Posted on Wed, 02/8/2012 - 04:30 PM by
viewed 31 times

There’s a natural lifecycle for any freelancer’s business. When you’re just starting out, you indiscriminately look to attract as many clients as you can to build your business. But inevitably, some clients won’t be the right fit.

fired

Whether it’s an overly-demanding client who’s prone to instant message you any time of day (or night), an indecisive client who’s sole feedback usually entails “that’s not quite it,” or the client who’s perennially slow to pay, some clients just aren’t worth the business. An extension of the Pareto Principle says that 20% of your customers probably account for the majority of your time and trouble.

Most of us strive to avoid conflict and stick with the mantra that clients are good for business. However, staying too long in negative client situations can take a significant toll on your job satisfaction, emotional wellbeing, and business.

If your attempts to actively manage the negative aspects in a client relationship ended up hitting a brick wall, it’s time to cut the cord. Firing someone may not come as easily to you as Donald Trump, but here are some ways to make the process as pain-free and professional as possible:

Take emotion out of the equation: When deciding to fire a client, don’t act rashly from frustration or a bruised ego. Take a few days to consider the situation before acting. Although, if you find yourself going through this process multiple times in a month or year, it’s time to listen to your gut.

Review the contract: Before approaching the client, go through every line of your contract and check for loose ends. If you don’t have a contract, gather any documents you have (including initial emails) that define the project scope and expectations. Make sure you have completely lived up to your obligations. If a client has already paid for certain parts of the project, make sure you have delivered on them. If you’re concerned the client may fail to pay what they owe, consider how to minimize the damage. This could mean waiting until they have paid before telling them your intentions.

Meet face-to-face: As tempting as it may be, firing a client doesn’t mean you just stop answering their emails or calls. Meet your contact face-to-face (or over a phone call if you’re a web-based contractor).

Keep it brief: No doubt you have a billion reasons why you don’t want to continue working with this client, but you only need to offer one. And it can be as simple as, “I no longer think my services are meeting your needs.” The more details you provide, the more you open the door to an argument.

Give sufficient notice: If a client relies on you for regular work, give them time to find a new contractor or vendor. This could be 30 days, the end of a major deliverable, or whatever works in the context of your relationship.

Offer alternatives: Unless the client was disrespectful or a major problem, help them find a new solution by referring a colleague who could meet their needs. If you don’t have a specific person in mind, you can still offer guidance on the type of provider who might be a better fit such as, “Your needs have grown, you may need to consider a full-size agency.” Or, “Why don’t you look for someone who specializes in x.”

At the end of the day, firing a client is never easy. Yet the difficult conversation will be over soon enough and you can move on to more restful nights and bigger and better things.

Fired Photo via Shutterstock

?

Read Full Small Business News Post
news courtesy of small business trends

MORE NEWS FROM SMALL BUSINESS TRENDS

Nominations Are Open for the Small Business Influencer Awards!

Does a special person or company come to mind when you think of someone or something important in the world of small business?  Perhaps you think of a client of yours.  Or maybe a favorite vendor or supplier, or a software app that has transformed your small business or made it more profitable.  Or perhaps you think of a favorite journalist who covers issues important to small businesses.

 

G8 Leaders Call for Growth: Six Things You Can Do

Leaders the world over including those at this week’s G8 Summit are calling for economic growth, not just budget tightening, in an effort to combat world market instability and speed recovery. But for all the talk in policy circles, this growth will ultimately come from the private sector and especially here in the U.S., from small to medium sized businesses that create many of the jobs and employ many of the workers already in our economy. Here’s a look at the economic growth G8 leaders are calling for and six things you can do to promote growth in your business today.

 

Can a Gas Tax Fuel Clean Energy Innovation?

With gas prices already reaching nearing $4 per gallon in many places, most business owners don’t relish the idea of them rising even further. Yet, some people are still calling for the government to deliberately increase them – by raising the gas tax.

 

What Job Are You Helping Your Customers Do?

Marketing is often described in terms of a product life cycle. The development, the launch, continued support, and finally, discontinuation all have specific marketing efforts associated with them. From social contests to reduced prices and giveaways, the emphasis is nearly always on the product or service provided. However, this does not take into account the way that customers actually search for and find products.

 

Small Business Loans and Small Loans to Business

A few weeks ago, I wrote about the decline in “small loans to business” during the Great Recession and economic recovery that followed. Now I am back to tell you that data on “small business loans” paints an even worse picture of the small business credit markets.

 
 

RELATED SMALL BUSINESS NEWS

How Ads on Your Site Can Affect SEO (Video)

Your search rankings could be suffering if there are a number of advertisements above the content on your website. ...

 

SBA Seeks to Boost Small-Dollar Loans With New Push (Video)

The SBA is looking to increase the number of smaller loans in underserved communities with a new push. ...

 

You’re the Boss Blog: A Start-Up Wants to Help You Cut Through the Clutter and Noise Online

One concern: the pitch could have done a better job of discussing the potential for competition. ...

 

First State Bank Of Nebraska Recognized As Community Lender For 2012

The First State Bank of Nebraska has been recognized as the Rural/Community Lender of the year 2012. SBA has recognized the bank for its efforts in Nebraska. State Bank Nebraska has served the community in a number of ways.

 

Want the Right Stuff? Start With Your Help-Wanted Ad

A top-performing team starts with writing a thorough and accurate job description. Consider these five tips. ...

 
 
   

Get funding to grow your small business

Let us help you find the best financing option for your business needs.

Stay up-to-date with our small business newsletter

Subscribe to our weekly digest that features the latest in small business funding news along with helpful tips to guide you in our business financing needs

Tweet, +1, and Like Funder

Follow Us

Copyright © 2012 RBF Management, LLC   |   Lighter Capital Network
Privacy Policy   |   contact@funder.org