One of the most challenging situations with being a freelancer is the management of income. This boils down to various factors ranging from inconsistency in securing contracts to work on and clients to work with to having this clients pay on time.
When freelancing is your primary source of income, you have to be careful and organized about keeping your books. And according to Jon Younger, “If you’re not disciplined and rigorous about getting paid, you will not succeed.” And yet, even if you do everything right, clients can still be frustratingly late with their payments.
A large percent of freelancers encounter trouble at one point or another when it comes to getting paid in their chosen career path. And in order to avoid some of these issues, here are some factors to place into consideration.
The first is to ensure that you work for companies that are reputable, and well funded. Before ‘jumping’ into accepting an offer, you need to be sure that such a company has what it takes to answer you financially and that they would do so. This you can deductively get from making enquires about how such company treats its full-time staff. The bottom line: Don’t work with clients who have a bad.
Next, before you start working on an assignment, ensure that whatever has been agreed upon is put in writing. Clearly spelling every little detail that has been communicated verbally. Has informal agreements are the source of almost every payment problem, so be sure “to get everything in writing. It is also sacrosanct to discuss with your client as regards what payment schedule would look like. And ensure to have the details of the individual in finance with whom you’d be dealing with. This is for you to have someone to always get in touch with when there are delays or issues.
In addition, you are in the position to decide upon any payment schedule that works best for you. It might be weekly, monthly or a certain percent at the commencement of the project and the rest at end.