Best Business Practices for Photographers [182]
Them: "Sure, please do."
Me: "Great. I'll send it now, and I will follow up with you in a few days to see where we are."
The point about following up lets them know you're going to be calling again, so they don't think you are being annoying, but rather, firm in your inquiries. Remember, be polite, but also be firm. Doing so also gives the client or accounting department an indication that they'd be best served by handling this one sooner rather than later. I'll also print out the invoice and put it in a folder on my desk that reads "Payment Issues Ongoing." I hand-notate every e-mail, phone call, and message left, reminding me of who it was with and what was said, so that for seriously delinquent invoices, we have a trail of notes and dates to back up our story. This is especially important when the originating individual has left the company, and you have to deal with his or her replacement or boss.
Then, when we send the invoice, we make a point of CCing the e-mail to the originating individual. Because ultimately the accounting department will need to get an approval from the originating individual anyway, having their e-mail as a part of the dialogue facilitates
that. Plus, when the originating individual gets the CC'd e-mail, he or she can simply reply to the accounting department that the invoice is approved. That e-mail usually looks like this:
This lets the originating individual know—politely—that she overlooked us and gets the ball rolling in the right direction. Then, a few days (or a week) later, a follow-up call to the accounting person usually results in the invoice at least being in the system and sometimes awaiting approval. We continue to stay in contact with them until they say, "It will go out in this check run on Thursday, so if you don't have it by next week, give me a call back." And then it does arrive, with few exceptions.
You Delivered on Time, and Now They're Paying Late
Every client who signs a contract with me agrees to a payment schedule. Almost always it's the one I presented—30 days—but in some circumstances it might be longer. Sometimes it's 45/60/90 days, sometimes it's "pays on publication," and for rites of passage, there is usually a 50-percent deposit when the contract is signed, with the remainder due a week before the ceremony.
In the end, we deliver the client's images on time every time—we bend over backward to make sure this is the case. We beg the overnight service to open the door so we can give them our packages, we miss dinner with the family to work on images, and we even sometimes serve as courier, traversing town at rush hour to ensure that the package arrives before the client's office closes.
However, it seems all this is often forgotten when it comes to paying the bill on time. I cannot tell you how frustrating this is. In the end, it reminds me that we are doing business, and it's not personal. I don't take it personally, but I also will work to make sure that payment is received, and I do my darnedest to make sure I do it in as friendly a manner as possible. Remember: Be polite but be firm. This all-important rule is worth repeating: In the endeavor to collect on the unpaid invoice, do everything within your power to ensure you don't lose the client in the process!
Many times, photographers (and my contracts include this) stipulate that a license to publish the image is contingent upon payment in full. When push comes to shove, this is a large stick you can wield against a non-paying client.
Statistics of Aging Receivables, and the Likelihood of Collecting at All
There are some fairly solid statistics regarding the likelihood that you'll be paid as the bill gets older and older. However, as with all statistics, the basis for those numbers is always where things can skew. For example, if you're doing business direct to businesses (that is, B2B), your likelihood of being paid is greater than when you're dealing with business to