Discussion:Terminating clients
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Discussion Forum Index --> Business Growth Community --> Terminating clients
Rudolphacctg (talk|edits) said: | 9 May 2008 |
| I would like to get rid of some of the dead weight clients to focus on those who actually pay on time and are serious about their businesses. What can I say to them without offending them and keep it professional? | |
Nancyshoemake (talk|edits) said: | 9 May 2008 |
| One way we do this is by sending those clients that you don't want anymore and letter stating that their fee for the next year will be increased by $x. That is generally a good way of letting them make the decision. | |
| May 9, 2008 | |
| If it's just paying on time that concerns you, just require them to work under a prepaid retainer at all times in the future. Don't worry if this will offend them as they are obviously not worried about offending you by not paying their bills on time. If that doesn't make them go away, at least it will let them know that you are serious about your business. | |
| 10 May 2008 | |
| I doubt you can offend them. Everybody drops none paying clients. They should be use to it. | |
| 14 May 2008 | |
| When I fire clients I make them sign a letter of disengagement. This is also intended to cover myself (eg. with payroll tax reporting etc.). I tell them that I am no longer able to serve their needs. Nobody has asked me why because they are the ones who have been unhappy about my fee increases anyway and was probably happy to hear that I am firing them. I have fired a few and have had no problems so far. | |
| 14 May 2008 | |
| Try this Sample Client Termination Letter:
Dear Client: Effective DATE, we will be resigning as your accountants. We have come to this decision with great reluctance, but we are resigning because of: CHOOSE ONE FROM BELOW: 1. Your continued failure to pay our fee for services in a timely manner. 2. We have a conflict of interest between your company and our other clients. 3. Our continuing staffing problems have made it impossible to properly serve your needs. 4. We are changing the types of services that we will be providing in the future. 5. We are concerned about your failure to act upon the recommendations we have made. 6. Our desire to cut back in the number of clients we will be serving in the future. We wish to remind you that we will not be performing any services for you after that date, and that there may be tax returns, elections, or other compliance matters that will need to be dealt with after that date, which we will NOT be providing. We recommend that you immediately seek a new accountant, and we will cooperate fully in providing information to you or your new accountant, when your unpaid bill (current balance $XXX) is paid in full. We will need a signed authorization release from you. We appreciate the opportunity to have served you in previous years, and we wish you success in your future pursuits. Sincerely, | |
| 14 May 2008 | |
| Give then this number to call 1-949-256-5412. The message is funny. It works! | |
| 4 June 2008 | |
| I find the direct route works best.....although I have never fired anyone. My clients have been great except for the one that didn't consider paying me in a timely fashion a big deal....he has lots of money so he probably just figured I didn't care.
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| 5 June 2008 | |
| Aggravation = Pay - look at the miserble/distastful occupations that pay so well - Microbiologist who examines stool/fecus all day same for a Gastroentologist (who look up butts all day).
They uniformly raise their fees - to the roof for this distasteful work. So why not a CPA with an Ungly Client - raise your fee - and do it now - you can always call them for an upcoming estimate - and load them up - then see if they "value" your skills and pay. And if the kick or go away - well they would do that anyway. Good Luck | |
| 5 June 2008 | |
| I like Bean's letter above.
We usually cut loose 2 or 3 clients a year. Either for: 1)slow pay and obnoxious (I can handle slow pay or obnoxious, but not both)or 2)lying/cheating type stuff. The first type usually take the email or letter rather well. The second type usually have a hard time dealing with it and feel the need to stop by the office to call us some names. It is not a fun process, but the reduction in stress is worth the hassle of getting rid of bad clients. Less stress increases my productivity, so I tend to produce more when the bad ones are gone. | |
| 5 June 2008 | |
| I'm with WP. Unless they totally piss me off in some way where I tell them to go to ..., I will just increase their fees to such an ungodly amount that they either make me smile as I take their money or they go away.
And yes, for those, they require a pre-payment before anything is done. | |
