Payment Woes
Have been long gone. Usually my blogging slacks when I am (very happily) busy with work. So, can’t crib really:)
I came across this very relevant post on Plugg.in about why companies don’t pay their service providers on time. Here is the link to the article: http://www.pluggd.in/why-dont-companies-pay-their-suppliers-on-time-297/?dhiti=1
In my experience, I think the last point is most valid – the attitude to not want to pay on time. I don’t think these people / business owners realize how much they are hurting their own image in the market by not making payments on time.
In the end, business is all about people. Of course, you like people who do a good job and deliver the goods. But, more importantly, you like people who are good to you; who show respect for you as a human being.
When a customer makes me send repeated requests for payments, more than anything else, to me it is an indicatation of lack of respect - especially when I go that extra mile to do a good job and almost always deliver within timelines. “Why can they reciprocate my proactiveness and goodwill?”, I often wonder. But then, soon enough, I realize that they are the ones at loss in the long run.
Thankfully, I have had a better run at this than, perhaps, many others. I have only my customers to thank for that. But everytime I have one of these payment tussles that leave me demoralized, I tell myself to not give up and continue to do my best. Here’s the quote that runs in my mind: Do unto others what you would have others do unto you!
Do let me know how you handle non-payment / late payments. I’m sure, I can learn something from your experiences.
I haven’t experienced this… thanks to my customers – they have always paid me….
I think the best way to handle this is to state upfront when and how you want to receive payment and follow up with the customer till you receive the amount in hand.
If the project is for a longer period, you must receive payment in installments say after you complete 40% of the work, ask for release of payment and so on. Once you have stated your payments terms, stick to it and do not proceed with work if payment is not released on time.
All said and done, uncertainty and risks are always there when you are on your own. You have to learn with experience.