Re: Contractor Payments

Subject: Re: Contractor Payments
From: Gene Kim-Eng <techwr -at- genek -dot- com>
To: techwr-l -at- lists -dot- techwr-l -dot- com
Date: Tue, 24 Jul 2018 09:36:39 -0700

In my experience, companies either have been around long enough to have established standard practices for accounts payable that are pretty much set in stone and non-negotiable, or are start-ups where someone can call the accounting person and get you a check the same day.

For clients who don't already have their own, I provide a services contract that includes schedules for partial and final billing and for the handover of deliverables. The client receives usable final documents (usually PDFs) on their deadlines, and handover of source files happens on receipt of the final payment. If I want to encourage fast payment, I try to negotiate a rate that's 10% higher and if I succeed include a statement on each invoice that offers a 10% discount if payment is made within five business days. The start-ups love that one, but larger companies seldom make the effort to save the 10%.

Gene Kim-Eng

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