A Client Owes Contractor Money
The client owes contractor money and he wants to take him to a small claims court to recover it. Let Will tell you his story.
I‘ve got a contract in Chiswick in London. I loaned one of the permanent guys here some money, and he hasn‘t paid me back yet.
I have found out that he gambles, mainly on the horses, but sometimes on football and other sports.
My Project Leader
The thing is that, although he‘s only in his mid twenties, he is my project leader, and will have responsibility for agreeing my renewal or not.
I can‘t afford to just let 650 quid go. I‘m thinking of threatening to report him to his bosses unless he gives me the money back, or threatening to take him to the small claims court.
Which is best?
Which would you advise?
Dr. McLaughlin’s IT Surgery
Catch on to yourself Will.
Sit down and write your weekly rate. Now multiply that by 26 weeks, or however long your contract is for.
Now write down 650 quid besides that sum.
Do you see what I mean?
Client Owes Contractor Money – Think Positively
Now start to think positively. Start to multiply the figure that you first calculated by figures between 5% and 10%.
That wouldn‘t be too much to ask your boss for a rise at renewal time does it?
There‘s no need to mention the 650 quid at all. He knows that you won‘t do anything about it while he still has your renewal to decide.
He also knows that if he doesn‘t renew you, he‘ll hold nothing over you, and you can tell anyone you like about it.
It‘s in the background, but it is unmentionable.
Keep Renewing Your Contract
He‘ll feel that he has to keep renewing you until he pays you back the 650 quid. Mention it form time to time to show him that you haven‘t written it off, but not in such a way as to alarm him.
Your best hope is that, because he‘s a gambler, that he never has the money to pay you back. I suspect that if he ever pays you back, that you‘d be out of there at the next renewal time.
Therefore, if he does pay it back, tell him that if he‘s short again, that you could loan him up to that amount again but no more. Just think of a contract that gets automatically renewed every time, with a healthy 5% to 10% rise each time.
Add up all you could earn there in say 3 years. Write it down and subtract 650 quid from it.
Do you still want to take him to the small claims court for your 650 quid?
When a client owes contractor money, it is the client who has the problem – not the contractor?
Readers what do you think?
What would you do?
What advice would you give Will?
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