When a client doesn't pay
?? Shehla (Shay-la) Ali
Founder & Managing Director of About M.E. at About M.E.
As I type this post up I do not know what awaits me, sounds like the beginning of a novel, bare with me.
How it began:
Last year I had worked on some amazing projects and after they finished I was completely independent in business. I had generated new business and was starting to see my experience finally pay off. It’s an exciting but nervous time when that happens, you are responsible for everything. No sales manager will come to save you unless you hire one, you manage your own time and it feels amazing.
What actually happened:
I started working with, let's call them client z on their social media management and was given nothing but praise. I had been producing content, managing their social media platforms and had won business for them. They then started sending me more work, can you write this copy, what do you think about this? Some of it I was able to work on other requests were not for me, so I declined. I was then asked if I could take on more advertising, as it would involve more analysis I sent my price. After a few e-mails later they were not too keen on how much I was charging and wanted to squeeze what they could out of me.
The issue:
In my contractual agreement with client z, I had stated they would need to give me 30 days notice. They did, they said they really appreciated all my hard work and when asked for a testimonial they said of course. I had been awaiting two invoices, I chased and then chased again. Until about two months later after a great day at The Peak District, they refused to pay. I asked why and wasn’t given any reason apart from what I did was poor. All my work was still online and I questioned what exactly was poor, again I wasn’t given anything.
What to do:
I got a lawyer involved, and so did they. They said the company I was invoicing did not exist. I never knew companies could do such a thing and not pay. I had planned a trip abroad and landed in Turkey corresponding with my lawyer. I tried to switch off and every time I received letter anxiety kicked in. I then decided to take this to a Small Claims Court, they responded with we will give you a 25% of what we owe you, a part of me was confused as to why they thought that would work. I declined, they then said we will give you 50% off what is owed.
This is the equivalent of going into a shop and saying I am willing to pay you half, or just what I feel like.
The outcome:
I battled a court letter on my birthday, felt powerless and angry at times but let's just say I never gave up. We were then given a date for mediation, I received a phone call to ask whether I was willing to compromise on the price, my answer was no. I was then told to await a court hearing date.
What happened next:
I didn’t receive my court dates by post, so after following up several times over the phone and e-mail, I was given a date. Of course, this date had to be the week I would start training abroad. I had an anxious call about whether or not I was going to attend and I explained my situation and I had already made the Court aware I was unavailable. I had chest pains, a panic attack and wanted to know why my tiny world was falling apart. An e-mail pops up that evening, “We would like to settle outside of court.” We did.
Lessons learned:
- Ask for payment beforehand
- Conduct a company background check
- Work with people who respect your worth and know your worth
- I am aware I messed up and learned a hard and very long lesson
Disclaimer: This is just my experience, please seek legal advice if you are ever in this situation. https://www.gov.uk/make-court-claim-for-money
Special thank you to Christina, Tom and Mark.
Author, Behaviour Modification Specialist. Mathematics Teacher, Entrepreneur
5 年I enjoyed reading that. You did right, never give up. Too many users out there. Well done perusing it until you got a favourable outcome.
I'll make your Social, Website & Lead Gen Successful. ?
5 年Thanks for sharing! I’ve had a very similar situation recently. It’s a horrible position to be in, especially when you’ve worked really hard for a company!