How Your Legals Can Help You Get Paid

Rise Up In Business

magine this scenario, a new client reaches out to you. They want a brand upgrade, including a new logo, colors, website, and copy. Excited about the opportunity, you dive into the project headfirst, only to realise later that their messaging and tone need work. Misaligned expectations and frustrations start to build up, leading to unpaid invoices and a strained client relationship.
Situations like this aren’t uncommon and can be incredibly stressful for you. Thankfully, there is a simple solution to this problem – harnessing the power of your legal documents. In today's episode, I’ll discuss how having proper legal documents can help you avoid these challenges and ensure you get paid on time, every time.
The first thing I want to touch on is the client user experience. From the first touchpoint to the offboarding process, it's crucial to display professionalism and establish clear expectations. By integrating your processes and systems with solid legals tailored to your business, you can avoid the scenario mentioned earlier and set yourself up for smooth payment transactions.
Managing client expectations is key to a successful partnership. When you have a discovery call with a potential client, it's important to follow up with a proposal or client engagement letter. These legal documents outline the services you will provide, the timeline, inclusions, and exclusions specific to their project. By setting clear expectations from the beginning, you minimise the chances of misunderstandings and scope creep.
Your legal documents should also include the agreed-upon fees, invoicing processes, and payment terms. Staged payments, deposits, and milestone payments can help you maintain a healthy cash flow throughout the project. When clients understand what they'll be paying and when, they're more likely to be prepared and happy to make their payments.
Despite your best efforts, there may be occasions when clients become unhappy and disputes arise. Having a dispute resolution process or framework in your legal documents can be invaluable in these situations. By clearly stating the steps to be taken in case of a dispute, you can swiftly address any issues that come up while preserving the relationship with your client.
Remember, the power of legal documents goes beyond protection. They set the stage for success with your clients, streamline your business operations, and help you achieve your goals. So, invest the time and effort in getting your legal frameworks right, and reap the rewards of happy clients and a thriving business.

LINKS:

Check Your Legals with the Essential Legal Checklist here

Check out my Getting Paid Made Easy course here

Website:tmsolicitor.com.au

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