Get Clients to Pay Up
by
Attorney Stephen Fishman
What to do if a client won't pay.
You completed your latest project on time, sent an invoice to your demanding client, and are eagerly awaiting payment... and waiting ... and waiting ... and waiting. Does this scenario sound all too familiar?
The sad fact is that even the most seasoned independent contractors (ICs) can have difficulty getting paid. Some clients feel free to pay late; others never pay at all. There is no government agency that will help you get your money. It's entirely up to you to take whatever steps are appropriate and necessary to get your clients to pay up.
What's worse, many clients are aware of these hard facts of life and will take advantage, knowing that many self-employed people don't have the will or know-how to collect what they're owed. You don't have to accept this type of unethical behavior. There are many legal methods available to get deadbeat clients to pay.
How to Demand Payment
Your first step in collecting an unpaid bill should be to send a statement or a collection letter requesting payment of the invoice. (Nolo's Quicken Legal Business Pro software provides 30-day, 60-day, and 90-day collection letters for this purpose.) Some firms routinely wait 60 or 90 days to pay bills because of cash flow problems of their own. If your clients follow this practice, sending a routine collection letter might prompt them to put the check in the mail.
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