What to Do If a Client Won’t Pay?
There are two options when a client won’t pay you: you can either take them to court or hire a collection agency to collect the debt. In most cases, it is not worth taking legal action against your client, but if it is essential, you may want to consider small claims court as a last resort.
Reminding your client that their payment is due is a good way to get the payment process started. You can do this through personal contact, and ask them why they haven’t paid yet. Alternatively, you can try a payment plan or other alternative methods.
Re-sending an invoice to an unpaid client may not get the desired results, so you might want to contact them and see if they respond. If the communication doesn’t produce any results, you can always contact an attorney and suggest legal action against the customer.
If you run a freelance business, you will often encounter clients who don’t pay on time. This can be painful, especially for a small business. It can make it difficult to keep your commitments to other clients. You can try to make payments easier for your clients by offering deferred payment plans or installment plans.
In most cases, it is better for you to not work on projects that you know are not going to pay. In such cases, you can charge half up front and the other half when the work is done. However, if your client is unable to pay, you should be kind and work out a payment plan with them. By treating them with respect, you can salvage a working relationship. You may even turn an unhappy client into a loyal customer.
Remember that you can also try calling or meeting your client personally. If the client fails to respond to your messages, try calling their office. If the invoice is large, you may want to visit their offices to collect the debt. This is often easier than sending multiple invoices.
Another option is to resend the invoice. This will serve as a reminder to the client and help you to collect the payment. You can do this as early as the day after the payment due date. You may also want to consider sending a reminder email to the client so that they don’t miss it.
Follow-up is a crucial part of closing a business deal. Oftentimes, this serves as a reminder for the client to pay the invoice. When an invoice goes unpaid, a friendly reminder will increase the chances of rehiring the client. You can also send an automated reminder to your client, which may be more effective, but it’s less personal.