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Waiting for their client to pay them before paying you

 
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glennjr



Joined: 01 Mar 2014
Posts: 4

PostPosted: Sun Oct 26, 2014 6:50 am    Post subject: Waiting for their client to pay them before paying you Reply with quote

Long time lurker, first time posting.

I have a question about a particular reason for late payments clients give me sometimes and how you good folks view the topic.

Some clients tell me "Our client hasn't paid us yet. When they do, we'll send your payment right away." This has always bothered me but I've mostly put up with it. Eventually they do pay.

My view on it is "What if your client doesn't pay you? Does that mean I too won't get paid?"

I've never asked that, but I'm positive they would all say yes, I would be paid. So my logic is, if you plan to pay me whether your client pays you or not, then why draw it out? Just pay me and be done with it.

The only problem I had with this excuse was from a customer in Singapore. For over one year they gave me that excuse. I later did some sleuthing and found the director of the video (who took that company to court to get their pay) who confirmed the case was closed and payed long ago. (If you're curious, I eventually DID get payed, but only after I contacted the end client about it. They were extremely uncooperative and threatened ME with a lawsuit if I didn't "leave them alone" as they put it. Strange behavior considering my two emails (yes, 2!) were friendly and professional. This was the only time I have ever contacted the end customer. I figured a year and few months warranted that)

Lately a local studio I record for has done the same thing for one particular ongoing case I've been recording for a couple years. I get paid when the studio gets payed. I find this strange, but what to do?

To put things in perspective, my wife and I hire local talent for our local and overseas cases. We have always paid our voice talent immediately after the case. We've been stiffed before, but paid our people.

I guess this sounds half a rant, but I am genuinely curious how others in this field feel about this reason/excuse for not paying you on time. Am I being unreasonable?

Thanks for your thoughts
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Bish
3.5 kHz


Joined: 22 Nov 2009
Posts: 3738
Location: Lost in the cultural wasteland of Long Island

PostPosted: Sun Oct 26, 2014 7:50 am    Post subject: Reply with quote

Different businesses have different business models. Some think this is the norm or acceptable practice, but in reality you are owed money from the person you conrtacted with. Now, the question is, do you want to play hardball and risk them dropping you from a roster or whatever. It is not right to impose a flow down payment structure on the talent, but is it a battle worth fighting? Personally (and being practical) I think you have to judge on a case-by-case basis. If you're dealing with a solid. established entity, where you are just a gun for hire, then go in hard... if it's a one-man production house, then cutting him some slack may be a good business move. Some will argue for strict terms and 50% (or even full payment) up front. Again, this is a personal business decision.

"Hi, AT&T? Yeah... sorry, you'll have to wait for the money this month because my client hasn't paid me yet. You'll get paid when I do... we cool with that?"

Oh, and welcome to the board! Wink
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Bish a.k.a. Bish
Smoke me a kipper... I'll be back for breakfast.
I will not feed the trolls... I will not feed the trolls... I will not feed the trolls... I will not feed the trolls.
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Foog
DC


Joined: 27 Oct 2013
Posts: 608
Location: Upper Canuckistan

PostPosted: Sun Oct 26, 2014 11:34 am    Post subject: Reply with quote

Bish wrote:
if it's a one-man production house, then cutting him some slack may be a good business move.


I rarely have trouble with the smaller clients and the one-man shops seem to be the ones that pay most promptly. There appears to be an inverse relationship between the size of the operation and their willingness/ability to pay invoices on time.
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Andrew Fogarasi


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Dayo
Cinquecento


Joined: 10 Jan 2008
Posts: 544
Location: UK

PostPosted: Thu Oct 30, 2014 2:20 pm    Post subject: Reply with quote

Great post Bish
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Colin Day - UK Voiceover
www.thurstonday.co.uk
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todd ellis
A Zillion


Joined: 02 Jan 2007
Posts: 10528
Location: little egypt

PostPosted: Thu Oct 30, 2014 3:09 pm    Post subject: Reply with quote

here's how i do it:

i hire talent to do the job
i tell the talent "this client is a 15, 30, 60 day - or whatever - payer"
i ask the talent - is this ok with you?
if the talent says "yes" he/she gets the job
if the client is slow to pay i hound them to the ends of the earth
if the client turns out to be a deadbeat i will pay the talent out my own pocket*

has only happened once and said talent knew nothing about it.
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"i know philip banks": todd ellis
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