How to Protect Your Business From Customers
This is a guest post by Tim Berry, GBR Editorial Review Board member and President of Palo Alto Software
What? You say, reading my title here. Why would I want to? Here’s a question I received in the www.bplans.com Ask the Experts forum today:
My business sells window coverings and recently got taken by a client who decided to forgo paying for the balance due for product that was installed in his home. We often deal in large-value custom orders and need to protect ourselves in the future. What kind of agreement or contract can we use, and were can we find an example of something that will hold up in court? Should we use a lien agreement?
Ok wait. Let’s talk about this. Have you considered the impact on your business of asking all your customers to sign something like that? You’re selling window coverings. You have competition.
You just reminded me of my post last month The Heat, the Kitchen, and Credit Cards. I was mad at a customer who stole from us, and customer service for the credit card helped me out.
The active point in that was about the heat and the kitchen. You’re in business. You’re dealing with customers.
You have to decide whether the occasional bad apple is worth baking all of the apples as they come in.
Here’s a good exercise:
