5 Things To Do When Your Clients Refuse To Pay You

 In Invoices

You’re a small business owner with a business to run; you depend on payments from your clients to stay in business. However, your clients refuse to pay you. So, what can you do to ensure that your clients pay their invoices? Here are five things to do when your clients refuse to pay you.

1. Research Your Client Before You Work Them

Before you decide to work with a potential client, you should do your homework to see if they are a right fit for your business. Some businesses will do with business anyone. However, not every client will be right for your business. So, do your research ahead of time before you decide to work with them.

2. Make a Contract

You should have your client sign a contract before you do any work them. There have to be rules, guidelines, and expectations. A contract is legally binding, so clients will have to follow it, and it will help you avoid payment issues.

3. Require Payment Up Front

You should always require payment upfront, especially for large projects. If you don’t ask for payment upfront, you run the risk of not getting paid at all. You could also require payment after certain parts of the project are completed based on the contract.

4. Charge Your Clients Late Fee

If your clients refuse to pay, charge them a late fee. No one likes extra fees, so in doing this, you’ll get their attention. Lates will only increase the amount of money that they owe you. So, charging a late fee is an excellent way to get your clients to pay you.

5. Stop Working

It’s not wise to continue doing work when a client refuses to pay you. Doing work is only a waste of your time and money. You could be working on other projects for clients who are actually paying you. So, if your clients care about their project, they’ll pay you. It’s that simple.

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