As business owners, we have all had those clients who don’t pay you. It’s very frustrating and annoying, however, sometimes this can’t be avoided. If a client has a reason or an issue with you and your business, they won’t keep up payments. So, the question is what do you need to do if a client owes you money?
Give them a call
Your fist call to action should be to pick up the phone and give them a call. You want to ensure this doesn’t affect your relationship in the future. It may seem a bit old-fashioned, but it is the quickest way to get an answer on this issue. Make sure you ask the right questions in order to get the answer you’re looking for. Stick to the 5 W’s;
- Who do I need to speak to?
- Why has this issue occurred?
- What is the issue and what can we do to resolve it?
- Where can the person you need be reached?
- When can I expect the payment once the issue has been resolved?
These questions can ensure you get to the bottom of the issue and resolve it quickly and efficiently.
Send a Follow-up email
Once the phone call has taken place, be sure to send a follow up email to the client. This should have all the information from the phone call, written down. This can be used as a reminder for the client, to ensure they do as they say and remind them of the agreement in place. This should be a friendly, yet firm email reminding them of the overdue payment. Consider asking if there were any issues with the product or service as this may be a factor as to why you didn’t receive a payment.
Get Help
If the first two steps have been taken and you still haven’t received a payment, you should seek advice from professionals. Make sure to get in touch with HJS Recovery. Companies such as these ensure you are fully advised and informed on how to take this matter a step further.
Although a lawyer isn’t necessary at this point, it’s a good idea to have a lawyer in mind who you could use if needed. They can keep you informed of your rights regarding this matter and how to prepare if a court case was to happen.
Take Action
Finally, the last step is to take action! Make sure you’ve stopped working on their project and consider billing them on the time it’s taken for them to make the payment. Send them a notice to let them know the date you are going to take legal action against them. This can do one of two things. This could either make them pay you instantly, or go through with legal action in court.
At this point you need to have a lawyer ready to fight your case. Be sure to be fully informed of your rights and how you plan to carry out any legal action against your client.