| Dealing with clients is all about setting expectations. I really view our contracts as just the expectations codified and hopefully never read again. The key is what the clients actually expect you to deliver. If we ever have to turn to the contract language, we have already lost something in translation. I won’t go over all the articles points; I think it is well written. I am a bit envious that they have a product to transition too. However, I will point out two ways to help small agencies deal with clients. Specifically on how to take payments and whether to accept certain clients. Both of these areas will help alleviate stress in running the business. 1. Not getting paid. To fix this issue simply demand more up front. We start projects at 75% due. Have done this for 10 years now. Larger contracts, over $15,000, we will start with a 50%, 25%, 25% split. We have never started a project for less than 50% of the entire. The key is that you never work on collection model. Never send an invoice for work completed. You always are working from your funds you have, so you are never at a loss. Sure some clients balk at the higher up-front costs, but do you want those clients? Stick to your guns. If a client likes you and your portfolio, they probably will sign even if it means a bit more upfront costs. 2. Owning your time. We get our fair share of "interesting" clients, but have found a way to weed them out in the sales process. This way we only work with clients that we like and want to help. Key tips that it will be a "interesting" project and you may want to pass: - Wanting to change our standard contract. Our contract is a short 1-page that is really fair to both sides. The more they change the harder the project will be, always. Stick to your contract.
- The client needs to start, now, now, now. Basically someone internally has dropped a ball in scheduling and now it is your problem. Charge more to help them or pass on the project.
- Disorganized email chains and hectic meetings. The client won't suddenly become organized during the project, which means you are now their organizer. Have fun with that project if you accept, but charge more for project management. Anyways, I think going the product route is great for web agencies. But you can make a successful agency model work and have fun, we have for 10 years now. |
Might be useful to see our own Terms, they're still online here:
www.silktidestudios.com/tandc
We always charged 50% upfront for anything over £1,000 (about $1,600). Projects over around £20,000 usually had three way splits.
Of course some bigger contracts (esp. government) insist on their own onerous terms but usually they're decent payers.
Hmm. Perhaps I should write an article on getting this too...