The bigger the client the longer it takes them to pay.
- Thread starter Imaginate
- Start date
Barry_Green
Moderator
When dealing with the big companies, I find that they have a system, they prefer electronic payment, and once you fill out the forms and do things the way they want, they pay promptly on a schedule, usually 21 to 30 days from date of invoice.
I am 11months and 13 days still awaiting payment from a MAJOR magazine for a 26 episode Web/TV show i shot..........
Stephen Mick
Totally Usable
Seriously? I'd send Gottshalk to crack some heads.
yea its a significant amount of money too...
problem is the magazine is based in France.
problem is the magazine is based in France.
Matt Gottshalk
Resident Preditor
Oh, well, if it is just France, then I will just send in my local boy scout troop and git 'er done.
What I've found is that the largest ones, allow them to go past due at least 30 days.
The worst is by far the US Government and especially the military.
The State Governments are not quite as bad and localities are worse.
Large banks pay pretty well but Companies like Phillip Morris (Whom I refuse to do any more work for) are a nightmare.
The worst is by far the US Government and especially the military.
The State Governments are not quite as bad and localities are worse.
Large banks pay pretty well but Companies like Phillip Morris (Whom I refuse to do any more work for) are a nightmare.
AwakenedFilms
Veteran
Yes. Normal stuff. I find 45 days to be average for a large client. Longer if its international. I feel for you Timur, I have been stiffed on a number of occasions, thankfully nothing into the 5 figures. Hopefully it'll come through soon.
Jason
Jason
Carlos Corral
Well-known member
You're first mistake was to do that much work and have no payment upfront.
Yes: Siemens in Germany! Only pay twice a year! At least thats what they told me 20 years ago after which I declined any further offers....and waited 5 months or so for the invoice to be paid.
Imaginate
Well-known member
Thats true, but when the client is buying your airplane tickets, putting you up in a 5 star hotels and has you eating the best restaurants the last thing you're thinking is that they have cashflow problems. Then 30 days turns into 60 then 90 and you're going WTF. Your marketing director contact who hired you is blaming the accounting department and making apologies, but at the end of the day the airlines, the hotels, and Starbucks are all getting paid and it's your invoices that get shoved to the bottom of the pile.
I guess the moral of the story is treat a big company that you haven't done business with the same way you would treat a small company that you haven't done business with.
Carlos Corral
Well-known member
Yep, get it in writing, and charge pentalies for late invoices too =).
Chris Santucci
Veteran
At the 2 month mark, I start turning into an A-hole and start calling accounts payable every day if I have to. It's insulting when they expect you to wait past 30 days and I can't exactly tell my mortgage company or the car lease company that I can't pay them because - "I haven't been paid by the client yet."
You haven't been paid yet? Not my problem! Learn how to bill your client, and/or, stop lying to me! Big corporate infrastructure that has a lot of moving parts? Not my problem! 30 days is 30 days and is industry standard.
I also suspect that certain vendors most likely get paid in a timely manor while people like us tend to be neglected unless we make some noise.
Another thing I've noticed is some ad agencies like to "spread the work around" which enables them to force shooters to wait 2+ months to get paid because they have enough of us to book so that they can keep rotating us in without having to ask one of us to work while having payments for 2 past jobs outstanding.
Some freelancers live paycheck to paycheck and an inconsiderate client can wreak havoc on someone's financial situation. I'd advise anyone taking on work to indicate on their estimate or at least in an email that their payment terms are 30 days. Just make sure it's in some form of documentation so it's always there. Adding a "penalty" like +1.5% for invoices paid past 30 days - nice idea, but I've never seen it work. They'll still pay in 45 days or whatever and will never add that 1.5%.
You haven't been paid yet? Not my problem! Learn how to bill your client, and/or, stop lying to me! Big corporate infrastructure that has a lot of moving parts? Not my problem! 30 days is 30 days and is industry standard.
I also suspect that certain vendors most likely get paid in a timely manor while people like us tend to be neglected unless we make some noise.
Another thing I've noticed is some ad agencies like to "spread the work around" which enables them to force shooters to wait 2+ months to get paid because they have enough of us to book so that they can keep rotating us in without having to ask one of us to work while having payments for 2 past jobs outstanding.
Some freelancers live paycheck to paycheck and an inconsiderate client can wreak havoc on someone's financial situation. I'd advise anyone taking on work to indicate on their estimate or at least in an email that their payment terms are 30 days. Just make sure it's in some form of documentation so it's always there. Adding a "penalty" like +1.5% for invoices paid past 30 days - nice idea, but I've never seen it work. They'll still pay in 45 days or whatever and will never add that 1.5%.
Nascency Chris
Active member
I am a freelancer and this statement is so true... had a client who monopolized my time for the entire year walk last month owing over half for the project and the work is completed and aired on a network. I would go one step further (maybe I'm a bit paranoid right now) and say that only signatures will suffice, not just an email stating terms and what could be viewed as a dubious or non committal answer from the client...
Chris Santucci
Veteran
Absolutely, having the person ordering the work sign an estimate indicating they are OK with what's described is ideal, AND get them to issue you a purchase order even.
I've seen issues arise when someone at a company ordered work, only to find out later that they weren't even authorized to do so. I've seen issues arise when someone at a company orders long term work, indicating what the budget is, only to find out much later that the budget they said they had was not in fact the right number (that's right - much higher - oops). So, having a purchase order gives you yet another document and an extra level of safety because it's generated by the accounting department.
And yes, certain client types tend to drag ass or just become unresponsive when you ask for things (like a check for 50% up front, an insurance certificate, etc.) and then you end up embarking upon a shoot day(s) without it and having to deal with more ass-dragging later - after the work is delivered when there is no urgency on their part to deliver what you've asked for.