Can you relate?
You’re working with a great client. You love the work you’re doing, and your client loves the results you’re providing. But then payment due date rolls around and…crickets.
If you’ve ever found yourself in this tricky situation, first of all know that you are not alone. This happens ALL the time. Entrepreneurs regularly send me e-mails and private Facebook messages asking what to do when a client doesn’t pay on time, especially in the middle of an ongoing contract.
Because I’ve been there myself—and because no one else wants to talk about it, even though I know a lot of entrepreneurs face this—I’ve decided it’s time to air this topic out in the open. To make it less taboo. And to give you the tools you need to handle payment issues with grace, while still getting the value that you deserve.
So if you’ve ever been in that sticky situation where a client doesn’t pay on time (or at all) and you’ve wondered what to do, keep reading. This is the post for you!
Before I dive into the specific steps to take when a client doesn’t pay on time, it’s important to talk about setting the tone for success—for attracting clients that DO pay exactly when they are supposed to.
The key here is boundaries. If you can create and establish boundaries from the start, then you will notice a difference in your relationships with your clients.
From the onset, make it crystal-clear:
If you regularly have clients that are not paying on time, then this is likely a sign that you are lacking clarity in your expectations and boundaries. Take extra time to go over the contract with clients at the start, and remind them as you go along.
That said, sometimes you just get one of those clients that can’t pay on time—even with crystal-clear boundaries in place. Unfortunately, I’ve been there before. Remember you have attracted this situation and this client, take ownership. And when this happens, I suggest taking the following action steps to get clients to pay and stay empowered:
You would be surprised how many entrepreneurs skip this step and immediately go into crisis mode.
Before you panic, make sure that this is not a simple oversight. Things happen—credit cards expire, people get busy, e-mails get buried. Reach out to the client and see what’s going on. Send a gentle reminder invoice, e-mail them, or even send a text message if you have that kind of relationship.
Be kind, but also be clear that they are late on their payment.
Communication is key whenever you have any issue with a client. And in the case of a missing payment, your client is likely doing enough hiding for the both of you.
Be brave and bold, and tell your client outright that you need to speak with them about the overdue amount.
Just remember that you can be bold while still ensuring that your client feels taken care of throughout the entire process. Make sure your client understands that they haven’t done anything “wrong.” They are not being reprimanded. They simply need to get back on track, in alignment and integrity with the commitment they have made.
If you put the stamp of your essence into all that you do from the very start, then you will be able to stay in control and in alignment with your brand while still getting the payment you deserve.
This is something you won’t hear many people talking about, but I think it is so crucial for successful trailblazing entrepreneurs.
No matter what your niche or industry, we are all money coaches and guides. It is critical that we empower out clients in their relationship with money—and their investment to pay in full for your product or service.
And my number one way to make more money is this simple but extremely efficient exercise: Create A 50 Ways To Generate Revenue List.
Often we have money sitting right under our noses, and we don’t even realize it’s there!
This easy brainstorming exercise will expand your mind to realize the limitless opportunities and potential for having the money you need. If you feel your own relationship with money is off track, I encourage you to sit down and give the exercise a try. By empowering our own relationship with money, we set the tone for our client’s success and abundance as well.
Chasing after money and over-due bills is time-consuming and energy-draining.
Try to avoid the situation altogether by being super-clear from the outset about due date requirements and boundaries. Then if you still encounter problem clients who can’t pay on time, follow these steps above to solve the problem with finesse.
Have you ever had a client that didn’t pay on time? How do you get clients to pay for overdue services?
This is a sticky situation that almost all of us can relate to, so let’s empower each other with our experiences in the comment section below!
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