Steps to Take When Not Getting Paid as a Freelancer

Past Due Notice Stamped on an Invoice

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It happens to every freelancer at some point—a client delays, forgets or just outright refuses to pay you for work you've done. When it comes to collecting, you have several options, from simply following up to taking your client to court. As with any business dealing, it's best to start with the least damaging route.

Examine Your Contract and Resend Your Invoice

The first step is always to reference your contract—that is, of course, assuming you took the time to create a contract that you and your client both signed before starting the work. Hopefully, you stated the terms, how much you were to be paid and when, and addressed any late fees that would be charged if the client failed to pay within your time frame.

If you did all of this and you sent your invoice and you are still waiting to be paid, go ahead and resend the invoice. Follow up invoices are perfectly acceptable. You can even send a polite note letting them know you're re-sending the invoice in case they didn't receive your first invoice. After that, wait a couple of weeks for a response before moving on to the next step.

Things do get lost in the mail, so even if the client is avoiding you, this simple act of following up shows that you're giving your client the benefit of the doubt. You might find a check in your mailbox by the end of the week—or, your suspicions about avoiding payment may be confirmed.

If you're dealing with a client who won't pay and you don't have anything in writing, send them a letter along the same lines as you would if you had a contract. You can tell the client you agreed on a payment amount and the terms and you're just writing to follow up to see when the check would be sent.

Writing to the Business Manager

Most freelancers aren't dealing with the person who pays the. Most likely, you’re dealing with a contact person in the creative department because that person knows what's going on with the project, which likely means that you're not dealing with the person writing the checks and balancing the books.

A letter or email to the company's business manager, with a copy of your invoice and signed contract (showing both your signature and the clients), will generally do the trick. You can find out who the business manager is by calling the company and asking for that person's name. Don't go into detail about who you are or what you want to talk to that person about. Just find out the business manager's name and contact information.

In your letter or email, tell the business manager the date you completed the project and that you have included a copy of the contract both you and their company representative signed as well as the outstanding invoice. Be courteous and professional, but don't also hesitate to state how many days the invoice is past due. 

If you've added late charges to the bill because your initial contact person didn't respond with a payment, consider dropping those late charges and letting the business manager know that you are willing to do so if the bill is paid promptly. You can even set a date by which you require payment to keep those late charges from being added to the bill. 

Even though your right to collect late fees may be stated in your contract, this act of goodwill can result in faster payment and fosters the possibility of a continued working relationship with the company. 

Following Up With a Phone Call

Sometimes a phone call is more effective than several letters or emails. If you're ready to make a call, contact the business manager. When you get in touch with this person, you can ask if they received your letter or email. 

This question will open the door for them to discuss your situation, whether they tell you they have no idea what you're talking about or tell you the check's in the mail, or explain why they're not planning on paying you.

If they say they don't have any idea what you're talking about, offer to resend the information. If the check is on the way, tell them you're glad to hear it and look forward to receiving it. If they say they're not planning on paying you, find out why. 

You may be able to resolve the issues in that very conversation. If you find that you're still struggling to agree and it looks like you're not going to get paid, the next logical step may be a final, certified letter. 

Sending a Certified Letter

You can send a certified letter to a particular person to make sure your invoice and letter is received or even to let them know you're planning on taking this to the next logical step in your pursuit of payment. What you'll often find with certified letters is that they're often ignored.

Certified letters are more beneficial to you when you're prepared to take the case to court. Your certified letter can let the client know you're about to file a lawsuit to get the money you're owed.

Tell them if you don't hear from them by a certain date, you're planning to take them to court. Just be sure you give them a reasonable amount of time to respond. Don't send your certified letter on a Monday with the demands that you receive your check by Friday.

Taking Your Client to Court

If your attempts to rectify the situation have gone unnoticed, and it's clear this client is going to avoid paying you at all costs, you may have no other options than to take your case to court. Many lawyers will give you advice for free on the phone on how to handle your case.

Unfortunately, if you're at this stage, you're standing at a point in the road most freelancers don't want to deal with. While you should get paid for the work you've done, are you willing to take your client to court? Is it worth the time, effort, and attorney fees? You must choose between filing a lawsuit or writing this whole experience off and moving on without taking any legal action.

Ending the Client Relationship

Thankfully, most freelancers find that their payment issues can be resolved with the business manager and they don't have to deal with phone calls, certified letters, or lawsuits. If you've followed the rules of professionalism and courtesy, the client shouldn't have any problems dealing with you in the future. But the real question is do you want to do business with them?

If you are going to have to fight for your money every time you complete a project, you may find it's better to let that client deal with some other freelancer. Sometimes it's best to be the one to walk away from a troublesome client, or you may find yourself dealing with this very situation again.

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