How To Invoice Your Clients -The Best Way To Invoice Your Clients | Why 50/50 Billing Sucks?

  Рет қаралды 4,381

Michael Janda

Michael Janda

Күн бұрын

Пікірлер: 58
@natalie-dianabusari2168
@natalie-dianabusari2168 3 жыл бұрын
I did this at the start of my freelance career and started to hate web designing/developing! 50/50 is NOT the way to go! What was bad for me was: - the number of amends - waiting on content - it would takes months for the next 50% payment and I had already charged low I get mad just remembering it!
@morejanda
@morejanda 3 жыл бұрын
Haha. Thanks for sharing. I get mad when you describe it! :-) 50/50 is the worst for so many project types....especially web design/dev!
@robertvidaure6746
@robertvidaure6746 3 жыл бұрын
I implemented the 50/50 for 3 phases (4 invoices) for the first time two months ago. It worked out great and I had a steady flow of income. Never going back to that old 50/50 for an entire project again, thanks!
@morejanda
@morejanda 3 жыл бұрын
Thanks Robert! I'm so glad it worked out well for you. Once I started phased billing, I never went back either.
@MarketingHarry
@MarketingHarry 3 жыл бұрын
I agree with you, Michael. You pointed out why this payment method is not a good one to stick with. Never liked it for the same reasons.
@morejanda
@morejanda 3 жыл бұрын
Agreed. It isn't the best way...but many/most creatives use it.
@PexReyes
@PexReyes 3 жыл бұрын
Bought your course for Project Management. Best $170 course investment! Love it!
@morejanda
@morejanda 3 жыл бұрын
Awesome. So glad to hear that, Pex! Thanks for sharing!
@MohamedShaarawy
@MohamedShaarawy 3 жыл бұрын
Amazing tips. Thanks brother 🙏🏼🙏🏼
@morejanda
@morejanda 3 жыл бұрын
Thank you so much!
@soumyaarora7415
@soumyaarora7415 3 жыл бұрын
This makes so much sense..totally changed my perspective. I wanna market this video until it gets like a million views because WOW! this needs to be seen by everyone belonging to this industry or not. Best 13 min spent on YT. Thank you, Micheal
@morejanda
@morejanda 3 жыл бұрын
Thank you, I'm Glad you liked it!
@5E__
@5E__ 3 жыл бұрын
Great video! I definitely needed this! 🙌
@morejanda
@morejanda 3 жыл бұрын
Thank you! Glad you liked it!
@JesseNyberg
@JesseNyberg 3 жыл бұрын
This is an interesting concept. 50/50 has traditionally worked well for me, but I might try this out! Thanks for the tips Michael:)
@morejanda
@morejanda 3 жыл бұрын
Glad 50/50 has worked well, Jesse. Keep this in your back pocket if you ever get burned from it.
@Mertoa
@Mertoa 3 жыл бұрын
I love your phase strategy to bill clients Michael, thanks for sharing expertise.
@morejanda
@morejanda 3 жыл бұрын
Thank you! It is a game changer and the best way I've found to invoice clients.
@meneernijhuis
@meneernijhuis 3 жыл бұрын
Great one Mike! Still doing 50/50 but with this insights im definitlely changing this with my next cliënt!
@morejanda
@morejanda 3 жыл бұрын
Great to hear it! This is a much better invoicing strategy! You will love it!
@matrixphotodesign
@matrixphotodesign Жыл бұрын
Thanks so much for this video ,I have run in all these situations. I do have one question , what happens if the scope of the project changes , during a phase , for instance if the client what's extra images.
@morejanda
@morejanda Жыл бұрын
If the scope changes you can change the price. Create an addendum to your contract.
@asdfg6h5g7h
@asdfg6h5g7h 3 жыл бұрын
As per me, this is a very idealistic way of looking at billing, especially from freelancers/agency point of view. Majority of clients do not want to deal with constant billing in the midst of work so what ends up happening is, clients prefer and mostly go with freelancers/agency that works as per their convenient billing terms. IN REALITY (and I say this with good experience as a freelancer/agency owner) market is oversaturated with talent and creative professionals, many of them who put in their 120% for peanuts just to get big clients on board... and clients know this... what ends up happening is majority of clients pay 100% 60-90 days after 100% work is done and remaining 5% clients prefer 50 at start and 50 at end model.... this is the hard truth! I can’t even remember how many clients we had to let go off just because we were unwilling to work on 100% payment after work model..
@morejanda
@morejanda 3 жыл бұрын
What you describe sounds like a challenging business culture. I invoiced clients using the strategies I explain in this video for 15 years of agency ownership and thousands of projects. The more the client respects you and your business the more willing they are to follow your systems and processes...including payment terms as described in this video. If a client doesn't care who does the work ("any designer will do")...then they will dictate the terms however they like and if you don't say yes, then they will go with another designer because to them "any designer will do." The trick in sales is to build respect and trust that YOU are the best choice. When this is done effectively the clients will be more open to following your processes, including payment terms.
@asdfg6h5g7h
@asdfg6h5g7h 3 жыл бұрын
@@morejanda there are so many things that I’ve left out in my comment above, including reputable clients (employees at key positions) expecting a CUT/COMMISION out of the project cost, etc. I run a video production company and maybe we face challenges that are unique to our line of work.... anyway, this is a larger conversation & KZbin chat section isn’t the right forum for it.... btw, love your videos, keep making them... 🤘🏻
@hukhozokezonaga7987
@hukhozokezonaga7987 3 жыл бұрын
I started freelancing not so long ago.. This is a gem... Thank you so much..
@morejanda
@morejanda 3 жыл бұрын
So glad it helps!
@TheSigmaDadLife
@TheSigmaDadLife 3 жыл бұрын
Literally was thinking about this 4 hrs ago.... you read my mind Mr. Janda! I would love to meet up sometime! (I’m SLC Area local).
@morejanda
@morejanda 3 жыл бұрын
Definitely! There are several SLC designers in my community. We've talked about doing a lunch meet up somewhere after Covid. Watch my channels for deets. Probably somewhere this summer!
@TheSigmaDadLife
@TheSigmaDadLife 3 жыл бұрын
@@morejanda That would be awesome! I reached out on LinkedIn if you want to add me. That is what I use to communicate with more local people. I'll keep watching the channel for an announcement, though! 🤓
@wearestudeo
@wearestudeo 3 жыл бұрын
Nice one, Michael - this approach changes everything 😎
@morejanda
@morejanda 3 жыл бұрын
Thanks Ilya! It is a game changer.
@joshuaberrios
@joshuaberrios 3 жыл бұрын
I really like this approach. I sent a proposal out to a lead yesterday for a website before watching this video. I already do work in phases but not the billing. Do you think it is too late to inform them about the phase billing? I do plan on implementing it for future clients.
@morejanda
@morejanda 3 жыл бұрын
Perfect! If you are already doing phased production then phased billing is easy to implement. If you didn't specify the invoicing schedule in the proposal, you could easily implement after the client approves the project.
@joshuaberrios
@joshuaberrios 3 жыл бұрын
@@morejanda Agree. So I actually proposed the phased billing method during the negotiation portion of the proposal with the client and provided a transparent and very understandable layout of my production phase with the percentages that would be owed for each phase. The client has not given me his thoughts on it but wants to pay half of the project to get started. I did write my phase billing structure down in a Notion page for my web design business and I really love it. My wife even said that it makes a lot of sense and trusts that my close rate will significantly improve.
@victoriaeightyfive
@victoriaeightyfive 3 жыл бұрын
