A Word To The Wise

For many of us in the consulting game, we have had to write off some invoices  for our services.

We got into these situations because we extended credit to those who contracted with us.  Why do we do this – we are not a bank.

To minimize this exposure we must convey that we need at least a deposit in advance and the knowledge that there is a credit card or some financial instrument in place that we can draw on if necessary.

Jerry Foonberg, who has written extensively on starting and building a law practice, developed Foonberg’s law which applies here:

It’s better not to do the work and not get paid
than to do the work and not get paid.