April 18, 2011
Five Ways You Know You're Dealing with a Problem Client
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By Cliff Ennico
www.creators.com 
  

"I've been running a small service business for a while now, and it seems like I have problems with every client these days.

Most don't pay on time - I have to remind them every month to pay their invoices, and a couple have stopped returning my phone calls altogether.

Other clients make unreasonable demands on me, asking me to do things I'm really not comfortable doing and threatening to sue me if I don't do 100% perfect work.

Others are just mean-spirited, obnoxious, and unpleasant to deal with.

What can I do to weed out my bad clients and focus all my attention on clients that are worth having?"

There is no law I'm aware of saying you must take every client who shows up on your doorstep.  As long as you don't discriminate against folks (refusing to take on anyone because of their sex, race, age, religion or national origin), you can say "no" to clients that send out radioactive vibes, even if you can't put your finger on what's bothering you.

Once upon a time, it was easy to check out prospective clients.  People lived in the same communities most of their lives, so by "asking around" you could find out that so-and-so is litigious, that what's-her-name has a reputation for lying and bouncing checks, and so forth.

But those days are gone.  Today you are lucky if you even get to meet a client in person before you have to decide whether or not to take them on.  You might be able to check them out online, but unless there is a "hate" webpage somewhere for people who have been burned by this person, you won't find out much.

So what do you do to keep problem clients at a minimum? 

The short answer is:  trust your gut.

Here are five signals you've got a problem client heading your way, and some suggestions for dealing with them when they show up:


Asking Too Quickly About Fees.  The client says, "I'm thinking about doing a certain project but before I make up my mind I need to have a budget for professional fees.  Before you tell me anything else, what are your fees for this type of work?"

A client who begins his interview this way is, in my experience, only concerned about one thing:  getting the cheapest price possible for your services.  Unless you are the lowest cost provider in your area for this type of service, you are not going to get his business.  Even if you are, if you take on this client he will ask for so many "bells and whistles" from you that you will end up doing the job for minimum wage.

With this person, quote the highest fee you can ethically charge for the service.  He won't call back.


Asking for "Work First, Money Later".  A client who won't agree to an upfront advance on your fee, or who insists on paying you only when your services are completed, almost certainly will not pay you. 

With this person, insist on full payment in advance (or an "evergreen" advance that must be kept current to ensure continued work), and a clause in your contract allowing you to stop services immediately if any invoice is not paid promptly on time. 


Mentioning Past Negative Experiences.  The client says, "I've used three other attorneys in the past couple of years and they didn't do their jobs.  Everybody I know says you're pretty good, so I'm hoping you'll give me a better experience than they did."  Okay, not every professional is brilliant at what they do.  But three negative experiences in such a short time?  That's defying statistical probability.  This is almost certainly a client who gives his professionals trouble, because he doesn't like or respect them, and you are next on his "hit list".

Ask this person for the names of his prior professionals, then call them and ask for a "reference" for this client.
 

Directing the Conversation.  The client interrupts you when you are trying to answer a question, refuses to let you ask questions, and otherwise insists on "controlling the flow" of the conversation.  Such a person almost always is a bully who wants a lackey rather than a professional with independent judgment.  
    

With this person, pretend you have a call on the other line and terminate the conversation, saying you will get back to him.  Don't get back to him.


Asking for "Grey Area" Ethical Behavior.  Any client who asks you to do something that will put you in an awkward ethical position within your profession is a client that is not worth having.  While it is true many clients do not understand the finer points of your ethical responsibilities, a client who insists you do something after you have told him you ethically can't, is a client you shouldn't have. 

Tell this person you're too busy, and then refer him to your worst professional enemy.  He and this client are made for each other.

    
Cliff Ennico (crennico@gmail.com) is a syndicated columnist, author and former host of the PBS television series "Money Hunt." This column is no substitute for legal, tax or financial advice, which can be furnished only by a qualified professional licensed in your state. To find out more about Cliff Ennico and other Creators Syndicate writers and cartoonists, visit our Web page at www.creators.com. COPYRIGHT 2011 CLIFFORD R. ENNICO.  DISTRIBUTED BY CREATORS.COM



Posted by Staff at 11:22 PM