This is awesome Michael! - I felt like I was already incorporating a lot of your advice here into my biz but there were a lot of gems I can use to level up. Great to know I’m on the right track 🙌 I have your pricing psychology book too!! 😃
@morejanda
@morejanda 3 жыл бұрын
So glad to hear it, Victoria! And glad you have my book. I know it will help your business! Cheers!
@vitomanfredi5031
@vitomanfredi5031 3 жыл бұрын
This is very clever and strategic! Thank you, Mike! 😀👍🏻
@morejanda
@morejanda 3 жыл бұрын
Thanks Vito. It is the best way to invoice clients.
@vitomanfredi5031
@vitomanfredi5031 3 жыл бұрын
You're welcome, Mike. 🙏 It helps us put our Finance hat aside while we put our Creative hat on 👍🏻
@alinerdelav
@alinerdelav 19 күн бұрын
What if the last Phase is more pricey due to the amount of work. Let's say a bunch of illustrations (schemes, icons), phase 1 and 2 set the style but then the Last part is doing say 100 little icons/schemes. How to divide it? We need to have the answer before the meeting with the client for the proposal, right? Also how to do invoice them if Phase 1 takes 0.5 weeks, that means that they need to pay twice a week, isn't it? Or should we do phases longer in time? To accommodate the payment
@FiveFishAudio
@FiveFishAudio 3 жыл бұрын
For 1st-time clients, doing flat fee projects, I do 50/40/10. When they become repeat/regular clients, we switch to monthly billing. They send me whatever job they need to get done (they don't even ask how much X task will cost), i do it, then invoice them at end of month for actual hours worked, they pay... rinse and repeat for next month. It takes 2-way trust though.
@morejanda
@morejanda 3 жыл бұрын
50/40/10 is great. And your ongoing monthly based on trust is the dream of all designers. Client, "Here is the work" and they trust that you will charge them fairly and they are happy to pay what it takes. Congrats to you for getting there in your business.
@FrankEBailey
@FrankEBailey 3 жыл бұрын
This needs SO MANY MORE VIEWS
@morejanda
@morejanda 3 жыл бұрын
Thank you! It will grow over time. More people need to know this.
@seanbrannon158
@seanbrannon158 3 жыл бұрын
Thanks you whoever you are, and thanks Reddit for the link.
@morejanda
@morejanda 3 жыл бұрын
Haha. Thanks Sean, whoever you are. Glad you found it and hope it helps! Cheers!
@jlen1966
@jlen1966 3 жыл бұрын
What if your client is on a 30 or 45 day net...meaning payment 45days after invoice?
@morejanda
@morejanda 3 жыл бұрын
I had several clients that were on 90 and 120 day payment schedules due to their accounting standards. The bigger the company, the further out they tend to pay. If you trust the client, and the engagement is lucrative enough, sometimes you have to play by their rules.
@Dk4KOfficial
@Dk4KOfficial 3 жыл бұрын
I used to do 100% at the end when I started, lesson learned!
@morejanda
@morejanda 3 жыл бұрын
Good that you learned the lesson early on. Cheers!
@DePINGPONGguru
@DePINGPONGguru 3 жыл бұрын
How about for photography? Is it advisable to invoice 50% retainer fee then 50% right before sending the edited photos?
@morejanda
@morejanda 3 жыл бұрын
Great question. I would consider 50% in advance. Then 25% after the photoshoot completes. Then the final 25% after the final edited photos are sent. However, strategy may vary from country to country and client to client.
@DePINGPONGguru
@DePINGPONGguru 3 жыл бұрын
@@morejanda Thanks for the response! That's a good point. Thanks man! I'm quite new as a freelance photographer here in Singapore, and am learning to apply quite a bit of strategies from you. Keep it up Michael!
@KonstantinShalev
@KonstantinShalev 3 жыл бұрын
Love the experience you sharing! Thank you very much for shearing with us 🙏🏻 Painkiller
@morejanda
@morejanda 3 жыл бұрын
My pleasure to share. Thanks for commenting!
@AshcroftCoaching
@AshcroftCoaching 3 жыл бұрын
:D thank you!
@morejanda
@morejanda 3 жыл бұрын
Thank you, Adam!
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