Forums: Discussions for entrepreneurs and small business.

I do most of my work on a retainer basis and the retainer is paid monthly, in advance. If it`s not paid by a reasonable time, I stop work. Simple.

I normally perform writing and editing services without a retainer.  I`ve only had one client not pay me for editing services. His name is at the collection agency as I write.

Like Karen I often work on retainer, which is paid in advance.  I have a very clear contract when I start work that outlines my late payment policy... and I stick to it.  I charge 1.5% interest per month starting 30 days after the invoice is due.  That usually is all the encouragement they need to pay up!

I shut off the site.

Bwahahahahahahaha.

Or, stop work, or hold their files until payment is made, etc etc etc.

If I have someone with a history of paying late, I might make them pay everything up front for all future work. Most customers pay 50% up front anyway.

cdcforms,
Have you tried setting policies? Have you tried working on a Net 30 contract? What I mean by Net30 is that you expect to get paid 30 days from the invoice, just like your car, your cell phone and credit cards..
If the customer doesn`t pay, hit them with a late fee.. My late fee is $28.00 dollars..
Although, it`s a little steep, it basically shows that you are putting your foot down and want to be acknowledge..
Just like the CC company, the cell phone bill and so forth. If they don`t pay. Your best bet is to keep a valid credit card on file if you can.
Or collect it on a residual base... get a credit card processor and let the machine ping their credit card once a month..


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Edgar Monroy
Web Developer / Owner / Consultant
When starting your own business the need to "know-how" is greater than money!
http://www.nuevolution.net

Thank you for your feedbacks...I really appreciate them.  I am also thinking of going to small claims for one of my client.