Signed a freelance contract with a 90 day payment term and nearly went under

I took a $6k web dev gig from a small non-profit in Denver and their contract said net 90, which I figured was fine until my rent was due 45 days in with no check in sight. Has anyone else gotten burned by crazy long payment terms on a first project?

3 comments

3 Comments

tessalane22d ago

Read that California just passed a law cracking down on net 90 terms for freelancers. Smaller shops love to push these long payment cycles because it keeps their cash flow stable while squeezing yours. Always push for net 30 or at least a 50% deposit upfront on first projects.

charlieh7422d ago

Had a client last year try to slip net 90 into a contract for a branding project. I told them I'd do net 15 on the first invoice or they could find someone else. They caved. Learned that lesson the hard way when a different agency strung me along for 4 months on a $3k web job back in 2019. That check barely covered my rent when it finally showed up. Now I just tack on a 5% late fee after 30 days and make them sign a written agreement on payment terms before I start any work.

thomasb4122d ago

Honest talk, that net 90 stuff is just a way for them to use your money for free while you struggle to pay your own bills. A written agreement with clear deadlines and late fees stops most of that nonsense before it starts since they know you aren't messing around. Good on you for sticking to your guns, too many freelancers let clients walk all over them and end up burned.