Thursday, April 10, 2014

When You Fire A Client!

When you are starting out getting a client to say “yes” is hard. You take any and every client and you learn from these experiences. As you and your company grow, there are going to be times when you need to fire a client.  No one wants to turn away from someone who initially entrusted them with a “yes”, but sometimes it is either too expensive to keep the client on or the client isn’t worth the work.

If you have a client you need to fire, for whatever reason, here are some tips on how and why to handle the situation.

If the client is a problem child or needs constant hand-holding, fire them.  You can obtain another contract that will not take up most of you time for the same amount of money.  I had a client who sent me 10 emails a day about everything. I spent so much time explaining things to her and then answering to her that I never got what I needed to handle done. Additionally, her emails were rude and she demanded everything “like now”. 

She knew the amount of clients I handled coming on. It wasn’t even reasonable for her to think my world stopped, and my other clients were put on hold, because she came on board.  I fired this client.

You can’t simply fire a client once you decided to make this decision. You can either let their contract run its course or you can fire them based on a violation of a Terms of Service agreement. If you don’t have one of these, you need to step up your game in business.  You attorney can help draft this to accompany your contracts. Basically, this document tells the client what is expected of him or her and how you can sue him or her if it is violated. It sets the expectations up for you to be in control, legally, should the client becomes a problem child or hand-holder at any point in the contract.

It never makes business sense to dedicate so much time to clients who aren’t allowing you to do your job or put you and/or your company in a bad light.

Remember, it isn’t personal. It IS business. Fire those naughty or needy clients today!


Coco the CEO

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