Just wrapped up a year-long project and realized my payment schedule was all wrong. Ended up chasing late payments constantly. Now I’m wondering if changing how I structure payments could prevent this headache in the future.
Anyone else revamped their payment terms for long contracts? Curious about what worked (or didn’t) for you.
Milestone payments are fine, but I prefer upfront deposits. Ask for 30-50% before starting work. Then bill monthly or at key project points. If they don’t pay, stop working until they do. It’s simple and keeps cash flowing.
For really big jobs, I sometimes do progress payments. Bill every two weeks based on hours worked. Clients see what they’re paying for, and I’m not left hanging.
Main thing is to get money in your pocket early and often. Don’t let clients string you along. No pay, no work. Stick to your guns and you’ll have fewer headaches.
I just ask for half upfront and half when I’m done. Keeps it simple. If they don’t pay, I don’t start the job. Works for me most of the time.
I just charge when I finish. No fancy stuff.
Don’t really think about it much. Maybe I should.
For long projects, I break them into smaller milestones with payments due after each one.
This way, I’m not waiting a whole year to get paid, and clients see regular progress. If they miss a payment, I pause work until it’s sorted.
It’s been working well so far. Less stress about getting paid and better cash flow.
I’ve been tweaking my payment setup too. Here’s what’s working for me:
Upfront deposit: 30-40% to kick things off.
Weekly invoices: Small, regular payments keep cash flowing.
Work-stop clause: No pay, work pauses. Clients stay on top of it.
Clear late fees: 5% after 7 days, 10% after 14. It motivates prompt payment.
The key is flexibility. Some clients prefer monthly, others weekly. I adjust based on the project and client.
Remember:
It’s taken some trial and error, but this approach has cut down on those awkward ‘where’s my money’ conversations. Plus, it keeps me from feeling like a bank for my clients.
I’ve been there, chasing payments is no fun. What worked for me was switching to a 50/25/25 split.
Half upfront before we start. This covers initial costs and shows the client’s serious.
Quarter at the midpoint. It’s a good checkpoint to review progress and keeps things moving.
Final quarter on completion. This motivates me to wrap up and the client to pay promptly.
If a client balks at the upfront payment, it’s usually a red flag. I’ve dodged some bullets this way.
For longer projects, I might do monthly installments after the initial 50%. Keeps cash flowing and everyone accountable.
Remember, it’s okay to pause work if payments are late. Clear this upfront and stick to it. Your time is valuable.