What late payments say about you

business bankrupt Assuming the goods or work is satisfactory, I pay my suppliers on the day I receive their invoice. I pay them online so they get the money the same day.

Apparently, in Estonia this is normal business practice. In the UK, however, there is a culture of late payments.

(All my current clients pay promptly. This is not a rant about anyone I work with now. Just so we’re clear about that!)

Back when I was a freelance journalist - the media industry’s equivalent of a battered wife - most of my clients took 90+ days to pay me. Several never paid me at all.

I was just paying a contractor a few minutes ago and it made me think about what late payments actually say about a company. I reckon it means one of four things:

  • We’re teetering on the edge of bankruptcy.
  • Our finance department is staffed by monkey descendents of George Bush.
  • We left our wallet in a parallel universe.
  • We’re so mean that we’d rather stiff a freelancer for a few points of interest.

To be sure, they’re not doing it for hugs and puppies. So why do editors think it’s perfectly okay to pay a writer months and months after they write something? You can guarantee that they’d they’d complain bitterly if they got their salary a day late.

There is one simple antidote: MoneyClaim.gov.uk. There’s nothing like a county court summons to concentrate the mind of a finance director. Freelance journalists of the world, sue! You have nothing to lose but shitty clients.


Comments (2) left to “What late payments say about you”

  1. Louise Bolotin wrote:

    Apart from MoneyClaim, there’s also the Better Payment Practice campaign (see http://www.payontime.co.uk/), which not only advises on how to retrieve late payments and claim compensation but you can be a signatory too. I have a statement to this on my portfolio site so all my clients, current or potential, can see from the off that I am a prompt payer myself and expect the same courtesy in return. I’ve just taken a non-payer to court so I know how frustrating late payment is.

  2. Percy wrote:

    For me, I think it’s mostly been reason #2 on your list. The sheer incompetency of some finance departments that I’ve encountered has been dazzling.

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