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Contract Signed but ground to a halt *** Sigh ***

#1 User is offline   Gibson 

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Posted 25 October 2011 - 03:53 PM

So I'm pleased to open up with "I do have a signed contract from the client" rather than the usual "I don't have a contract", so we have something to work with. It's sitting in front of me currently.

The job is split into - an advance payment, then payment after each stage is completed.

Problem is - nearly two weeks later after receiving the signed contract, I have not received the advance payment I need to start the project (I sent them the invoice with the contract). This does not bode well for me, because this advance payment is less than the stages payments. I now get that "I want to pull the plug on this client" feeling. This is just going to be uphill all the way. This is after me having to send the contracts to them twice because apparently the first one got "lost in the post" when they sent them back to me. Then when I finally received them nearly two weeks ago, the postage was short and I ended up having to pay extra on postage (not much, but it's the principle of the thing).

I figure if it's this difficult for the client to pay me the initial payment, it's going to be just as difficult trying to prise the rest of the payments out of them as the project proceeds, and I'd prefer to move on to be honest and ditch it.

Maybe my contract needs tweaking a little bit to include a time limit - so the question is how long is a contract actually valid for? Say the client comes back to me in two years, makes the initial payment then demands that I do the project due to the contract?

I've emailed them, but am getting no reply.

Hmmm... where do I go from here? Where do I stand on pulling the plug should I wish to do so? One useful thing is I'm happy to say my contract includes a clause where either party can pull out due to "reasonable circumstance" (or similar) and settle up for work done at that point.

What are my options at this point?
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#2 User is offline   oakleaves 

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Posted 25 October 2011 - 04:14 PM

I feel your pain.. I guess the contract is not binding if no monies have been received???
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#3 User is offline   Gaelen 

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Posted 25 October 2011 - 04:36 PM

Personally I'd move on with your life. waiting for clients will stress you out. if they produce the payment you can schedule in the work but until then it's not worth sitting around for.

if or when they decided to pay you, or answer your emails then i'd worry about scheduling in the work. I'm assuming you dont have a date on the contract to have the work completed?
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#4 User is offline   smoothonline 

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Posted 25 October 2011 - 07:21 PM

Used to get annoyed with clients taking forever but as soon as I introduced time limits people went to other designers.

Dizi made a good suggestion once, and that was to introduce a discount for providing content quicker. Maybe something like this?
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#5 User is online   rallport 

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Posted 30 October 2011 - 12:47 PM

View Postsmoothonline, on 25 October 2011 - 07:21 PM, said:

Dizi made a good suggestion once, and that was to introduce a discount for providing content quicker. Maybe something like this?


Sorry, that's just totally devaluing our whole industry. It's in the same area as doing spec work.

Just keep it simple - insist on an initial payment before any job has been started.
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#6 User is offline   Gibson 

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Posted 30 October 2011 - 04:38 PM

Good news, client made initial payment, so ignition key is turning :D .

I'm a bit worried about their future payments because they have been pretty slow with this one, but I'm happy to say that my contract is split into sections, payment due at the end of each one.
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#7 User is online   rallport 

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Posted 06 November 2011 - 01:07 PM

View PostGibson, on 30 October 2011 - 04:38 PM, said:


I'm a bit worried about their future payments because they have been pretty slow with this one, but I'm happy to say that my contract is split into sections, payment due at the end of each one.


As said, keep it simple. They pay, you work. They don't pay, you don't work and continue with other stuff :)
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#8 User is offline   MikeChipshop 

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Posted 06 November 2011 - 01:53 PM

View PostGibson, on 30 October 2011 - 04:38 PM, said:

Good news, client made initial payment, so ignition key is turning :D .

I'm a bit worried about their future payments because they have been pretty slow with this one, but I'm happy to say that my contract is split into sections, payment due at the end of each one.


Good news, means you only have to do what you've been paid for.
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#9 User is online   notbanksy 

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Posted 06 November 2011 - 02:07 PM

View Postrallport, on 30 October 2011 - 12:47 PM, said:

Sorry, that's just totally devaluing our whole industry. It's in the same area as doing spec work.

Er, how is that exactly? Sorry if I'm missing something obvious, but what's devaluing about offering an incentive to your clients to make the job go more smoothly?

I just begun to offer a discount to clients who pay within 14 days of my invoice because I'm so sick of late payments. Of course, I inflate the original quote to reflect this discount, so in fact I'm receiving a compensation for late payments. It doesn't effect the quality of my work or my perceived value to my clients. It just makes life easier for me (if it works ;) )
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#10 User is offline   oakleaves 

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Posted 06 November 2011 - 02:19 PM

View PostGibson, on 30 October 2011 - 04:38 PM, said:

Good news, client made initial payment



Yey! Gibson will be living like a King this month!! no more 'dry bread' for him..
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#11 User is online   rallport 

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Posted 06 November 2011 - 03:16 PM

View Postnotbanksy, on 06 November 2011 - 02:07 PM, said:

Er, how is that exactly? Sorry if I'm missing something obvious, but what's devaluing about offering an incentive to your clients to make the job go more smoothly?

I just begun to offer a discount to clients who pay within 14 days of my invoice because I'm so sick of late payments. Of course, I inflate the original quote to reflect this discount, so in fact I'm receiving a compensation for late payments. It doesn't effect the quality of my work or my perceived value to my clients. It just makes life easier for me (if it works ;) )


For me, giving a financial incentive to provide something as basic as content is insane. It's like if I sold my car and gave the buyer a discount if they provided me with their v5 document faster.

Your example with the invoice is slightly different than giving a client financial benefits in providing their content quicker. :)
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#12 User is offline   Gibson 

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Posted 06 November 2011 - 04:51 PM

View Postoakleaves, on 06 November 2011 - 02:19 PM, said:

Yey! Gibson will be living like a King this month!! no more 'dry bread' for him..


"Moist" bread for me, no less :spiteful:
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#13 User is online   notbanksy 

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Posted 06 November 2011 - 06:59 PM

View Postrallport, on 06 November 2011 - 03:16 PM, said:

For me, giving a financial incentive to provide something as basic as content is insane. It's like if I sold my car and gave the buyer a discount if they provided me with their v5 document faster.

Your example with the invoice is slightly different than giving a client financial benefits in providing their content quicker. :)

Perhaps, but I don't think you can equate it with spec work. You may find it insane, but if it makes your business run more smoothly, it may end up making you more money to offer the incentive. Plus, clients like to be treated well, and incentives make them feel like they're getting a good deal.

But you're right, my example isn't quite the same thing either.
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#14 User is online   rallport 

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Posted 06 November 2011 - 07:17 PM

View Postnotbanksy, on 06 November 2011 - 06:59 PM, said:

Perhaps, but I don't think you can equate it with spec work. You may find it insane, but if it makes your business run more smoothly, it may end up making you more money to offer the incentive. Plus, clients like to be treated well, and incentives make them feel like they're getting a good deal.

But you're right, my example isn't quite the same thing either.


.. lets agree to disagree then? :)
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#15 User is offline   charliesaidthat 

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Posted 11 November 2011 - 09:30 AM

View Postnotbanksy, on 06 November 2011 - 06:59 PM, said:

it makes your business run more smoothly, it may end up making you more money to offer the incentive. Plus, clients like to be treated well, and incentives make them feel like they're getting a good deal.


THIS. IS. GOLD.

Do this. It'll turn around your cashflow, as young freelance guys will know, this is vital to keeping on.

Also offer coupons/discounts for future business/recommendations. ;)
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