Monday, January 10, 2011
Freelance Writing Business Practices: I Got Ripped Off
11:46 AM
By Angela AtkinsonHave you ever been stiffed by a client?
A couple of years ago, I accepted a job at a much lower rate of pay than I'd have preferred, simply because the client came through a referral who had referred me several other high paying clients.
I liked the referral source and wanted to get more referrals--and from her, I learned that this particular client was short on funds and running her own business, so as a fellow female entrepreneur, I gave her an uber-great deal.
As it turned out, the client wanted much more work than I had originally agreed to (and did not want to compensate me for the additional work.) Eventually, she refused to pay the balance of her account. In the end, I decided to cut my losses--it wasn't worth pursuing due to the low dollar amount involved.
I had done everything right, I thought--I required her to pay 1/2 up front before I even began the work, and I had given her a contract that clearly outlined what I would do for the amount she was paying. I made it clear that the balance would be due upon completion of the work we had agreed on.
So what went wrong?
The Client
- The client had unrealistic expectations.The amount she agreed to pay me would have covered one article for any other client, and she wanted me to handle her social networking and publicity for several weeks. I did as I promised, and the results were not as she expected.
- She wasn't flexible. She didn't want to give away much of anything, even though I explained to her that getting reviews on the product (an app for smart phones) would help to increase its exposure and potentially her sales. Giving a few apps away wouldn't have cost her anything. She could have even made a free version of it, but she felt that it would limit sales instead of increasing them.
- She expected that her product would sell far more than it did--and then blamed me when it didn't. Her product was not universally appealing as she thought, and so generally people weren't as interested as she'd hoped. She refused to modify it to make it more appealing, and generally, the product just wasn't a big seller.
- Because of these unrealistic expectations, the client felt that she was justified in refusing to pay the second half of her balance, even though I had already done more work than the entire balance would have covered for anyone else.
The Freelance Writer
- I was too trusting. I offered her a rock-bottom price because of the relationship I had with the referral source, and because I could identify with her as a woman and an independent businessperson.
- I accepted her choice to refuse to pay the second half of her balance in an attempt to maintain a positive relationship with the referral source. Apparently, that didn't work out for me either, as I haven't received another referral from this person to date.
- I thought that giving her a clearly outlined plan of attack was enough--but I should have also included a projection/guesstimate of what I expected the results to be from the work I was doing.
What I Do Differently Now
- I still require the 50% up front deposit from all clients--but now, I try to communicate more clearly. I also get a contract in place, and generally don't pull any punches when it comes to the potential results of any social networking or social media marketing I might be doing for a client. (This is less often an issue with straight writing work.)
- I also make sure to send detailed formal invoices, even if the client says it's not necessary. This not only helps me keep better records--it seems to help the clients too.
- I don't give anything away. I am happy to let potential clients take a look at my writing samples, but I don't give them any work for free. If they want me to audition for them, I still charge them a reasonable fee for the work I'm submitting. If the working relationship has the potential to be long-term, I'm more likely to give them a bit of a discount for the audition piece--with full disclosure of the discount and the reason for it. (This is a personal choice for me--many freelancers would disagree with this policy. I use it sparingly and only when I feel like it's worth the risk.)
- I choose my clients more carefully. I don't assume everyone is trustworthy, and I don't take gigs if I don't think they're the right fit for me.
- I don't bend on my pricing. I might be willing to work with a client within my own price range (I have a high-end to low-end pricing structure I stick within) but I no longer go below my bottom line pricing.
Related articles
- Why I love being a freelance writer (angelaatkinson.com)
- Stan Carey on Freelance Editing - Part 2 (thewmfreelanceconnection.com)
- Mailbag: Where should I place my content for maximum exposure? (thewmfreelanceconnection.com)
- Make Extra Money With Reprints: How Freelance Writers Can Legally Double Dip (thewmfreelanceconnection.com)
- 2010 Tax Rules Freelancers Should Know (thewmfreelanceconnection.com)
- New Year's Inspiration for Writers: Getting Organized and Staying Focused (thewmfreelanceconnection.com)

Freelance Writing Business Practices: I Got Ripped Off
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6 comments:
I do all those things now, too--I've yet to get really stung, but I've learned through others. What I do, though, to make some things simpler is require 50% up front on projects above a certain amount, since I figure a quick edit that takes three hours doesn't require the few dollars in the morning and then the rest in the evening.
Thanks for sharing your experience, Angela--it was people like you--who were generous in sharing their experiences--who I learned from.
I use a contract and spell everything out. I give potential clients a link to my portfolio which has been working out fine. If a client wants a quote, I give them a detailed quote. I also send out detailed invoices when the work is complete.
I started to ask clients if they understand the terms of the contract, and if they have any questions. I reiterate to them to make sure I'm the right writer for them.
That is a very telling story. I'm glad you shared!
What a bummer. But it sounds like you learned a lot from a crummy situation. Thanks for passing on your hard-earned wisdom.
I fell under the same issue last year. When my husband was laid-off work, I went into panic mode. Bad business decision. I began taking clients I would not have considered prior.
What it taught me was business is business. I cannot treat clients as friends, and I cannot bottom line my prices just to get business. I found the clients willing to pay a fair price, behaved fairly and understood all contract terms.
The clients that I “gave a break” or “tried to just help out” were horrible business people. Their expectations were not only unrealistic, but they all expected far more than agreed to, and then became angry and threatening when I explained these things were not in the original contract. They were also the ones who called me at all hours and emailed me constantly.
When all was said and done, these clients cost me time and money.
I am now just as picky when I interview a client as clients are when interviewing me.
I tried to fill a niche I felt was missing in the web design world, the results...
I’ll stick to writing and the money I make there. The small niche I was aiming to help isn’t ready yet.
Great article!
Great honest story with good learnings, Angie! RT'd by me.
I actually let a client go just in the past week or so, even though they really owed me $1,200 on our contract. They were real dysfunctional -- their blog changed direction twice in the two months I was there. And then they complained that they weren't getting traffic, even though they never put up half the posts I wrote for them.
They paid their first month and I did all the work for that, but then I couldn't get topics OK'd for the second set of blogs. I had written three, and when they indicated they wanted to stop work and didn't want to pay any more, I made a decision.
I removed the three blogs from their site -- at least one I think I can reuse elsewhere. So I'm rally only out about $250 or so, and decided it wasn't worth spending more energy on. Sort of saw the writing on the wall on it.
We've all found ourselves in what we've defined as 'special situations' -- we love the client's topic, or identify with their story, or the person who referred them is awesome, and the next thing we know we're screwed. We need to remember there's no 'special situations' -- it's just business.
I had one massive scope-creep client in '09 that I ended out some money on, and as a lesson to myself, I kept the unpaid amount at the top of my accounts receivable the whole year, to remind myself not to get in that situation again!
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