how to get clients to pay so I got a
question from our YouTube viewers Jason
love you guys
Jason wrote in to say Evan have you made
a video about how to get people to pay
up when they owe you money I have some
invoices hitting 90 days and I’m trying
to get the money and still keep the
business any thoughts
so Jason this is a interesting and
important question part of this okay
before we even looking at the clients
who owe you money part of this is one
you starting to work with better clients
and doing a better job up front and
finding and work with clients who are
gonna be your ideal clients okay and I
know it when you’re first starting a
relationship with a client everybody’s
happy everybody’s excited you’re all
ready to go and then problems can arise
and so doing a better job upfront of
classifying and qualifying your clients
will help you so you don’t get to the
situation where you’re 90 days and you
haven’t been paid yet the other thing to
consider again when working with clients
your next time around is getting more
money up front I don’t know what you’re
selling I don’t know what your payment
schedule looks like but you shouldn’t
just be collecting all the money at the
end get at least half of it upfront so
you have some cash flow coming in you
know that the client is committed to the
project right if they’re not willing to
give you 50% up front and they want
everything back loaded that should set
off some warning signs for you to say
hey maybe this client is not going to be
a great client for me that won’t help
you in your situation right now but will
help you with your future clients okay
and a lot of entrepreneurs have had to
make similar pricing policy changes in
their business because they’ve been
burned by other clients so nobody
typically sets out and is proactive
about this we’ve set our policies
because we’ve been burned in the past by
other clients now what do you do so
you’re getting the 90 days or your past
90 days you’re following up you’re not
getting a response what I would do is
probably try to reach out one last time
with a personal appeal and let them know
how important this is to your business
when I’m working
with smaller businesses I always try to
pay before they ask for because I know
how important it is for a small company
I don’t negotiate terms with a small
company and I’m dealing with a huge
company a bank or a telco or or company
who I know doesn’t really care about me
I’ll negotiate as hard as I can but for
a small company
I usually don’t negotiate that much and
so I just let them know how important
this is to you how it impacts your
business that you haven’t been paid yet
and then from there if they still don’t
respond if it were me I would honestly
probably just let it go I would let it
go because I hate having hassles in my
business and it’s not just the time of
following up continuously with them it’s
the negative energy right I think about
it when you’re following up when you’re
thinking about that invoice that’s due
and they’re your own ex thousand dollars
how does it make you feel not great
right every time you think about that
invoice every time we think about
calling the client which may be every
day now it doesn’t make you feel good
and that negativity flows into your
business it flows into your personal
life nothing is good and I would just if
it were me I would just avoid it I just
let the client go and let that you know
that money that I lost be an educational
lesson for me that I won’t make that
same mistake again on future clients if
you don’t want to let it go okay the
money is really important to you or you
just can’t let it go for whatever reason
your next step would be to get a lawyer
to write a letter so you can get a
lawyer either it’s a friend of yours who
won’t charge you or lawyers just for
half an hour we’ll sit down and write a
letter and this shows that you are
serious okay now it’s it’s going beyond
just a personal appeal and now you’re
not quite threatening to sue them yet
but you know you’re you’re you’re making
it known that it’s more important that
you might get lawyers involved if they
don’t pay up at this point you’re
risking losing the relationship but
again I don’t know how much you want to
keep a client who often 90 days is not
paying you right this is not an ideal
client for you it’s better to focus on
the better ones if they don’t pay up if
you don’t hear back your next step up is
to either take them to court and
depending on how much you’re asking for
or you might qualify to go to the small
claims court or you could sell your
receivables and here you’re selling it
to a company who’s going to then hound
this client to pay up and you get very
little money you might get 10 cents on
the dollar but you know you have a
little bit of cash and that receivables
off your books but don’t count on that
customer ever coming back
so that’s what I would do I know it’s a
tough situation and and hopefully you
can use it as an educational tool so
that your future clients you don’t make
the same mistake and you start working
with better clients we’ve I think all at
some point been burned by clients who
don’t pay us and we become stronger for
it
so hopefully you can get through this
and still have your business and still
do great things with your future believe
for those you watching like the video
thumbs up below let me know what you
think let me know how you handle clients
who don’t pay up leave a comment
underneath you have a question for me
leave it below and you can click on my
face to subscribe to the channel to see
more videos like this thank you so much
I’ll see you soon
question from our YouTube viewers Jason
love you guys
Jason wrote in to say Evan have you made
a video about how to get people to pay
up when they owe you money I have some
invoices hitting 90 days and I’m trying
to get the money and still keep the
business any thoughts
so Jason this is a interesting and
important question part of this okay
before we even looking at the clients
who owe you money part of this is one
you starting to work with better clients
and doing a better job up front and
finding and work with clients who are
gonna be your ideal clients okay and I
know it when you’re first starting a
relationship with a client everybody’s
happy everybody’s excited you’re all
ready to go and then problems can arise
and so doing a better job upfront of
classifying and qualifying your clients
will help you so you don’t get to the
situation where you’re 90 days and you
haven’t been paid yet the other thing to
consider again when working with clients
your next time around is getting more
money up front I don’t know what you’re
selling I don’t know what your payment
schedule looks like but you shouldn’t
just be collecting all the money at the
end get at least half of it upfront so
you have some cash flow coming in you
know that the client is committed to the
project right if they’re not willing to
give you 50% up front and they want
everything back loaded that should set
off some warning signs for you to say
hey maybe this client is not going to be
a great client for me that won’t help
you in your situation right now but will
help you with your future clients okay
and a lot of entrepreneurs have had to
make similar pricing policy changes in
their business because they’ve been
burned by other clients so nobody
typically sets out and is proactive
about this we’ve set our policies
because we’ve been burned in the past by
other clients now what do you do so
you’re getting the 90 days or your past
90 days you’re following up you’re not
getting a response what I would do is
probably try to reach out one last time
with a personal appeal and let them know
how important this is to your business
when I’m working
with smaller businesses I always try to
pay before they ask for because I know
how important it is for a small company
I don’t negotiate terms with a small
company and I’m dealing with a huge
company a bank or a telco or or company
who I know doesn’t really care about me
I’ll negotiate as hard as I can but for
a small company
I usually don’t negotiate that much and
so I just let them know how important
this is to you how it impacts your
business that you haven’t been paid yet
and then from there if they still don’t
respond if it were me I would honestly
probably just let it go I would let it
go because I hate having hassles in my
business and it’s not just the time of
following up continuously with them it’s
the negative energy right I think about
it when you’re following up when you’re
thinking about that invoice that’s due
and they’re your own ex thousand dollars
how does it make you feel not great
right every time you think about that
invoice every time we think about
calling the client which may be every
day now it doesn’t make you feel good
and that negativity flows into your
business it flows into your personal
life nothing is good and I would just if
it were me I would just avoid it I just
let the client go and let that you know
that money that I lost be an educational
lesson for me that I won’t make that
same mistake again on future clients if
you don’t want to let it go okay the
money is really important to you or you
just can’t let it go for whatever reason
your next step would be to get a lawyer
to write a letter so you can get a
lawyer either it’s a friend of yours who
won’t charge you or lawyers just for
half an hour we’ll sit down and write a
letter and this shows that you are
serious okay now it’s it’s going beyond
just a personal appeal and now you’re
not quite threatening to sue them yet
but you know you’re you’re you’re making
it known that it’s more important that
you might get lawyers involved if they
don’t pay up at this point you’re
risking losing the relationship but
again I don’t know how much you want to
keep a client who often 90 days is not
paying you right this is not an ideal
client for you it’s better to focus on
the better ones if they don’t pay up if
you don’t hear back your next step up is
to either take them to court and
depending on how much you’re asking for
or you might qualify to go to the small
claims court or you could sell your
receivables and here you’re selling it
to a company who’s going to then hound
this client to pay up and you get very
little money you might get 10 cents on
the dollar but you know you have a
little bit of cash and that receivables
off your books but don’t count on that
customer ever coming back
so that’s what I would do I know it’s a
tough situation and and hopefully you
can use it as an educational tool so
that your future clients you don’t make
the same mistake and you start working
with better clients we’ve I think all at
some point been burned by clients who
don’t pay us and we become stronger for
it
so hopefully you can get through this
and still have your business and still
do great things with your future believe
for those you watching like the video
thumbs up below let me know what you
think let me know how you handle clients
who don’t pay up leave a comment
underneath you have a question for me
leave it below and you can click on my
face to subscribe to the channel to see
more videos like this thank you so much
I’ll see you soon
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