My client “Michelle” faced a common business headache: overdue payments from a significant customer who constituted 40% of her revenue. They raved about Michelle’s services but never paid on time. Michelle was starting to resent them because it was putting her in a financial jam, month after month.
After reviewing her contract (which was expired) it was clear that action was needed. It was an ideal time to initiate a conversation with her customer and renegotiate the terms, including a fairer payment process. However, I knew simply updating the contract wouldn't solve the customer’s payment habits.
Together, we brainstormed creative solutions to encourage timelier payments, such as flexible payment schedules, retainer agreements and automated payment options. We also discussed the importance of establishing open communication channels and implementing regular reviews to address any issues before they escalate.
Implementing these strategies not only improved Michelle’s cash flow but also strengthened her relationship with the client. In addition, she gained more financial stability and stopped wasting time chasing payments.
If you’re facing similar business challenges, don’t wait. Reach out to explore proactive solutions that will protect your business’ financial health.
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