[sloaken]

You need to add in a 'force majeure clause' to your contracts.

The IRS issue was not your fault. There was NOTHING you could do about it. EIN number, was probably the easiest part of setting up the company. Value ... maybe a 10% refund.

I think your taking the blame, was not a good business practice. Explain what happened, offer a discount, or offer a logo, or cancel everything (eating expenses, but not giving it away free).

Write this off as a lesson learned.

[kyleishie]

I completely agree with this. Taking 100% blame for something you had 0% control over was a bad move. Your intentions were good but as sloaken said “maybe a 10% refund”.

The issue you have now is that this client has been trained to walk all over you and expect everything they ask for. Not too dissimilar to that of a dog that learns to cry for table scraps.

The bottom line is that your clients come to you because they need you as much, if not more than, you need them. You don’t have to throw it their face but it’s extremely useful to remind yourself of it from time to time as it will help you take up for yourself when, and hopefully before, these types of situations arise.