Had to choose between a retainer or chasing a client for payment every month... I picked wrong

Last year I had this client who was always 45 days late on invoices. They offered me a $2k monthly retainer instead of hourly billing. I said no because I thought it would lock me into too much work. Three months later they owed me $4,600 and I had to send five emails just to get half of it. Has anyone else regretted not taking the retainer option when it was on the table?

3 comments

3 Comments

abbyf7916d ago

Respectfully, I gotta say I see it the other way. Tbh a retainer locks in guaranteed money every month, which is way better than chasing late payments. You could have negotiated the scope if the $2k felt too heavy, like setting clear limits on hours or deliverables. I've been burned by clients who were always late, so now I push for retainers or upfront deposits. Ngl, sometimes you gotta take the stable cash flow even if it feels like a commitment, because unpaid invoices are a nightmare.

the_sage16d ago

Yeah the "stable cash flow" thing is real. Reminds me of this guy I used to work with who insisted on getting paid in cash every Friday no matter what. Called it his "walking around money." One time the boss tried to switch him to direct deposit and he almost quit on the spot. Said he needed to feel the bills in his hand to trust the payment. Eventually they compromised and he got half in cash half in check. Point is people get weird about how they collect money but at the end of the day you gotta do what keeps the lights on without wanting to punch a wall every time you cash a check.

angela72816d ago

2k is a lot to commit to right out of the gate though, especially if you're just starting with a client. I mean, @the_sage's story about the cash guy kinda proves the point, right? some people just need to feel like they have control over the money, not like they're locked into a deal that could go sideways. I've had clients who were totally fine with a smaller retainer and then we'd just adjust as we went, it felt way less stressful for everyone involved. There's a middle ground between chasing invoices and signing a contract that feels like it owns you.