects and revenue from them, they often argued my rationale on concepts and project costs. This, overtime, became increasingly worse.

Towards the end of our working relationship, the client had a bill that was due very shortly. While I was notified that the payment would be arriving late, I still had to follow policy and enforce my late fee. Even though this charge was VERY minimal, the principle of it enraged my client. So much, that my client became very unprofessional and began name calling. I had to enforce my contract. I simply stated that if the payment wasn't received in full, including the late fee, the work would not be distributed for the client's use.

While the working relationship ended with the client very quickly thereafter, I still, to this day, feel that I handled the problem correctly. I stuck to my policies and beliefs and upheld the terms of my contract. However, I never recommend flaunting the rules of a contract to a client unless absolutely necessary - as tensions will arise.

So my advice is this... if you're having trouble getting paid, first learn from it. If you didn't use a contract, make one right away and use it for your next project. Check out my most previous post for contract-making info.

Secondly, use the contract for protection. You, as the designer, agree to hold up your end of the bargain and to create outstanding work for your client. Your client should only be expected to uphold their end of the deal and make payment in exchange. If discrepancies are arising, review the contract with the client, but be prepared for a few heated emotions.

Finally, remember that if your client doesn't respect you enough to make your payments and do business with you as professionals do, it may be time to reevaluate the relationship. Obviously, a good client with a few past-due payments (which include your late fee) aren't a huge deal. But combative clients are not worth any amount of money. Design should be a truly fun and fascinating experience for both parties.

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