With the new year just days away it's not only time to unfriend, hide or unfollow those annoying people from your social media platforms… it's also time to take a deep dive into your client roster.
Do you have clients that should be paying more? Do you have clients that don't value your time? Do you have 24 hour clients? Do you have clients that you tolerate? If you answered yes to at least one of those questions it's time to do something about it.
Firing a client isn't an easy task. It's usually not something that we want to do. In our heads we say, at least they pay us on time or we've been with them for years. It's a process that all small businesses have to deal with so let's jump in.
Time = Money
It's up to you to convey this message from day one. Now we're not saying charge your client for every meeting and conference call but you do have to have limits and set boundaries on what you will allow. If your client repeatedly takes advantage of this simple principle make a mental note.
Show Me The Money
As a small business you rely on payments from your clients, right? The best payments are right on time. This is another example of a principle that you have to be clear about. For example, if your payment is declined XYZ will happen as a result or all late payments are subject to XYZ. Your clients don't have a problem paying their mortgage, office rent, payroll or car payments on time, right? So, there shouldn't be a problem paying you on time. If your client repeatedly takes advantage of this simple principle make a mental note.
Special pricing, discounts, etc.
Tons of businesses offer specials, discounts and one, two and three day sales. It's great for customer retention and repeat business. If your client is constantly asking for special pricing, discounts or a deal they DO NOT value your business and the services that you offer. There has to be a mix, at times you should throw in some freebies but don't make it a habit. It sets the expectation that you'll always do that for them. If your client repeatedly takes advantage of this simple principle make a mental note.
Firing a client can be beneficial for your business. Instead of focusing on the monetary loss, focus on the time you have to spend on your other clients. Focus on the time you have to get out there and secure more clients. Always remember why you started and the rest will naturally fall into place.