Was I dumb to take my buddy's advice on net 60 terms for a new client?

My friend Dave who runs a landscaping company told me to offer net 60 terms to land a big commercial client back in March. I was nervous about it but he said it's standard for big contracts and shows you trust them. Fast forward to now and that client owes me $4,200 for two months of graphic design work with no payment in sight. I've sent four reminders and they keep saying they're processing it. So was Dave right that it's a good way to get bigger clients or was that just terrible advice for a freelancer like me? Anyone else have a friend steer them wrong on payment terms and get stuck?

3 comments

4 Comments

danielowens19d agoTop Commenter

Oh yeah, I learned the hard way too. Now I take payment upfront like a jaded ex.

lisas7819d ago

Wow, upfront? Like full payment before you even start? That seems so risky for the other person though, like what if they get nervous? I get why you do it after getting burned, my friend @danielowens had a similar thing happen with a client who just vanished after the work was done. I guess some people just make you lose your faith in the whole handshake deal thing.

adam41419d ago

Man, I dunno, maybe Dave's advice wasn't totally off base but $4,200 is a lot to just have floating out there. @lisas78, feels like you're making this way more dramatic than it is though, happens all the time with slow payers, you'll get it eventually.

james_paidtoday18d ago

Net-60 with a new client is a rough lesson, but I’d keep the next step very specific rather than making it emotional.

I’d send something like:

“Hi [Name], following up on the outstanding invoices for [project/work], totaling $4,200. These were issued under Net-60 terms and are now past due. Could you confirm the payment date today? If there’s an issue with the invoices or deliverables, please let me know so we can resolve it.”

The main thing is to stop leaving the next step open-ended. Give them one clear action: confirm the payment date or identify the issue blocking payment.