3 Reasons to Fire Toxic Clients - Part II

No more Toxic Clients!

Many times relationships start out OK, but then sour. Sometimes it’s easiest to just keep trudging along. If a profitable client is hard to work with it can be tough to say good bye to their revenues. But let me share why I think it’s good riddance:

1. They drain you emotionally. People who are mean, disrespectful, full of negative energy, etc. just eat away at our own personal happiness. Even if you like the work, or like the money, don’t overlook the drain of positive energy from your own heart and soul.
2. They are NOT generating as much revenue as you think. You may assume it’s clear, you worked 10 hours and got paid for 10 hours. But because of the emotional drain, you generally spend a lot of un-billable time doing things like: complaining about them, questioning your own skills, protecting yourself with excessive paper trails and backups, defending invoices, etc. All of this is taking you away from revenue earning projects.
3. They can ruin your confidence.  A toxic client can question your actions and tear down your self-esteem. You can start to question the quality of your work, your pricing, your behaviors. An entrepreneur, freelancer or business owner cannot spend time at this pity party.
4. You’ll be more productive without them. This is real reason to let them go. Spend the time finding better clients to work with. Clients and customers who respect you.

 Emily's post ended here with a personal note.  I wanted to weigh in here and encourage all business, small and large to look into their client base and make the difficult decision to identify and fire your toxic clients.

A bit about our guest blogger: Emily Brackett is president of Visible Logic, Inc. Established in 2001, Visible Logic is a graphic design firm that works across all media—including web sites, logos, print materials, annual reports and book design. Based in Portland, Maine, Visible Logic builds complete
branding systems and designs individual projects for clients across the U.S. You may reach Emily or learn more at: www.visiblelogic.com

Toxic Clients: 3 Reasons to Fire Them

I ran across a fantastic blog that said it all so well that I rushed to gain permission to re-blog.  I have cut the article in two parts for easier reading. Here is Part 1.

A bit about our guest blogger: Emily Brackett is president of Visible Logic, Inc. Established in 2001, Visible Logic is a graphic design firm that works across all media—including web sites, logos, print materials, annual reports and book design. Based in Portland, Maine, Visible Logic builds complete
branding systems and designs individual projects for clients across the U.S. You may reach Emily or learn more at: www.visiblelogic.com

Unfortunately, I am currently in the midst of “separating” myself from a toxic client. And while this blog post is not about design, it is about being a small business owner, and I had to write it.
First of all, what makes a toxic client? There can be many variations and each is unique but there are usually early red flag warnings, followed by one or more of the following:

• Disrespectful behavior. Any client relationship should be a partnership, not a stomping ground.
• Pays late, disputes bills. If you are providing a professional service you should be paid. Someone who constantly questions your bills are questioning the quality of your work or your honesty in billing them.
• Questions your skills and expertise. If you are providing a service you are getting paid to help someone using your specialized experience. If a client continually questions your decisions, they don’t feel comfortable about your level of expertise.
• Undermines projects. When working with a  client, there should be a mutual goal of creating something together. For us, that means a web site, a logo, an ad, etc. We should be helping each other. When a client becomes an obstacle rather than a resource, there is a problem.

The first question I always ask my clients is:  How many toxic clients do you currently have and what are they costing you in time and revenue?
 It takes guts and courage to fire a toxic client.  How do you do it? Think about finding a colleague or consultant to 'second' you in your decision and communication with the client.

Second Part of blog next week.  Stay tuned. 

Laurelle Johnson
Strategies For Growth
The Good The Bad and The Ugly
Client Retention Program
laurelle@laurellejohnson.com